Maanshan Iron & Steel : ANNOUNCEMENT ON RESOLUTIONS OF THE BOARD OF DIRECTORS

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(A joint stock limited company incorporated in the People's Republic of China)

(Stock Code: 00323)

OVERSEAS REGULATORY ANNOUNCEMENT

ANNOUNCEMENT ON RESOLUTIONS OF

THE BOARD OF DIRECTORS

This announcement is made pursuant to Rule 13.10B of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited.

The twenty-fifth meeting (the "Meeting") of the ninth session of the board of directors (the "Board") of Maanshan Iron & Steel Company Limited (the "Company") was held at the office building of the Company on 30 October 2019. There were seven directors eligible for attending the Meeting and seven of them attended it. The Meeting was chaired by Mr. Ding Yi, the chairman of the Board. The following resolutions were considered and approved at the Meeting:

1. The unaudited financial statements of the Company for the third quarter of 2019.
2. The Company's 2019 third quarterly report.
3. The capital increase in Magang Rail Transportation Equipment Co., Ltd ("Rail Transportation Company"), a wholly-owned subsidiary of the Company, using the assets of Maanshan Iron & Steel Company Limited Wheels Company ("Magang Wheels Company"), a branch of the Company.

The Company engaged Beijing Pan-China Appraisal Co., Ltd. to appraise the market value of Magang Wheels Company's assets and liabilities. The valuation date was 31 March 2019. The valuation method was asset-based approach. After valuation, the appraised value of the net assets of Magang Wheels Company to be used in the capital increase was RMB1.022 billion.

The Company engaged Anhui Zhong'an Real Estate Appraisal Consultation Co. Ltd. to make a valuation on the current land use rights of Magang Wheels Company. The valuation date was 31 March 2019. The valuation method was market comparison approach and coefficient-adjustment of benchmark land price approach. After valuation, the appraised value of the current land use

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rights was RMB64 million.

The Company will increase Rail Transportation Company's capital using the above net assets and current land use rights of Magang Wheels Company, with the appraised values being the consideration. After the capital increase, registered capital of Rail Transportation Company will be increased from RMB400 million to RMB1.486 billion.

4. Approval on the sale of the trademarks related to Magang's wheels and hoops as well as certain inspection equipment to Rail Transportation Company, and the consideration of the transaction shall be determined based on the appraised value.

The Company engaged Beijing Pan-China Appraisal Co., Ltd. to make a valuation on the trademarks related to Magang's wheels and hoops and certain inspection equipment. The valuation date was 31 March 2019. The valuation method of the trademarks was replacement cost approach and income approach while the valuation method of inspection equipment was replacement cost approach. After valuation, the appraised value of trademarks was RMB13.9775 million while the appraised value of the inspection equipment was RMB4.9254 million.

The voting results of the above resolutions: 7 voted in favour, 0 voted against and 0 abstained from voting.

The Board

Maanshan Iron & Steel Company Limited

30 October 2019

Maanshan City, Anhui Province, the PRC

As at the date of this announcement, the directors of the Company include: Executive Directors: Ding Yi, Qian Haifan, Zhang Wenyang Non-executive Directors: Ren Tianbao

Independent Non-executive Directors: Zhang Chunxia, Zhu Shaofang, Wang Xianzhu

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