The board of directors of China Biotech Services Holdings Limited announced that the import of (i) the Neutron Irradiation System for Boron Neutron Capture Therapy ("BNCT") (Model Number: BNCTS-2-3), and (ii) the Treatment Planning Program for Boron Neutron capture Therapy (Model Number: BNCTDE-1) (collectively, the "Medical Devices"), was approved by the Hainan Provincial Medical Products Administration on 28 January 2024, as urgently needed medical devices for use by the BNCT cancer treatment centre in the Boao Lecheng International Medical Tourism Pilot Zone of Hainan Free Trade Port, the People's Republic of China (the "BNCT Centre"). As disclosed in the third quarterly report of the Company for the nine months ended 30 September 2023, Pengbo (Hainan) Medical Technology Co. Ltd. (Peng Bo (Hai Nan)), an indirect wholly-owned subsidiary of the Company entered into a site admission and investment agreement (the "Site Admission Agreement") with the Hainan Boao Lecheng International medical Tourism Pilot Zone Administration (the " Administration") on 28 February 2022.

Pursuant to the Site Admission Agreement, Pengbo (Hainan) has committed to build and to operate the BNCT Centre by adoption of the accelerator-based BNCT system covering the cyclotron accelerator, dose calculation program and related medical device for BNCT treatment to be procured and supplied by Sumitomo Heavy Industries Ltd. ("Sumitomo"). In June 2022, Pengbo (Hainan) signed a bundle of sales contract, service contract and a memorandum of understanding with Sumitomo in respect of the supply of the BNCT system together with the initial spare parts and the provision of the operation and maintenance services required for commencement of the operation of the BNCT Centre. The construction works of the BNCT Centre began in November 2022.

In December 2022, the BNCT Centre was granted with the Practice License of Medical Institution by the Administration for a term of five years until December 2027. The construction works of the BNCT Centre had been progressing under planned schedule. Installation of the BNCT system will start once the structural construction of the facility is completed.

The BNCT Centre is targeted to commence operation in late 2024 or early 2025.