China Isotope & Radiation Corporation (Company) entered into the Renewed Carbon-14 Supply Agreement with Shenzhen Zhonghe Headway Bio-Sci & Tech Co. Ltd. (Headway) on 31 October 2023, pursuant to which the Group will provide Headway and its associates (excluding the Group) with carbon-14 as the raw materials for production of carbon-14 breath-testing medicine boxes, and other products, and also provide services such as packaging and transportation relating to sales of such products and other services. Term: The agreement will come into force on 1 January 2024 and expire on 31 December 2025, subject to renewal as may be agreed and negotiated upon by both parties.

Reasons for the transaction: Headway is specialised in the field of breath diagnosis, and carbon-14 is the main raw material for manufacturing carbon-14 breath-testing products. Due to the Group's advanced nuclear application technology and its long-term and stable cooperation relationship with international carbon-14 raw materials suppliers, the Company can import high-quality and stable carbon-14 raw materials from Russia and other countries. Therefore, the Group is the exclusive supplier of carbon-14 raw materials to Headway and/or its associates.

Pricing Policy: The specific price set by the Group for the sales of products to Headway and its associates (excluding the Group) will be determined by both parties through mutual negotiation based on the cost-plus method, taking into account the Group's purchasing costs of importing carbon-14 from Russia and other countries, and the service fees of manpower, warehousing and transportation of the Group during the selling process.