China Risun Group Limited entered into the Lease Agreement with Laoting Huayang, pursuant to which Tangshan Risun will lease the Leased Assets from Laoting Huayang for steam supply to the Tangshan production base of the Group for a term of two years from June 24, 2022 to June 23, 2024, with a rental of RMB 35 million per annum (inclusive of VAT). The salient terms of the Lease Agreement are as follows: Date: June 24, 2022, Lessor: Laoting Huayang, Lessee: Tangshan Risun, Leased Assets: A set of production machineries, equipment and facilities for steam supply located at Laoting Economic Development Zone, Tangshan, Hebei Province with a net book value of approximately RMB 442 million as at December 31, 2021under the PRC GAAP. Lease Term: Two years from June 24, 2022 to June 23, 2024.

Upon expiry of the Lease, Tangshan Risun shall have the right of first refusal to renew the Lease on the same terms as those available in the market. Purpose of the Lease: The Leased Assets shall only be used by the Group for production and supply of steam as fuel to the Tangshan production base of the Group.