The board of directors of the China Risun Group Limited announced that on March 17, 2021, Risun Marketing Limited (Risun Marketing), a subsidiary of the Company, entered into a 5-year integrated sales and marketing agreement with an independent third party (the "Counterparty") engaging in the production of coke and chemical products in Shanxi Province, the PRC. Pursuant to the Agreement, the Counterparty shall be responsible for production of coke products, and Risun Marketing shall be responsible for purchasing relevant products from the Counterparty at an agreed price and selling the products to downstream customers. Risun Marketing receives sales service fees at a rate of RMB 40/tonne from the Counterparty based on the sales volume. More importantly, the Agreement allows the Group to expand its coke operation management services into Shanxi Province, the PRC, currently the largest province in the PRC in terms of coke output. The Board expects that the Group will continue to strengthen the capability of supply of coke, coking chemical and refined chemical products, maintain robust development, and constantly improve the standard of services for the iron and steel and chemical enterprises in the PRC and across the globe through business expansion strategies and models such as operation management services (including integrated sales and marketing), and merger and acquisition.