Chongqing Iron & Steel Company Limited entered into the Service and Supply Agreement with China Baowu, whereby the Group will provide products to China Baowu Group, and China Baowu Group will provide products, materials and services to the Group. The above matters were reviewed and approved by the 2020 annual general meeting of the Company held on 29 June 2021. The total amount of products to be provided by the Group to China Baowu Group for the year 2022 shall not exceed RMB 16,706 million and the total amount for the year 2023 shall not exceed RMB 20,051 million; the total amount of products, materials and services to be provided by China Baowu
Group to the Group for the year 2022 shall not exceed RMB 32,282 million and the total amount for the year 2023 shall not exceed RMB 34,056 million. Due to the development of the Company's innovative business model and the
professional integration of China Baowu, it is necessary to add the types and amounts of transaction for the products to be provided by the Group to China Baowu Group in 2022 and 2023 as stipulated in the Original Agreement, and
increase the amounts of raw materials, production materials and services to be provided by China Baowu Group to the Group. Accordingly, the Company and China Baowu entered into the Supplemental Agreement on 8 July 2022. It is agreed that the item "solid waste" and service types shall be added to the products to be provided by the Group to China Baowu Group, and the total amount of products and/or services to be provided by the Group to the China Baowu Group will be increased up to RMB 23,856 million in 2022 and RMB28,026 million in 2023; meanwhile, the total amount of products and/or services to be provided by China Baowu Group to the Group will be increased up to RMB 47,773 million in 2022 and RMB53,583 million in 2023. Except for the above changes, the other terms of the Original Agreement shall remain unchanged. (i) China Baowu agreed to (by itself and/or China Baowu Group) provide the Group with the products, materials and services as follows: (a) raw materials such as iron ore, scrap steel, refractory materials, accessories (including dolomite, limestone, etc.), steel billets, coal, etc.; (b) production materials such as chemical materials, equipment and spare parts, water, etc.; and (c) technical services (including construction, software development and labour services, etc.), road transportation services and sanitation and greening services, etc. (ii) The Company agreed to (by itself and/or the Group) provide China Baowu Group with the products, materials and services as follows: (a) production materials such as water, electricity, natural gas, steel billets, steel products, pig iron, solid waste, etc.; (b) other services (including processing, quality control and technical consultation and other technical services), etc. From the effective date of the agreement to 31 December 2023.