XTC NEW ENERGY MATERIALS(XIAMEN)CO.,LTD., intends to acquire the remaining 30% stake in XTC Tungsten New Materials (Ningde) Co., Ltd., from Fujian Mindong Electric Power Limited Company (SZSE:000993) for CNY 30.1 million on May 29, 2021. The consideration will be paid from XTC's own funds. The equity transfer agreement is signed within 3 working days after all parties have performed the internal decision-making procedures, and within 2 working days after the agreement is signed, XTC NEW ENERGY MATERIALS(XIAMEN)CO.,LTD., will pay the equity transfer price in a lump sum in cash to Fujian Mindong Electric Power Limited Company's bank account. XTC NEW ENERGY MATERIALS(XIAMEN)CO.,LTD. signed a share transfer agreement to acquire the remaining 30% stake in XTC Tungsten New Materials (Ningde) Co., Ltd., from Fujian Mindong Electric Power Limited Company on June 22, 2021. As a result of the transaction, stake of XTC NEW ENERGY MATERIALS(XIAMEN)CO.,LTD., in XTC Tungsten New Materials (Ningde) Co., Ltd., will increase from 70% to 100%, whereas the stake of Fujian Mindong Electric Power Limited Company, in XTC Tungsten New Materials (Ningde) Co., Ltd., will cease to exist. XTC Tungsten New Materials (Ningde) Co., Ltd., had total assets of CNY 1.3 billion and net assets of CNY 41.01 million as of March 31, 2021. The transaction has been reviewed and approved at the second meeting of the Xiamen Tungsten Co., Ltd.'s 9th board of directors and the 9th meeting of the first board of directors of Xiamen Tungsten New Energy, and there is no need to submit it to the general meeting of shareholders for deliberation. As of May 28, 2021, the 32nd session of Fujian Mindong Electric Power Limited Company approved the transfer. This transaction was also approved by the State-owned Assets Supervision and Administration Commission of Ningde, and still needs to be approved by Fujian Mindong Electric Power Limited Company's shareholders' meeting. As of June 16, 2021, transaction is approved by the shareholders of Fujian Mindong Electric Power Limited Company.

XTC NEW ENERGY MATERIALS(XIAMEN)CO.,LTD. completed the acquisition of the remaining 30% stake in XTC Tungsten New Materials (Ningde) Co., Ltd., from Fujian Mindong Electric Power Limited Company (SZSE:000993) on June 24, 2021. Fujian Mindong Electric Power Limited Company received the consideration on June 24, 2021.