Ningxia Baofeng Energy Group Co., Ltd. announced a private placement to issue not more than 800,000,000 common shares at an issue price of not less than 80% of the average price in the 20 trading days before the pricing reference date for the gross proceeds of not more than CNY 10,000,000,000 on April 20, 2023. The transaction will include participation from not more than 35 investors. The shares cannot be transferred within 6 months from the issuance closing date.

The transaction has been approved in the 2nd Meeting of the Company's 4th Directorate and and the 2nd Meeting of the 4th Supervisory Board and is subject to the approvals of the Company's Shareholders, the Shanghai Stock Exchange, and the China Securities Regulatory Commission.