Jiangnan Chemical: Intends to publicly delist the asset transfer and leasing project of Fushun Mining Group Co., Ltd. Factory 11 (explosives assets) refers to military explosives or fireworks assets.

Jiangnan Chemical Industry Announcement: The company plans to participate in the transfer of the production line of emulsified explosives of Fushun Mining Group Limited Liability Company No. 11 Factory and its attached 18,000 tons of emulsified explosives through public listing. The transfer price is 146 million yuan including tax, and the final amount will be determined by competitive bidding results. At the same time, the company also plans to participate in the rental project of 92 buildings and structures and 41 ancillary equipment at Fushun Mining Factory No. 11. The rental price is 52.995 million yuan for a period of ten years. This transaction does not constitute a related party transaction or a major asset reorganization, it has been approved within the scope of the company's board of directors and does not require shareholder approval. The transaction will be conducted publicly on the Dalian Property Rights Exchange and there is uncertainty.