Beiqing Huanneng (000803): Subsidiary Company Signs Exclusive Oil Sales Agreement And Strategic Cooperation Agreement

Beiqing Huanneng (000803) announced on the evening of July 29 that the company's wholly-owned subsidiary, Beikong Shifang, plans to sign an exclusive oil sales agreement with Datong chenai, a wholly-owned subsidiary of Beijing chenai, and Gansu chenai, a holding subsidiary of Beijing chenai. The company has made an agreement locking arrangement for the exclusive sales of oils and fats by Gansu chenai and Datong chenai to Beikong ten parties, and to introduce market resources exclusively to the ten parties of Beikong. The ten parties of Beikong are willing to conduct comprehensive strategic cooperation with Beijing chenai and Mr. Baolin and sign the strategic cooperation agreement on the comprehensive acquisition of equity of Beijing chenai, Gansu chenai and Datong chenai during the exclusive period; Mr. Baolin and Beijing chenai are also willing to accept due diligence, consultation and Discussion on equity cooperation only with the 10 parties of Beikong during the exclusive period, and promote equity restructuring, debt restructuring and other issues for the realization of equity cooperation.

The oil processing business is an important part of the company's industrial chain. The signing of the exclusive oil sales agreement can realize the rapid expansion of the production scale and production capacity of the oil business, the rapid growth of the product supply, form the scale advantage, and enhance the competitiveness and pricing ability of the company's oil processing It is necessary to enlarge and strengthen the oil business《 The agreement on exclusive sale of oil and fat made a lock-in arrangement for Gansu chenai and Datong chenai to exclusively sell oils and fats to Beikong ten parties, and to introduce market resources to them exclusively. It has a positive role in promoting the future business layout and development of the company. If the project is implemented smoothly, it is expected to have a positive impact on the company's future business performance.