Key Points from the Announcement

• Renegotiation of PC Agreement: Concord New Energy Group Limited (“the Company”) is in the process of renegotiating the terms of a major transaction—the PC Agreement—due to significant external disruptions.
• Impact of Geopolitical and Economic Factors: Recent geopolitical tensions and military conflicts in the Middle East, along with changes in U.S. tariff policies, have substantially disrupted global commodity prices and international shipping logistics. These disruptions have materially affected the costs and construction timelines of the relevant projects.
• Potential Outcomes: The Company is negotiating with the Contractor to enter a supplemental agreement (the “Supplemental Agreement”). If renegotiation fails, the possibility exists for the PC Agreement to be terminated.
• Shareholder Communication: Once an agreement is reached—either for a supplement or for termination—the Company will issue further announcements and/or dispatch the required circular to inform shareholders and seek necessary approvals.

Details for Shareholders and Investors

• Material Impact on Projects: The disruptions have directly affected project costs and timelines, which could have implications for the Company’s financial performance and future growth prospects.
• Possible Termination of PC Agreement: If renegotiation is unsuccessful, the termination of the PC Agreement could significantly affect the Company’s business and share value.
• Regulatory Compliance: The Company has committed to comply with all applicable Listing Rules and will seek shareholder approval for material changes.
• Investor Caution: The announcement explicitly advises shareholders and potential investors to exercise caution in dealing with the Company’s securities, given the uncertainty surrounding the outcome of the negotiations and the possibility of material changes to the Company’s operations.

Board of Directors

The Board currently comprises:
Executive Directors: Mr. Liu Shunxing (Chairman), Ms. Liu Jianhong (Vice Chairperson), Mr. Niu Wenhui (Chief Executive Officer), Mr. Zhai Feng, Ms. Shang Jia, Mr. Chan Kam Kwan, Jason.
Non-Executive Director: Mr. Wang Feng.
Independent Non-Executive Directors: Ms. Huang Jian, Mr. Jesse Zhixi Fang, Mr. Zhang Zhong, Ms. Li Yongli, Mr. Chua Pin.

Potential Share Price Impact

This announcement contains material, price-sensitive information regarding the renegotiation or possible termination of a major project agreement, which could affect the Company’s revenues, profitability, and long-term business outlook. Investors should monitor subsequent announcements closely, as any change in the status of the PC Agreement may lead to significant movement in the share price.

Next Steps and Investor Guidance

The Company will provide updates as negotiations progress. Shareholders should await further announcements regarding the outcome of the Supplemental Agreement or termination of the PC Agreement. All actions will be taken in accordance with regulatory requirements, including seeking shareholder approval as necessary.

Disclaimer

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should perform their own due diligence and consult with professional advisers before making any investment decisions. The outcome of the negotiation process described herein remains uncertain and may materially affect the share price of Concord New Energy Group Limited.

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