Shanggao Huanneng Group Co., Ltd. Progress Announcement on Providing Guarantees for Subsidiary Companies

Log in to Sina Finance App and search for [Information Disclosure] to see more evaluation levels.

Securities Code: 000803 Stock Abbreviation: Shanggao Environmental Energy Announcement No.: 2026-004

Shanggao Environmental Energy Group Co., Ltd.

Progress Announcement on Providing Guarantees for Subsidiaries

Our company and all members of the Board of Directors guarantee that the information disclosed is true, accurate, and complete, with no false records, misleading statements, or major omissions.

Special Risk Reminder:

Shanggao Environmental Energy Group Co., Ltd. (hereinafter referred to as “the Company” or “Shanggao Environmental Energy”) and its controlling subsidiaries have guarantees exceeding 100% of the latest audited net assets, and guarantees exceeding 50% of the latest audited net assets for guaranteed entities with a debt-to-asset ratio over 70%. Investors are advised to pay full attention to guarantee risks.

1. Overview of Guarantee Situation

The company’s subsidiary, Shanggao Shifang Environmental Protection Energy Group Co., Ltd. (hereinafter “Shanggao Shifang”), applied for a working capital loan of 30 million yuan from Laishang Bank Co., Ltd. Jinan Longao Branch (hereinafter “Laishang Bank”), with a term of 3 years. The company provides joint liability guarantee.

On April 21, 2025, and May 14, 2025, the company held the 11th Board of Directors’ 20th Meeting and the 2024 Annual Shareholders’ Meeting, respectively, which approved the “2025 External Guarantee Quota Estimate Proposal,” agreeing that within 12 months from the approval date of the 2024 Annual Shareholders’ Meeting, guarantees will be provided for subsidiaries included in the consolidated financial statements (including newly established or acquired wholly-owned or controlling subsidiaries), mutual guarantees among subsidiaries within the scope of the consolidated financial statements, and new guarantees for subsidiaries within the scope of the consolidated financial statements, with a total amount not exceeding RMB 2,655 million. Details are disclosed in the company’s announcements on April 23, 2025, and May 15, 2025, titled “Announcement of 2025 External Guarantee Quota Estimate” and “2024 Annual Shareholders’ Meeting Resolution Announcement” on designated information disclosure media such as China Securities Journal, Shanghai Securities Journal, Securities Times, and Juchao Information Network.

This external guarantee is within the approved guarantee quota. According to the “Shenzhen Stock Exchange Stock Listing Rules” and the “Articles of Association,” no further board or shareholder approval is required.

2. Basic Information of the Guarantor

Name: Shanggao Shifang Environmental Protection Energy Group Co., Ltd.

Unified Social Credit Code: 913701007806070991

Registered Capital: 430 million yuan

Type: Limited Liability Company (wholly owned by non-natural person investors or legal persons)

Legal Representative: Gu Yeming

Business Term: October 13, 2005, to indefinite

Registered Address: 10th Floor, No. 888 Xinluo Street, Jinan Area, China (Shandong) Pilot Free Trade Zone

Business Scope: Permitted items: kitchen waste treatment; construction engineering; urban domestic waste management services; biomass gas production and supply; heat production and supply; sewage treatment and recycling; construction labor subcontracting. (Projects requiring approval must be approved by relevant departments before operation; specific projects are subject to approval documents or permits.) General items: solid waste management; municipal facility management; environmental sanitation public facility installation; energy management contracts; rural waste management; engineering management; environmental consulting; financial consulting; enterprise management consulting; planning consulting; labor services (excluding labor dispatch); environmental protection equipment manufacturing and sales; household waste treatment equipment manufacturing and sales; sludge treatment equipment manufacturing; recycling of renewable resources (excluding production of waste metals); recycling processing; sales of recycled resources; chemical product sales (excluding licensed chemicals); biomass fuel processing; biomass pellet sales; sales of charcoal and firewood; industrial design services; engineering and technical research and development; technical services, development, consulting, exchange, transfer, and promotion; water pollution control; livestock and poultry manure utilization; import and export of goods and technology; small vehicle leasing services; carbon reduction, conversion, capture, and storage technology R&D. (Activities not requiring approval are conducted lawfully with business license.)

Shareholding Structure: Shanggao Environmental Energy holds 100%.

Main financial data for the most recent year and one period:

Unit: 10,000 yuan

■

According to inquiries, Shanggao Shifang is not a dishonest person subject to enforcement.

3. Main Content of the Guarantee Contract to be Signed

Guarantor (Party A): Shanggao Environmental Energy

Creditor (Party B): Laishang Bank

Guarantee Scope: Principal, interest, compound interest, penalty interest, liquidated damages, damages, and all costs incurred by Party B to realize the creditor’s rights and guarantee rights, including lawyer fees, litigation fees, preservation fees, arbitration fees, enforcement fees, appraisal fees, auction fees, audit fees, inquiry fees, notarization fees, announcement fees, travel expenses, etc.

Guarantee Method: Joint liability guarantee. When the debtor fails to perform the main contract obligations, Party A shall bear joint repayment responsibility.

Guarantee Period: Three years from the expiry of the main contract’s performance period; for bank acceptance bills, letters of credit, guarantees, or standby letters of credit, three years from the date Party B advances payment; for commercial bill discounting, three years from the maturity date; if the extension agreement is reached between Party B and the debtor, Party A continues to bear the guarantee responsibility, with the period starting from the extended maturity date for three years; if legal or contractual provisions cause the debt to be due early, the guarantee period is three years from the date Party B determines the early maturity.

Contract Effectiveness Conditions: Effective upon signatures or seals of both Party A and Party B.

The above agreement has not been officially signed; the final signed agreement shall prevail.

4. Total External Guarantees and Overdue Guarantees

As of the announcement date, the actual guarantee balance provided by the company for subsidiaries within the scope of the consolidated financial statements is RMB 3,133.9738 million, accounting for 219.34% of the latest audited net assets attributable to the parent company; the guarantee balance from controlling subsidiaries to the company is RMB 317.80 million, accounting for 22.24%; guarantees among controlling subsidiaries amount to RMB 270 million, accounting for 18.90%. The total guarantee balance is RMB 3,721.7738 million, accounting for 260.48% of the latest audited net assets attributable to the parent company. The company and controlling subsidiaries have not provided guarantees outside the scope of the consolidated financial statements, and there are no overdue guarantees.

Shanggao Environmental Energy Group Co., Ltd.

Board of Directors

March 18, 2026