The board (the "Board") of directors of Allied Sustainability and Environmental Consultants Group Limited announce that on 28 December 2021, the Company entered into a strategic cooperation memorandum (the "Strategic Cooperation Memorandum") with Heng Tai Consumables Group Limited and its subsidiaries ("HTC Group"). Pursuant to the Strategic Cooperation Memorandum, the principal terms of the cooperation are as follows: HTC Group is going to collaborate with the Group to embed sustainable low carbon practices in its operation in order to promote and achieve carbon neutrality. HTC Group and the Group aim to assist the suppliers, clients, business partners and other stakeholders in adopting sustainable practices, advocated Environmental, Social and Governance ("ESG"), Nature-based Solutions ("NbS"), green finance and responsible investment; Under this collaboration, it is the goal to provide (i) green technology recommendations and complimentary green finance and responsible investment advices and (ii) thoughtful, technical and sustainable NbS for carbon neutrality for respective potential clients; To better achieve the abovementioned goal, HTC Group and the Group will incorporate the application of blockchain technology and NbS as believe that blockchain technology is one of the essential elements to establish quality carbon credits for Carbon Trading Market and NbS is a holistic and sustainable approach to combat climate change and to develop carbon offsetting mechanism; The Group will assist HTC Group on the development of its framework with reference to Task Force on Climate-related Financial Disclosures and Taskforce on Nature-related Financial Disclosures to enhance climate risk disclosures and to combat climate change.

In addition, the Group will assist HTC Group to improve its ESG performance, to reduce carbon emission, to set a roadmap for carbon neutrality and to develop strategies to capture new business opportunities arisen from climate change resilience; With this collaboration, HTC Group and the Group are committed to providing sustainability and carbon neutrality consulting services to advise diverse clients on practical solutions to reduce carbon emissions in their operations; and The Group and HTC Group aim to jointly promote the businesses arising from this Strategic Cooperation Memorandum through webinars, training courses and industry events regularly to foster knowledge sharing in carbon emission reduction and enhance sustainability awareness among target customers. The Strategic Cooperation Memorandum will be valid for 1 year from 28 December 2021.