The board of the Polyard Petroleum International Group Limited announced that on 28 March 2022, the Company entered into a cooperation agreement (the "Cooperation Agreement") with China Huadian Engineering Co. Ltd. ("CHEC"), pursuant to which each of the Company and CHEC will respectively utilise their edge in the industry to develop and operate a 48MW gas-generated power plant in phase one of the SC49 project (the "Power Plant Project") in the Philippines. Pursuant to the Cooperation Agreement, the Company and CHEC (or respectively through their affiliates) will form cooperation with each other.

Among others, the Company shall obtain the consents, approvals and permits as required by the Philippines Authorities and local government, acquire the land required for the Power Plant Project and arrange its subsidiary China International Mining Petroleum Company Limited ("CIMP") supply natural gas to the Power Plant Project at prices in par with international mine-mouth prices of gas. CHEC shall take up and purchase 51% of the beneficial interest of the Power Plant Project on terms and conditions to be agreed by the relevant parties, provide relevant professional and technical advice and support for the Power Plant Project and assume the engineering, procurement, construction, operation and maintenance of the Power Plant Project. The Company and CHEC shall execute the share purchase agreement and shareholders agreement within 18 months from the date of the Cooperation Agreement.

To the best of the Directors' knowledge, information and belief having made all reasonable enquiries, as at the date of this Announcement, CHEC and its ultimate beneficial owner(s) are third parties independent of and not connected with the Company and its connected persons.