2025 Annual Risk Continuous Assessment Report of Longyuan Power Regarding National Energy Group Finance Co., Ltd.
National Energy Group Finance Co., Ltd. (hereinafter referred to as "Finance Company") is 60% owned by National Energy Investment Group Co., Ltd. (hereinafter referred to as "National Energy Group"), the controlling shareholder of Longyuan Power Group Co., Ltd. (hereinafter referred to as "the Company"). On November 22, 2024, the Company signed the 2025 Financial Services Agreement with the Finance Company, effective from January 1, 2025, to December 31, 2025. On December 23, 2025, the Company renewed the Financial Services Agreement for 2026-2028, effective from January 1, 2026, to December 31, 2028. According to the Financial Services Agreement, the Finance Company provides comprehensive credit (without requiring any collateral or guarantees from the Group) and various financial services to the Company and its subsidiaries (hereinafter referred to as "the Group"), and the Group can deposit funds with the Finance Company. The Company has assessed the operational qualifications, business, and risk status of the Finance Company by verifying its Financial License and Business License, as well as reviewing its financial reports and risk indicators. The risk assessment results are reported as follows:
I. Basic Information of the Finance Company
(1) Basic Information of the Finance Company
National Energy Group Finance Co., Ltd., with a unified social credit code of 91110000710927476R, has a financial license institution code of L0022H211000001. The legal representative of the Finance Company is Yang Fusuo, and its registered address is Unit 201, 202, 2nd Floor, Building 18, Xizhimen Outer Street, Xicheng District, Beijing. As of December 31, 2025, the registered capital of the Finance Company is 1,750 million yuan, with National Energy Investment Group Co., Ltd. holding 60.00% and China Shenhua Energy Co., Ltd. holding 40.00%. The Finance Company provides financial services for corporate groups, with approved business scope including: accepting deposits from member units; processing loans for member units; handling bill discounting for member units; managing fund settlement and payment for member units; providing entrusted loans, bond underwriting, non-financial guarantees, financial consulting, credit verification, and agency services for member units; engaging in interbank borrowing; handling bill acceptance for member units; managing buyer's credit and consumer credit for member units; engaging in fixed-income securities investment; and other businesses approved by the National Financial Supervision and Administration.
(2) Shareholders' Names, Contribution Amounts, and Ownership Ratios
| No. | Shareholder Name | Contribution Amount (10,000 yuan) | Ownership Ratio (%) |
|---|---|---|---|
| 1 | National Energy Investment Group Co., Ltd. | 1,050,000.00 | 60.00 |
| 2 | China Shenhua Energy Co., Ltd. | 700,000.00 | 40.00 |
II. Basic Situation of Internal Control of the Finance Company
(1) Control Environment
The Finance Company has established a modern corporate governance structure centered on the shareholders' meeting, board of directors, and board of supervisors, and has clearly defined the responsibilities of the board of directors, supervisors, and senior management in internal control. The shareholders' meeting is the highest decision-making body and authority of the Finance Company, while the board of directors is the executive body responsible for major decisions and accountable to the shareholders' meeting. The general manager is responsible for daily operational management activities, exercising authority according to the company's articles of association and board authorization. The governance structure of the Finance Company is sound, with standardized management operations, clear organizational divisions, and well-defined boundaries of responsibilities, providing necessary conditions for effective risk management.