Securities Code: 001360 Securities Abbreviation: Nanchang Mining Group Announcement No.: 2026-013 Nanchang Mining Machinery Group Co., Ltd. 2025 Special Report on the Collection, Management, and Use of Raised Funds The Company and all members of the Board of Directors guarantee that the information disclosed is true, accurate, and complete, and that there are no false records, misleading statements, or material omissions. In accordance with the "Supervision Regulations for the Collection of Funds by Listed Companies" issued by the China Securities Regulatory Commission, and the "Guiding No. 1 for Self-Regulation of Listed Companies on the Shenzhen Stock Exchange – Standardized Operation of Main Board Listed Companies" and other relevant regulations, Nanchang Mining Machinery Group Co., Ltd. (hereinafter referred to as the "Company," "this Company," or "Nanchang Mining Group") hereby submits this special report on the collection, management, and use of raised funds in 2025: I. Basic情况 of Raised Funds (I) Amount of Funds Actually Raised and Capital Arrival Situation According to the "Approval on the Registration of the Initial Public Offering of Shares by Nanchang Mining Machinery Group Co., Ltd." (Zhengjian Permit (2023) No. 586) issued by the China Securities Regulatory Commission, the Company issued 51 million shares of RMB ordinary shares (A shares) at an issue price of RMB 15.38 per share, raising a total of RMB 784.38 million. After deducting non-tax issuance expenses of RMB 6,985.19 million, the net amount of funds actually raised was RMB 71,452.81 million. The aforementioned raised funds arrived on April 4, 2023. Lixin Certified Public Accountants (Special General Partnership) audited the arrival of the raised funds for this issuance on April 4, 2023, and issued an "Audit Report" (Xin Huai Shi Bao Zi [2023] No. ZL10070). The Company has implemented special account storage management for the raised funds in accordance with regulations and has signed "Three-Party Supervisory Agreements for Raised Funds" and "Four-Party Supervisory Agreements for Raised Funds" with the sponsor and the commercial banks where the raised funds are deposited. (II) Cumulative Amount of Raised Funds Used and Current Balance As of December 31, 2025, the usage and balance of the Company's raised funds are as follows: Item Amount (RMB) Net amount of funds actually raised on April 4, 2023 714,528,144.06 Project investment 298,952,316.52 Net interest income 10,974,106.12 Project investment 110,136,208.09 Net interest income 4,386,908.30 Cumulative amount of funds actually raised 409,088,524.61 Cumulative amount of funds temporarily used to supplement working capital 15,361,014.42 Cumulative amount of funds permanently used to supplement working capital 50,000,000.00 Cumulative expenses for special account handling fees for raised funds 102,975,342.20 10,135.50 Balance of raised funds as of December 31, 2025 167,815,156.17 Of which: Balance of funds managed for cash management using idle raised funds 108,000,000.00 II. Collection, Storage, and Management of Raised Funds (I) Management of Raised Funds To standardize the management and use of raised funds and protect the interests of investors, the Company has formulated the "Special Management System for Raised Funds" in accordance with the "Company Law of the People's Republic of China," the "Securities Law of the People's Republic of China," the "Guiding No. 1 for Self-Regulation of Listed Companies on the Shenzhen Stock Exchange – Standardized Operation of Main Board Listed Companies," the "Articles of Association of Nanchang Mining Machinery Group Co., Ltd.," and other laws, regulations, and normative documents, and has adopted a special account storage system for raised funds. The Company has opened special accounts for raised funds at the Xinjian Branch of Industrial and Commercial Bank of China, the Changbei Branch of China Merchants Bank Co., Ltd. in Nanchang, and the Xianghu Branch of China Everbright Bank Co., Ltd. in Nanchang. In April 2023, it signed "Three-Party Supervisory Agreements for Raised Funds" with the aforementioned banks and the sponsor Guosen Securities Co., Ltd. (hereinafter referred to as "Guosen Securities" or "Sponsor"). Jiangxi Xin Kuang Zhi Wei Engineering Technology Co., Ltd. (hereinafter referred to as "Jiangxi Xin Kuang"), a wholly-owned subsidiary, has opened special accounts for raised funds at the Wanli Branch of China Agricultural Bank of China and the Xinjian Branch of Bank of Beijing Co., Ltd. in Nanchang, and signed "Four-Party Supervisory Agreements for Raised Funds" with the aforementioned banks and the sponsor Guosen Securities in April 2023. The aforementioned raised funds supervisory agreements do not have significant differences from the template of the three-party supervisory agreements of the Shenzhen Stock Exchange. All parties have performed their obligations as agreed and are operating normally without any abnormalities. On March 7, 2025, the Company held the fifth meeting of the second session of the Board of Directors and the fourth meeting of the second session of the Supervisory Board, and on March 26, 2025, held the first extraordinary general meeting of shareholders in 2025 to deliberate and approve the "Proposal on Changing the Use of Some Raised Funds and Postponing Some Raised Fund Investment Projects." It was agreed to reduce the investment scale of the original raised fund investment project "Intelligent Transformation Project of Nanchang Mining Machinery Group Co., Ltd.," and to use RMB 50 million of the funds for the "Overseas Warehousing and Logistics and Marketing Network Construction Project." To further standardize the management and use of raised funds and protect the interests of investors, in accordance with the requirements of relevant laws, regulations, and normative documents such as the "Guiding No. 1 for Self-Regulation of Listed Companies on the Shenzhen Stock Exchange – Standardized Operation of Main Board Listed Companies," the Company, the sponsor, and Xinjian Branch of Industrial and Commercial Bank of China signed a "Three-Party Supervisory Agreement for Raised Funds." (II) Storage of Raised Funds As of December 31, 2025, the storage of raised funds is as follows: Account Name Bank Name Bank Account Deposit Type Amount (RMB) Jiangxi Xin Kuang China Agricultural Bank of China, Wanli Branch, Nanchang 1401xxxxx19106 Current Deposit 6,106,782.73 Bank of Beijing Co., Ltd., Nanchang Xinjian Branch 200000xxxxxx0116786223 Current Deposit 11,760,278.62 Large-denomination Certificate of Deposit 20000060xxxxx1840682-00011 40,000,000.00 Industrial and Commercial Bank of China, Xinjian Branch 1502240xxxxx318083 Current Deposit 1,487,441.58 Large-denomination Certificate of Deposit 150224xxxxx10006179 30,000,000.00 Nanchang Mining Group China Merchants Bank Co., Ltd., Changbei Branch, Nanchang 1109xxxxxx1110608 Current Deposit 31,650,567.42 China Everbright Bank Co., Ltd., Xianghu Branch, Nanchang 50060xxxxxx075505 Current Deposit 333,707.28 Industrial and Commercial Bank of China, Xinjian Branch 150224xxxx358133 Current Deposit 8,476,378.54 Large-denomination Certificate of Deposit 1502240xxxxxx006179 38,000,000.00 Total 167,815,156.17 III. Actual Use of Raised Funds This Year (I) Use of Funds for Raised Fund Investment Projects The actual use of raised funds during the reporting period is detailed in Appendix 1, "Comparison Table of Raised Fund Usage." (II) Management of Idle Raised Funds for Cash Management On April 22, 2025, the Company held the sixth meeting of the second session of the Board of Directors and the fifth meeting of the second session of the Supervisory Board, and deliberated and approved the "Proposal on Using Part of Idle Raised Funds for Cash Management." It was agreed that the Company, while ensuring that the construction of raised fund investment projects and the use of raised funds are not affected and risks are effectively controlled, would use a portion of idle raised funds not exceeding RMB 300 million for cash management. These funds would be invested in products with high safety, good liquidity, and a single product investment period not exceeding 12 months. The validity period of this quota would not exceed 12 months from the date of approval by the second session of the Board of Directors. Within the above quota and validity period, funds can be used in a revolving manner. As of December 31, 2025, the income from the Company's use of idle raised funds for cash management in 2025 was RMB 426.26 million. The amount of idle raised funds used for cash management that has not yet been redeemed is RMB 10,800.00 million, as follows: Account Name Bank Name Product Name Amount (RMB million) Product Type Start Date Maturity Date Redeemed Jiangxi Xin Kuang Bank of Beijing Co., Ltd., Xinjian Branch DE2500909 Large-denomination Certificate of Deposit 4,000.00 Large-denomination Certificate of Deposit 2025/12/8 2026/3/8 No Nanchang Mining Group Industrial and Commercial Bank of China, Xinjian Branch ICBC 2025 7th Tranche Corporate Large-denomination Certificate of Deposit (12 months) 3,000.00 Large-denomination Certificate of Deposit 2025/7/9 2026/7/9 No Industrial and Commercial Bank of China, Xinjian Branch ICBC 2025 6th Tranche Corporate Large-denomination Certificate of Deposit (6 months) 3,800.00 Large-denomination Certificate of Deposit 2025/7/9 2026/1/9 No Total 10,800.00 (III) Changes in the Implementation Location and Implementation Method of Raised Fund Investment Projects During the reporting period, the Company has no changes in the implementation location or implementation method of its raised fund investment projects. (IV) Prior Investment and Replacement of Raised Funds
- Use of Raised Funds to Replace Self-Raised Funds Pre-Invested in Raised Fund Investment Projects and Costs Paid for Issuance On April 26, 2023, the Company held the twelfth meeting of the first session of the Board of Directors and the seventh meeting of the first session of the Supervisory Board, and deliberated and approved the "Proposal on Using Raised Funds to Replace Self-Raised Funds Pre-Invested in Raised Fund Investment Projects and Costs Paid for Issuance." It was agreed to use raised funds to replace the RMB 6,641.27 million pre-invested in raised fund investment projects and the RMB 199.37 million in pre-paid issuance costs. The independent directors, the Supervisory Board, and the sponsor all issued clear opinions of consent. Lixin Certified Public Accountants (Special General Partnership) issued the "Special Audit Report on the Replacement of Raised Funds by Nanchang Mining Machinery Group Co., Ltd." (Xin Huai Shi Bao Zi [2023] No. ZL10090). For details, please refer to the "Announcement on the Use of Raised Funds to Replace Self-Raised Funds Pre-Invested in Raised Fund Investment Projects and Costs Paid for Issuance" disclosed on Juchao Information Network on April 28, 2023 (Announcement No.: 2023-006).
- Use of Bank Acceptance Drafts and Other Methods to Pay for Raised Fund Investment Projects On August 20, 2023, the Company held the fourteenth meeting of the first session of the Board of Directors and the first meeting of the first session of the Supervisory Board, and deliberated and approved the "Proposal on Using Bank Acceptance Drafts and Other Methods to Pay for Raised Fund Investment Projects and Replacing Them with Equivalent Amounts of Raised Funds." It was agreed that during the implementation period of the raised fund investment projects, the Company would use bank acceptance drafts and other methods to pay for the raised fund investment projects as needed, and would transfer equivalent amounts of raised funds from the special raised fund account to the Company's general account on a regular basis. Independent directors issued independent opinions, and the sponsor Guosen Securities issued a verification opinion. As of December 31, 2025, the total amount paid for raised fund investment projects using bank acceptance drafts and other methods, and replaced by equivalent amounts of raised funds, was RMB 35,940,281.58.
- Use of Self-Raised Funds, Letters of Credit, and Own Foreign Exchange to Pay for Raised Fund Investment Projects On October 23, 2024, the Company held the second meeting of the second session of the Board of Directors and the second meeting of the second session of the Supervisory Board, and deliberated and approved the "Proposal on Using Self-Raised Funds, Letters of Credit, and Own Foreign Exchange to Pay for Part of the Raised Fund Investment Projects and Replacing Them with Equivalent Amounts of Raised Funds Later." It was agreed that, without affecting the normal progress of the raised fund investment plan, the Company would use self-raised funds, letters of credit, and own foreign exchange to pay for part of the raised fund investment projects based on the implementation progress of the raised fund investment projects and after obtaining relevant approvals. These would be replaced by equivalent amounts of raised funds later and transferred from the special raised fund account to the bank account of the implementing entity of the raised fund investment projects. Independent directors issued independent opinions, and the sponsor Guosen Securities issued a verification opinion. As of December 31, 2025, the total amount paid for raised fund investment projects using self-raised funds, letters of credit, and own foreign exchange, and replaced by equivalent amounts of raised funds, was RMB 63,199,075.31. (V) Temporary Supplementation of Working Capital with Idle Raised Funds On October 22, 2025, the Company held the ninth meeting of the second session of the Board of Directors and deliberated and approved the "Proposal on Re-using Part of Idle Raised Funds to Temporarily Supplement Working Capital." It was agreed that, without affecting the capital demand for the construction of raised fund investment projects and the normal progress of raised fund investment projects, the Company would use idle raised funds not exceeding RMB 60 million to temporarily supplement working capital. The usage period would not exceed 12 months from the date of approval by the Board of Directors. The funds would be repaid to the special raised fund account in advance or when needed for raised fund investment projects. As of December 31, 2025, the total amount of raised funds used for temporarily supplementing working capital was RMB 50 million. (VI) Use of Surplus Raised Funds The Company has no situation where surplus raised funds from raised fund investment projects are used for other raised fund investment projects or non-raised fund projects. (VII) Use of Excess Raised Funds The Company has no situation of excess raised funds. (VIII) Use and Destination of Unused Raised Funds As of December 31, 2025, the Company's balance of raised funds was RMB 167,815,156.17, of which the balance in the special raised fund account was RMB 59,815,156.17, and the balance in the cash management account was RMB 108,000,000.00. These funds will continue to be used for the construction of raised fund investment projects. IV. Use of Funds for Changed Raised Fund Investment Projects (I) Changes in Raised Fund Investment Projects On March 7, 2025, the Company held the fifth meeting of the second session of the Board of Directors and the fourth meeting of the second session of the Supervisory Board, and on March 26, 2025, held the first extraordinary general meeting of shareholders in 2025 to deliberate and approve the "Proposal on Changing the Use of Some Raised Funds and Postponing Some Raised Fund Investment Projects." It was agreed to reduce the investment scale of the original raised fund investment project "Intelligent Transformation Project of Nanchang Mining Machinery Group Co., Ltd.," change the project construction content, and postpone the planned completion date to December 31, 2026. RMB 134.9805 million will continue to be used for the "Intelligent Transformation Project of Nanchang Mining Machinery Group Co., Ltd."; RMB 50 million will be used for the "Overseas Warehousing and Logistics and Marketing Network Construction Project"; and the remaining funds (the specific amount will be based on the actual balance of the raised fund account at the time of transfer) will be used to supplement working capital. At the same time, the original raised fund investment project "Integrated Technology Building and Intelligent Operation and Maintenance Platform Construction Project" will be terminated, and the remaining raised funds from this project (the specific amount will be based on the actual balance of the raised fund account at the time of transfer) will be fully used to supplement working capital. The "Intelligent Transformation Project of Nanchang Mining Machinery Group Co., Ltd." involves building a comprehensive information system to intelligently transform the existing factory area. The objective is to comprehensively improve the intelligent level of the Company's production workshops, improve product quality and production efficiency. To meet the construction requirements of the "Intelligent Transformation Project of Nanchang Mining Machinery Group Co., Ltd.," new factory buildings need to be constructed and existing factory areas need to be adapted and decorated. In accordance with the Company's current development strategy and the actual construction progress of the project, the investment scale of this project is to be reduced, and the project construction content is to be changed. Therefore, the hardware and software equipment will be optimized and adjusted, and part of the funds will be used for the "Overseas Warehousing and Logistics and Marketing Network Construction Project," which is in line with the Company's development strategy, and part of the funds will be used to supplement working capital to support the Company's operational development needs. Due to the project change involving the construction of factory buildings, it requires approval from relevant departments, and the process is long, so the construction period will be extended to December 31, 2026. Regarding the "Integrated Technology Building and Intelligent Operation and Maintenance Platform Construction Project," the Company originally planned to invest RMB 150.4394 million of raised funds in this project. By constructing an integrated technology building, the Company's R&D center, marketing headquarters, and intelligent operation and maintenance management headquarters will achieve centralized office operations, comprehensively improving the efficiency of process management and financial management in actual business operations, and reducing administrative costs and operational risks. Based on the actual net amount of raised funds from the Company's initial public offering, the planned investment amount for this project has been adjusted to RMB 20 million. Given the significant gap between the actual amount of raised funds received and the originally planned investment amount. Considering the Company's business development and capital needs, the Company has decided to terminate this project and use the remaining funds to supplement working capital. For details, please refer to the "Announcement on Changing the Use of Some Raised Funds and Postponing Some Raised Fund Investment Projects" disclosed on Juchao Information Network on March 8, 2025 (Announcement No.: 2025-005). The detailed use of funds for the changed raised fund investment projects is detailed in Appendix 2, "Table of Changes in Raised Fund Investment Projects." (II) Situation Where Planned Progress Was Not Achieved or the Project's Feasibility Changed Significantly As of December 31, 2025, the Company has not experienced any situation where planned progress was not achieved or the project's feasibility changed significantly. (III) Reasons and Circumstances Why the Changed Raised Fund Investment Projects Cannot Independently Calculate Benefits As of December 31, 2025, the Company has not experienced any situation where the changed raised fund investment projects cannot independently calculate benefits. (IV) Situation Where Raised Fund Investment Projects Have Been Transferred or Replaced As of December 31, 2025, the Company has not experienced any situation where raised fund investment projects have been transferred or replaced. V. Problems in the Use and Disclosure of Raised Funds During the reporting period, the Company has strictly complied with the "Supervision Regulations for the Collection of Funds by Listed Companies," the "Guiding No. 1 for Self-Regulation of Listed Companies on the Shenzhen Stock Exchange – Standardized Operation of Main Board Listed Companies," and other laws, regulations, and normative documents. The information disclosed by the Company is not untimely, untrue, inaccurate, or incomplete. There are no violations in the collection, storage, use, management, and disclosure of raised funds. Appendices:
- "Comparison Table of Raised Fund Usage";
- "Table of Changes in Raised Fund Investment Projects." Nanchang Mining Machinery Group Co., Ltd. Board of Directors April 23, 2026 Appendix 1: Compiled by: Nanchang Mining Machinery Group Co., Ltd. Unit: RMB million Raised Fund Total [Note 1] 71,452.81 Total Raised Funds This Period 11,013.62 Total Amount of Raised Funds Whose Use Was Changed During the Reporting Period 15,297.53 Cumulative Amount of Raised Funds Whose Use Was Changed 15,297.53 Cumulative Investment of Raised Funds 40,908.86 Proportion of Cumulative Raised Funds Whose Use Was Changed 21.41% Committed Investment Projects and Allocation of Super-Raised Funds Whether the Project Was Changed (Including Partial Changes) Committed Investment Amount of Raised Funds Adjusted Investment Amount (1) Amount Invested This Period Cumulative Amount Invested by End of Period (2) Investment Progress by End of Period (%) (3)=(2)/(1) Project Planned Completion Date Actual Benefits Achieved This Period Whether Expected Benefits Are Achieved Whether Project Feasibility Has Changed Significantly Committed Investment Projects
- Industrialization Project for Key Supporting Components of High-End Intelligent Crushing Machinery No 59,738.58 42,000.00 6,378.63 34,855.32 82.99% April 3, 2025 Not Applicable No Yes
- Intelligent Transformation Project of Nanchang Mining Machinery Group Co., Ltd. Yes 40,629.04 14,823.72 4,281.77 5,496.87 37.08% December 31, 2026 Not Applicable No Yes
- Integrated Technology Building and Intelligent Operation and Maintenance Platform Construction Project Yes 15,043.94 2,000.00 0.00 203.45 10.17% Not Applicable Not Applicable Yes
- Overseas Warehousing and Logistics and Marketing Network Construction Project No 0.00 5,000.00 353.22 353.22 7.06% March 27, 2028 Not Applicable No Yes Total 115,411.56 63,823.72 11,013.62 40,908.86 Reasons for Failure to Achieve Planned Progress or Expected Benefits (By Project)
- The "Industrialization Project for Key Supporting Components of High-End Intelligent Crushing Machinery" has been completed according to the investment plan and progress schedule, but the equipment is still undergoing debugging.
- On March 7, 2025, the Company held the fifth meeting of the second session of the Board of Directors and the fourth meeting of the second session of the Supervisory Board, and on March 26, 2025, held the first extraordinary general meeting of shareholders in 2025 to deliberate and approve the "Proposal on Changing the Use of Some Raised Funds and Postponing Some Raised Fund Investment Projects," agreeing to postpone the planned completion date of the "Intelligent Transformation Project of Nanchang Mining Machinery Group Co., Ltd." to December 31, 2026, and terminate the original raised fund investment project "Integrated Technology Building and Intelligent Operation and Maintenance Platform Construction Project." Description of Major Changes in Project Feasibility Refer to Report Section "IV. (I) Changes in Raised Fund Investment Projects" Amount of Super-Raised Funds, Use, and Progress of Use Not Applicable Changes in the Implementation Location of Raised Fund Investment Projects Not Applicable Changes in the Implementation Method of Raised Fund Investment Projects Not Applicable Prior Investment and Replacement of Raised Fund Investment Projects Refer to Report Section "III. (IV) Prior Investment and Replacement of Raised Fund Investment Projects" Temporary Supplementation of Working Capital with Idle Raised Funds Refer to Report Section "III. (V) Temporary Supplementation of Working Capital with Idle Raised Funds" Cash Management with Idle Raised Funds Refer to Report Section "III. (II) Cash Management with Idle Raised Funds" Amount of Raised Fund Surpluses and Reasons Not Applicable Use and Destination of Unused Raised Funds Refer to Report Section "III. (VIII) Use and Destination of Unused Raised Funds" Problems in Raised Fund Usage and Disclosure or Other Matters None during the reporting period. Note 1: "Total Raised Funds" in the table above refers to the net amount of raised funds after deducting issuance expenses from the total amount of raised funds. Note 2: The data discrepancies in the table above are due to rounding. Appendix 2: Table of Changes in Raised Fund Investment Projects Compiled by: Nanchang Mining Machinery Group Co., Ltd. Unit: RMB million Changed Project Corresponding Original Committed Project Total Raised Funds to Be Invested in Changed Project (1) Amount Invested This Period Cumulative Amount Invested by End of Period (2) Investment Progress by End of Period (%) (3) = (2)/(1) Project Planned Completion Date Actual Benefits Achieved This Period Whether Expected Benefits Are Achieved Whether Project Feasibility Has Changed Significantly Overseas Warehousing and Logistics and Marketing Network Construction Project Intelligent Transformation Project of Nanchang Mining Machinery Group Co., Ltd. 5,000.00 353.22 353.22 7.06% March 27, 2028 Not Applicable Not Applicable No Yes Permanent Working Capital Supplementation Intelligent Transformation Project of Nanchang Mining Machinery Group Co., Ltd., Integrated Technology Building and Intelligent Operation and Maintenance Platform Construction Project 10,297.53 10,297.53 10,297.53 100% Not Applicable Not Applicable Not Applicable Not Applicable Total 15,297.53 10,650.75 10,650.75 Reasons for Changes, Decision-Making Procedures, and Information Disclosure (By Project) Refer to Report Section "IV. (I) Changes in Raised Fund Investment Projects" Reasons for Failure to Achieve Planned Progress or Expected Benefits (By Project) Not Applicable Description of Major Changes in Project Feasibility Not Applicable