Announcement on the Controlling Shareholder Providing Guarantee for the Company's Bank Loan Application and Related Transactions
Yunnan Luoping Zinc Electric Co., Ltd. and all members of the board guarantee that the content of this announcement is true, accurate, and complete, with no false records, misleading statements, or significant omissions.
I. Overview of Related Transactions
To meet the funding needs for the company's production and business development, the company and its subsidiaries (including all subsidiaries included in the company's consolidated financial statements) plan to apply for a comprehensive credit facility of no more than 820 million yuan from banks, with a low-risk credit limit of 100 million yuan. Among these, the company intends to apply for a comprehensive credit facility of no more than 200 million yuan from the Qujing branch of Fudian Bank Co., Ltd. (hereinafter referred to as "Fudian Bank"). This credit application has been approved by the company's ninth board of directors at the fifth (temporary) meeting held on January 14, 2026, and by the company's first temporary shareholders' meeting of 2026. Recently, the company received a response from Fudian Bank, agreeing to grant a revolving credit facility of 200 million yuan for one year, covering business types including short-term working capital loans, bank acceptance bills, domestic letters of credit, online supply chain, and commercial bill endorsements, with a shared limit. According to Fudian Bank's credit conditions, the company's controlling shareholder, Qujing Development Investment Group Co., Ltd. (hereinafter referred to as "Qujing Development"), is required to provide a guarantee. In light of this, Qujing Development has agreed to provide a guarantee for this loan, and the company will pay a guarantee fee at an annual rate of 0.4%.
According to Article 6.3.6, paragraph 2 of the Stock Listing Rules, transactions with related legal persons (or other organizations) exceeding 3 million yuan and accounting for more than 0.5% of the latest audited net assets of the listed company must be approved by a majority of independent directors and then submitted for board review and timely disclosure. The estimated guarantee fee to be paid to Qujing Development is 800,000 yuan, and the transaction amount does not exceed 3 million yuan. However, the cumulative related transactions with Qujing Development in the past 12 months have reached approximately 46.1958 million yuan, thus this related guarantee matter needs to be submitted for board review but does not require shareholder meeting approval.