002246SZSE

Special Report on the Deposit, Management, and Use of Raised Funds for the First Half of 2026

North Chemical Industries Co., Ltd.··8 pages

✨ AI Summary

This report details the management and utilization of funds raised by North Chemical Industries Co., Ltd. as of June 30, 2026. The company reports a remaining balance of 262,038,617.60 RMB. One major project, the 30,000-ton activated carbon expansion, has been terminated, while the gas mask production line technical upgrade project was completed and put into operation in September 2024.

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Stock Code: 002246 Stock Abbreviation: Beihua Shares Announcement No.: 2026-037

North Chemical Industries Co., Ltd.

Special Report on the Deposit, Management, and Use of Raised Funds for the First Half of 2026

The Company and all members of the Board of Directors guarantee that the information disclosed is true, accurate, and complete, without false records, misleading statements, or major omissions.

In accordance with the "Regulatory Rules for the Management of Raised Funds of Listed Companies" of the China Securities Regulatory Commission, the "Shenzhen Stock Exchange Listed Company Self-Discipline Supervision Guidelines No. 1 — Standardized Operation of Main Board Listed Companies," and the "Shenzhen Stock Exchange Listed Company Self-Discipline Supervision Guidelines No. 2 — Announcement Format," North Chemical Industries Co., Ltd. (hereinafter referred to as the "Company") has prepared this special report on the deposit, management, and use of raised funds for the first half of 2026.

I. Basic Information on Raised Funds

(I) Amount of Raised Funds and Arrival Time

Approved by the China Securities Regulatory Commission document "Zheng Jian Xu Ke [2017] No. 1417," the Company issued 36,210,025 RMB ordinary shares (A shares) via private placement on December 29, 2017, at an issue price of 11.57 RMB per share. The total amount of funds raised from this private placement was 418,949,989.25 RMB. After deducting securities underwriting fees (including tax) of 9,000,000.00 RMB and financial advisory fees (including tax) of 5,000,000.00 RMB, the actual net proceeds were 404,949,989.25 RMB.

As of December 29, 2017, the above-mentioned funds raised by the Company had all arrived, which was verified by Ruihua Certified Public Accountants (Special General Partnership), who issued the "Capital Verification Report" (Ruihua Yan Zi [2018] No. 01300001).

(II) Amount of Raised Funds Used in Previous Years

As of December 31, 2025, the raised funds generated interest income of 75,416,093.92 RMB, with a cumulative usage of 218,713,865.31 RMB for projects and 20,396.51 RMB paid in bank handling fees. The balance of the raised funds was 261,631,821.35 RMB.

(III) Amount of Raised Funds Used in the Current Year and Year-End Balance

As of June 30, 2026, the raised funds generated interest income of 76,252,505.99 RMB, with a cumulative usage of 219,143,066.13 RMB for projects and 20,811.51 RMB paid in bank handling fees. The balance of the raised funds was 262,038,617.60 RMB.

Details of usage and balances are shown in the table below:

(1) Company Raised Funds Income and Expenditure Status

Unit: RMB

ItemPrivate Placement Raised Funds
Net Raised Funds404,949,989.25
Add: Interest Income76,252,505.99
Less: Cumulative Project Usage219,143,066.13
Including: Prior Replacement
Less: Permanent Replenishment of Working Capital
Less: Temporary Replenishment of Working Capital
Less: Bank Handling Fees20,811.51
Ending Balance262,038,617.60

(2) Status of Raised Funds Storage as of June 30, 2026

Opening BankBank AccountProjectAccount TypeBalance as of June 30, 2026
CCB Luzhou Free Trade Zone Branch51050163640800000069Gas mask upgrade, activated carbon project, intermediary feesSpecial Deposit Account14,712.17
CCB Luzhou Free Trade Zone Branch51050163640800000069Gas mask upgrade, activated carbon project, intermediary feesLarge-denomination Certificate of Deposit256,900,000.00
Bank of China Taiyuan Gulou Branch145497347624Gas mask upgrade projectSpecial Deposit Account26,619.67
CCB Taiyuan Yingxin Street Branch1405018157080000005330,000-ton activated carbon projectSpecial Deposit Account5,097,285.76
Total262,038,617.60

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