Securities Code: 002911 Securities Abbreviation: Foran Energy Announcement No.: 2026-018 Foran Energy Group Co., Ltd. Announcement on Providing Guarantees to Subsidiaries in 2026 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.
Special Reminder: Foran Energy Group Co., Ltd. (hereinafter referred to as the "Company") has a total external guarantee amount exceeding 100% of the Company's latest audited net assets. These guarantees are all provided to subsidiaries within the scope of the Company's consolidated financial statements, and some subsidiaries have an asset-liability ratio exceeding 70%. Investors are kindly requested to pay attention to the risks.
I. Overview of Guarantee Situation
The Company's Sixth Board of Directors' Twenty-Eighth Meeting, held on March 23, 2026, deliberated and approved the "Proposal on the Company's Provision of Guarantees to Subsidiaries in 2026". Due to the needs of the daily operations and business development of the Company's subsidiaries, the Company plans to provide guarantees to its subsidiaries. It is estimated that the Company will provide new guarantee limits totaling no more than RMB 777,000 million (or equivalent foreign currency) to its subsidiaries in 2026. Among them, the new guarantee limit for subsidiaries with an asset-liability ratio below 70% will not exceed RMB 287,000 million, and the new guarantee limit for subsidiaries with an asset-liability ratio of 70% or above will not exceed RMB 490,000 million. The total amount of outstanding external guarantees of the Company is RMB 334,977.17 million (excluding the current guarantee). The guarantee balance at any point in time shall not exceed the sum of the above new and existing guarantee limits. The validity period of the guarantees is from the date of approval by the 2025 Annual Shareholders' Meeting to the date of the 2026 Annual Shareholders' Meeting. During the validity period, if the guaranteed party repays the loan or the guarantee expires, the corresponding guarantee limit will be released and can be used on a rolling basis. The specific guarantee amount shall be subject to the amount specified in the relevant guarantee documents signed by the Company with banks and other financial institutions. The above guarantee matters still need to be submitted for approval by the Company's Shareholders' Meeting.
The specific guarantee limit situation is as follows: (I) Guarantees for subsidiaries with an asset-liability ratio below 70%:
| Guarantor | Guaranteed Party | Direct | Indirect | Guaranteed Party's Latest Asset-Liability Ratio | Current Guarantee Balance (RMB million) | New Guarantee Limit (RMB million) | New Guarantee Limit as a Percentage of Listed Company's Latest Net Assets |
|---|---|---|---|---|---|---|---|
| Foran Energy Group Co., Ltd. | Hong Kong Huayuan Energy International Trading Co., Ltd. | 100% | 9.25% | 0.00 | 80,000.00 | 8.82% | |
| Foshan Hao Neng Energy Investment Co., Ltd. | 100% | 66.32% | 0.00 | 72,000.00 | 7.94% | ||
| Guangdong Foran Technology Co., Ltd. | 100% | 15.13% | 0.00 | 15,000.00 | 1.65% | ||
| Hong Kong Huayuan Energy International Trading Co., Ltd. | 100% | 9.25% | 0.00 | ||||
| Foshan Hao Neng Energy Investment Co., Ltd. | 100% | 66.32% | 0.00 | 120,000.00 | 13.23% | ||
| Shenzhen Qianhai Foran Energy Co., Ltd. | 100% | 19.45% | 0.00 |
Note: The Company provides a total guarantee of no more than RMB 120,000 million (or equivalent foreign currency) to Hong Kong Huayuan Energy International Trading Co., Ltd., Foshan Hao Neng Energy Investment Co., Ltd., and Shenzhen Qianhai Foran Energy Co., Ltd. for hedging business. The three subsidiaries share a guarantee limit of RMB 120,000 million.