Wuhan Organic (02881) signed a project management service agreement for the first phase civil engineering of the Malaysian factory

Zhitong Finance App News, Wuhan Organic (02881) issued an announcement. On September 23, 2026, the owner (a wholly-owned subsidiary of the Company) signed a project management service agreement with the service provider. The service provider agreed to provide project management and consulting services for the first phase of the civil engineering project.

The service fee payable under the project management service agreement is a fixed amount of RMB 4 million.

The first phase of the Malaysian plant plan includes production facilities for sodium benzoate and benzyl alcohol, with planned annual production capacity of about 15,000 tons and 10,000 tons, respectively. The first phase of the civil engineering project will provide production workshops, warehouses, administrative offices, storage tank areas, and external and supporting space required for subsequent processes, equipment and other professional engineering and trial operation of the Group's overseas production base in Malaysia.

Achieving the planned production capacity will still depend on the progress of the project, obtaining the appropriate approvals, and actual trial operation arrangements.

Malaysia's project delivery, inspection and statutory supervision framework is different from the framework commonly used by the Group for construction projects in China. Given the size and technical requirements of the Malaysian plant, and the Group's emphasis on construction safety, environmental compliance, quality, materials, cost and schedule control, the Group believes it is appropriate to appoint an experienced project management service provider to supplement the owners' internal resources and coordinate with Malaysian design consultants, contractors and other project participants.

Service providers were selected through a competitive solicitation process involving multiple independent third party bidders. It obtained the highest overall evaluation results and demonstrated relevant technical capabilities, project personnel and experience in plant construction and chemical industry projects. Following the tender process and fair negotiations thereafter, the parties agreed to a fixed service fee of RMB 4 million. A fixed service fee also helps the Group determine and control the cost of project management services.