According to the Zhitong Finance App, China Heart to Heart Fertilizer (01866) issued an announcement that the company's subsidiary, Xinjiang Heart to Heart Energy & Chemical Co., Ltd. (Xinjiang Heart to Heart), plans to build a 60,000-ton polyformaldehyde project (this project). The total investment of the project is estimated at RMB 1.5 billion, and the construction period is about 3 years.

Polyformaldehyde is an advanced engineering plastic product with high technology, high investment and high added value. Its production and processing have high technical content and economic added value, and are characterized by high resource conversion. Heart to Heart in Xinjiang has initially reserved relevant production and technical talents in the field of polyformaldehyde to help the project achieve the expected advanced goals after completion.

After the project is put into operation, it will further extend the methanol industry chain and increase the added value of deep coal processing. It is in line with the “high resource conversion” base position of the Xinjiang base, which will help increase the Group's revenue and profits, and help enterprises move from large chemicals to high-end new chemical materials. Based on the above, the Board believes that the construction of this project is conducive to enhancing the overall interests of the Group.