Gelonghui, June 26, 丨 Longquan Co., Ltd. (002671.SZ) announced that recently, Shandong Longquan Pipe Industry Co., Ltd. received the “Hunan Tieshan Irrigation Area “14th Five-Year Plan” Renewal Support and Modernization (Phase II) Pingfei Lake Water Supply Project and Tieshan Irrigation Area Water Supply Project PCCP Pipe and Component Procurement and Installation Service Agreement” signed with Hunan Baling Water Resources and Hydropower Construction Engineering Co., Ltd.

The procurement costs and labor remuneration for the project use a comprehensive unit price model. The total contract price (tax included) is approximately RMB 64.8206 million. Once the contract is signed, the comprehensive unit price is not adjusted, with the exception of additional design projects. The settlement amount is based on the actual amount of work generated, and the total settlement price is settled based on the comprehensive unit price of the contract and the actual amount of work carried out.