Bengang Steel Plates Co., Ltd.

Interim Report 2025

August 2025

Ⅰ. Important Notice, Table of Contents, and Definitions

The Board of Directors, the Supervisory Committee and the Directors, members of the SupervisoryCommittee and senior management of the Company guarantee that there are no misrepresentationsor misleading statements, or material omission in this report, and individually and collectively acceptfull responsibility for the authenticity, accuracy and integrity of the information contained in thisreport.

Huang Zuowei, the person in charge of the company, Zheng Zhengli, the person in charge ofaccounting work, and E Jianan, the person in charge of the accounting organization (accountingofficer), hereby confirm that the financial report in this interim report is true, accurate and complete.

All directors have attended the board meeting to review this report.

This report involves forward-looking statements such as future plans and does not constitute asubstantial commitment of the company to investors. Investors are advised to pay attention toinvestment risks. This report is prepared in Chinese and English respectively. In the event ofdiscrepancies in the interpretation of Chinese and foreign texts, the Chinese text shall prevail.

The Company has described the existing risks and countermeasures in detail in this report, pleaserefer to the content of Section 3-10 "Risks Faced by the Company and Countermeasures". "ChinaSecurities Journal", "Securities Times", "Hong Kong Commercial Daily" and Juchao InformationNetwork are selected as the company's information disclosure media. All information about thecompany is subject to the information published in the above-mentioned designated media. Investorsare kindly requested to pay attention to investment risks.

The Company plans not to pay cash dividends, issue bonus shares, or increase capital by convertingreserves.

Table of Contents

Ⅰ. Important Notice, Table of Contents, and Definitions ..................................................................... 2

Ⅱ. Company Profile and Main Financial Index ................................................................................... 6

III. Management Discussion and Analysis ........................................................................................ 10

IV. Corporate Governance, Environment and Social Responsibilities .............................................. 30

V. Important Events ........................................................................................................................... 32

VI. Status of Share Capital Changes and Shareholders ..................................................................... 59

VII. Status of Bonds ........................................................................................................................... 63

VIII. Financial Report ........................................................................................................................ 67

IX. Other Reported Data .................................................................................................................. 247

Reference File Directory

1. Financial statements containing the signatures and seals of legal representative, chief financial officer, and

chief accountant;

2. The originals of all company documents and announcements publicly disclosed during the reporting period;

3. Interim reports published in other securities markets.

Definition

Terms to be defined Refers to Content of DefinitionBengang Bancai, the Company, theListed Company

Refers to Bengang Steel Plates Co., Ltd.Ansteel Refers toAnsteel Group Co., Ltd.

Bengang Group Refers to Bengang Group Co., Ltd.Bengang Steel Co., Bengang Co. Refers to Benxi Steel & Iron (Group) Co., Ltd.SSE Refers to Shenzhen Stock ExchangeLiaoning Provincial State-assetAdministration

Refers to

Liaoning State-owned Asset Supervisory andManagement CommitteeBengang Posco Refers to Bengang Posco Cold-rolled Sheet Co., Ltd.Ansteel Finance Co. Refers to Ansteel Group Finance Co., Ltd.Angang Refers to Angang Steel Company LimitedVanadium & Titanium Co. Refers to

Ⅱ. Company Profile and Main Financial Index

I. Company Information

Stock abbreviation Bengang Bancai, Bengangban B Stock Code 000761, 200761Stock exchange for listing Shenzhen Stock ExchangeCompany name in Chinese 本钢板材股份有限公司

本钢板材

BENGANG STEEL PLATES CO., LTD.

BSPLegal representative Huang Zuowei

II. Contact Information

Abbreviation of Companyname in English (If any)

NameZheng ZhengliChen LiwenAddress

No1-1 Gangtie Road, Pingshan District,Benxi City, Liaoning Province

No1-1 Gangtie Road, Pingshan District,Benxi City, Liaoning Province

Tel024-47827003 024-47828980

Fax024-47827004 024-47827004

III. Other Information

1.Contact Information of the Company

Whether the registered address, office address, postal code, company website and email address have changed

□ Applicable √ Not applicable

The company's registered address, office address, postal code, company website, email address, and etc. have notchanged during the reporting period. Please refer to Annual Report 2024 for details.

2. Place for information disclosure

Whether the information disclosure and place for consulting have changed

□ Applicable √ Not applicable

Name of newspaper selected by the Company for information release, website appointed by CSRC for publishinginterim report and lodging address of interim report of the Company have not changed during the reporting period.Please refer to Annual Report 2024 for details

3. Other related information

Whether other related information have changed

□ Applicable √ Not applicable

IV. Summary of Accounting Data and Financial IndexWhether the Company makes retroactive adjustments or restatement of the accounting data of the previous year

√ Yes □ No

Reasons for retrospective adjustment or restatementBusiness Combinations under Common Control

Current reporting

period

Previous reporting period

Increase or decrease in

this reporting periodover the previous

periodBefore adjustment After adjustment After adjustmentRevenue (RMB yuan)24,697,800,421.99 28,364,539,286.80 28,366,851,887.99 -12.93%Net profit attributable to theshareholders of the listedcompany (RMB yuan)

-1,399,277,780.90 -1,550,950,137.71 -1,541,206,007.44 9.21%Net profit attributable to theshareholders of listedcompany after deductingnon-recurring gain/loss(RMB yuan)

-1,450,379,795.78 -1,621,652,605.92 -1,621,653,948.92 10.56%Net cash flows generated byoperating activities (RMByuan)

371,629,764.04 1,095,091,396.54 1,080,815,690.40 -65.62%Basic EPS(RMB/share)-0.341 -0.378 -0.375 9.07%Diluted EPS (RMB/share) -0.341 -0.378 -0.375 9.07%Weighted average return onequity

-12.50% -9.55% -9.38% -3.12%

At the end of previous year

Increase or decrease at

At the end of thecurrent reporting

period

the previous yearBefore adjustment After adjustment After adjustmentTotal assets (RMB yuan) 45,758,090,259.38 45,815,896,140.58 45,815,896,140.58 -0.13%Net assets attributable toshareholders of the listedcompany (RMB yuan)

10,503,320,759.53 11,887,217,861.48 11,887,217,861.48 -11.64%

V. Differences between Domestic and Foreign Accounting Standards

1. Differences of net profit and net assets disclosed in financial reports prepared under IFRS and Chinese

accounting standards.

□Applicable √ Not applicable

There was no difference of net profit and net assets disclosed in financial reports prepared under IFRS andChinese accounting standards during the reporting period.

2. Differences of net profit and net assets disclosed in financial reports prepared under overseas and Chinese

accounting standards.

□ Applicable √ Not applicable

There was no difference of net profit and net assets disclosed in financial reports prepared under overseas andChinese accounting standards during the reporting period.VI. Items and Amount of Non-recurring Gains and Losses

√ Applicable □ Not applicable

Unit: yuan

reporting period over

Items

(including the write-

-31,536,907.02

related to the company’s normal business operation,meeting the regulation of national policy and enjoyedconstantly in certain quota or quantity according to a

78,993,583.13

10,820,884.61

4,740,318.97

Details of other profit and loss items that meet the definition of non-recurring profit and loss:

□ Applicable√ Not applicable

Explanation for defining non-recurring gains and losses items according to the "Public Offering of Securities InformationDisclosure Explanatory Notice No. 1 – Non-Recurring Gains and Losses", and reasons for defining non-recurring gainsand losses items listed in the document as recurring items.

□ Applicable√ Not applicable

There exists no situation of defining non-recurring gains and losses items listed in the document as recurring items.

III. Management Discussion and Analysis

I. The Company's main business during the reporting period

1. Industry development

In the first half of 2025, driven by falling prices for raw materials like iron ore and coking coal, the steel industry'soperating performance continued to recover. However, the domestic steel industry still exhibits a "three highs and threelows" landscape: high production, high costs, high inventory, low demand, low prices, and low profitability. The overallmarket is in a bottoming-out phase. Downstream demand is weak, supply outstrips demand, and high raw material priceshave resulted in a smaller downward shift in costs than in steel prices. Consequently, steel prices remain weak overall,and the steel market is caught between strong expectations and weak realities.

2. Main business, main products and their uses

During the reporting period, the company's principal businesses included steel smelting, rolling processing, powergeneration, coal chemical industry, special steel profiles, railways, import and export trade, scientific research, andproduct sales. The company has established a base for high-quality steel products, primarily automotive steel, with aproduct portfolio encompassing over 60 varieties and 7,500 specifications. High-value-added and high-tech productsaccount for over 80% of the company's portfolio. Its leading products, such as automotive surface panels, home appliancepanels, oil pipeline steel, container panels, and shipbuilding panels, are widely used in the automotive, home appliance,petrochemical, aerospace, machinery manufacturing, energy and transportation, construction and decoration, and metalproducts sectors, with exports to over 60 countries and regions. During the reporting period, the company's principalbusiness remained unchanged.

3. Business model

Procurement model: The company's procurement model includes domestic and international procurement. Domesticprocurement is conducted through centralized procurement, unified bidding, price comparison, and negotiation.International procurement is conducted through long-term contracts, direct procurement, open and invited bidding, pricecomparison, competitive negotiation, and negotiated procurement. This is primarily handled by Ansteel InternationalTrade Benxi Branch.Sales model: The company's sales are divided into domestic sales and export sales. Domestic sales mainly adopt the directsales model. The company sells directly to large customers, and other small and medium-sized customers are sold to themthrough regional sales subsidiaries. Export sales mainly utilize the powerful marketing network accumulated by AnsteelInternational Trade Benxi Branch in international trade over the years. Its agent exports the company's products and paysthe agency fee to Ansteel International Trade Benxi Branch.

4. Main performance drivers

During the reporting period, the company achieved the following main operating indicators: pig iron production of 5.1997million tons, crude steel production of 5.4165 million tons, and steel production of 8.1616 million tons. Looking back onthe work in the first half of the year, it is mainly reflected in the following aspects:

(1) Focusing on the important requirement of "continuing efforts to make up for shortcomings and optimize the structure",

the core competitiveness has been improved. The plate company continues to deepen the "lean + double base" andstrengthen penetrating management, promote the transformation from production-oriented to operation-oriented, andresolutely tackle the hard bone of "efficiency improvement". Through the implementation of comprehensive budgetmanagement, cost reduction and efficiency improvement throughout the process, and all-round sales to increaseprofits, the pig iron cost has achieved a breakthrough, the production and sales coordination has become moreefficient, the low-cost, moderately high-strength, thin-gauge specialized production has been continuously optimized,and the operating efficiency has gradually improved.

(2) Focusing on the key requirements of "adhering to high-end, intelligent, and green development, and continuously

improving the technological content and added value of products," the company has made new progress in itstransformation and upgrading. Focusing on "high-end, precision, and specialty," the company deepened scientificand technological research, resulting in a 31% year-on-year increase in the share of key products, an 89% year-on-year increase in sales of thermoformed products, and a 27.37 million yuan increase in profits from new high-value-added products. The 2300 production line rolled 2190mm ultra-wide hot-rolled plate for the first time, filling adomestic gap in wide-width plate production, and achieving internationally leading technical indicators. Focusing on"intelligent transformation and digital transformation," the company is optimizing management and manufacturing,promoting industrial digitization, digital industrialization, and data value creation, raising its intelligence index to

82.67. Focusing on "pursuing innovation and greening," the company continues to advance ultra-low emission

upgrades and upgrade energy-consuming equipment. Focusing on improving management, improving productionprocesses, and optimizing the energy structure in five key processes: coking, sintering, ironmaking, steelmaking, androlling, the company has significantly reduced emissions of major pollutants and overall energy consumption per tonof steel. Bengang Plate and Bengang POSCO were recognized as municipal green factories; their ultimate energyefficiency completed on-site acceptance by the China Iron and Steel Association; their hot-rolled, cold-rolled,galvanized, and electro-galvanized low-carbon emission automotive steels completed industrial experiments, passedcertifications from FAW, Toyota, Sony, etc., and are in the process of advancing BMW certification; their hot-rolledproducts passed the China Iron and Steel Association's "low-carbon emission steel" certification, with a carbonefficiency rating of E.

(3) Focusing on the key requirement of "further focusing on issues, highlighting key points, and resolving difficult

problems in reform efforts," we are taking new steps to deepen reform. We will establish a model for "human-chainintegration" reform at the Cold Rolling Mill and promote the development of "micro-unit" profit centers forelectrogalvanizing, playing a leading role in demonstration and driving reform to a deeper level. With greater reformmomentum, we will push the special steel industry to resolve deep-seated conflicts and improve production andoperational efficiency.

(4) Focusing on the crucial requirement of "unwaveringly upholding and strengthening Party leadership and

unwaveringly exercising strict Party discipline," the political and organizational functions of Party organizations havebeen continuously enhanced. We consistently integrate learning and education with the comprehensive strengtheningof Party organizations and the in-depth promotion of Party conduct, clean governance, and high-quality Partybuilding to guide and ensure high-quality development. Party building innovation and the promotion of cleanenterprise practices are simultaneously improving, and the development of corporate culture and employee moraleare projecting a new image.

(5) Adhere to bottom-line thinking and strictly adhere to safety and environmental protection red lines. Regularly carry

out "four no's and two direct" safety inspections; strengthen safety supervision of relevant parties, strictly control the"five checkpoints", and implement the "four unifications". Strengthen environmental protection management,increase environmental protection assessment efforts, and strictly implement the "three simultaneous" requirements.II. Analysis on Core CompetitivenessThe company adheres to the innovation-driven and "quality plus service" development model, with the strategic goal ofbuilding an internationally competitive high-quality plate base, a domestic first-class special steel base and acomprehensive service provider, and exerts a strategic leading role, focusing on improving quality and efficiency, In termsof product upgrades, technological innovation, green and intelligent manufacturing, we will innovate management ideas,enhance the core competitiveness of enterprises, and promote the realization of high-quality, green and intelligentdevelopment of enterprises.

1. Manufacturing capacity. Production and manufacturing capabilities. The company prioritizes quality, focusing on

adjusting its product mix to improve quality and efficiency. Following the principle of process compliance, thecompany strengthens quality management. Capitalizing on the production of high-quality steel, the companystrengthens its consistent quality management system, strictly prohibiting the release of substandard products intothe market, and truly enhancing its market reputation. The company will intensify brand development for automotiveand appliance steel to enhance product premiums. The company will continuously advance technologicalbreakthroughs in pipeline steel, container steel, and specialized steel, providing high-quality products for majornational projects and special projects.

2. Equipment renovation and upgrades. The company has allocated RMB 1.36 billion for fixed asset investment in 2025.

A new round of large-scale technological and environmental renovations has been implemented, including ultra-lowemissions from the coke oven system at the Ironmaking Plant, VOCS collection and material transportation in thechemical production area of the Ironmaking Plant, rainwater and sewage diversion treatment in the coking processat the Ironmaking Plant, quality and efficiency improvement of the 2300 line at the hot rolling mill, and upgrades tothe 1780 skin-pass mill unit. Currently, ultra-low emissions from the coke oven system at the Ironmaking Plant andVOCS collection and material transportation in the chemical production area are underway.

3. New product development capabilities. 36 new product development projects were completed, generating orders of

174,000 tons. The company promoted the serialization of hot-formed steel products and completed the first contractdelivery of rolled martensitic steel (EF1900-MS). The company also developed B780NP steel for gas storage supportstructures in new energy commercial vehicles, securing orders of 350 tons and achieving positive user experience.L415MH hydrogen pipeline steel received certification from Liaoyang Steel Pipe Plant. The company also developedhigh-quality gear steel 22CrMoH(ZQ), which was successfully introduced to China National Heavy Duty TruckGroup.

4. Technological innovation capabilities. The company has strengthened university-enterprise collaboration, signing

three international technical cooperation projects with Northeastern University and Shanghai University to promotethe transfer of mature scientific and technological achievements from universities and research institutes toenterprises. Regarding standards, the company has presided over the development of two national standards,participated in the development of nine national standards, presided over the development of one industry standard,participated in the development of three industry standards, and participated in the development of seven groupstandards. Regarding intellectual property, the company has received 139 patent applications, including five overseaspatents, and has authorized 79 patents, including 30 invention patents. Regarding scientific and technologicalachievements, the company has won four provincial and ministerial-level science and technology progress awards.Among them, "Research and Application of Key Technologies for High-Performance Hydraulic Iron MouldingMachines" won first prize in the Invention and Entrepreneurship Award of the China Invention Association."Research on the World's First Coating-Free Hot-Formed Steel and Its Application in the Front Dash Assembly ofFAW Hongqi Models" and "Research and Application of Key Technologies for Hot-Rolling Processes for Wide andThin High-Strength Automotive Structural Steel for Wide and Thin Gauges" won first and second prizes, respectively,in the "Spark" Innovation and Creativity Competition for State-Owned Enterprises in the Northeast "Three Provincesand One Region" (Liaoning Division). The "Method for Producing Hot Stamping Steel with Controlled Oxide ScaleShedding without Coating" won the China Patent Award for Excellence.

5. Green development capabilities. The company has focused on green factory registration, developing a carbon

management plan for its plate company, compiling a low-carbon development plan for the 15th Five-Year Plan, trialproduction of green steel products, certification of low-carbon steel products, collection and reporting of greenhousegas emissions accounting data, and development of a carbon stewardship platform. The company continues toadvance testing of low-carbon products for semi-steel process paths, achieving a comprehensive reduction of carbonemissions by 27-40%.

6. Intelligent manufacturing capabilities. By 2025, investments will be made in intelligent projects such as the

construction of a smart factory in the three cooling areas, the second phase of the consistent quality data managementplatform, and the autonomous and controllable adaptation and transformation of the plate information system. Ledby the "Intelligence Index," intelligent manufacturing will be implemented with the digitalization of processprocesses. Driven by digital and intelligent technology innovation, the data assetization rate has reached 88%. 26robots have been deployed in 3D operations such as blast furnace inspection, ironmaking temperature measurementand sampling, and slag removal, increasing the replacement rate from 9% to 32%. The Intelligence Index has reached

82.67, moving from the integration level to the optimization level, a 19.36% increase from the previous 69.26,

demonstrating the acceleration of intelligent plate manufacturing.III. Analysis on Main Business

Please refer to the relevant content of "I. Main Business Engaged in the Reporting Period".Year-on-year changes in major financial data.

Unit: Yuan

Current Period Previous Period

Reason

61,464,166.53

71,977,059.91

-14.61%

administrative

285,764,896.43

359,904,698.96

-20.60%

Financial expenses208,340,955.08

134,726,043.87

54.64%

interest on interest-bearing liabilities and

Income tax expenses19,976,028.30

37,458,939.66

-46.67%

development

947,389,590.00

970,755,841.00

-2.41%

Net cash flows fromoperating activities

371,629,764.04

1,080,815,690.40

-65.62%

cash received fromsale of goods and bill

Net cash flows frominvesting activities

-948,969,224.56

-508,780,925.04

-86.52%

purchase andconstruction of long-

exchange paid for

Net cash flows fromfinancing activities

93,464,711.63

-611,953,198.81

115.27%

repayment of

Net increase in cashand cash equivalents

-471,693,191.36

-17,040,213.03

-2,668.12%

cash received fromsale of goods and billdiscount and increasein the purchase andconstruction of long-

Significant changes in the company's profit composition or source of profit during the reporting period

□ Applicable √ Not applicable

There was no major change in the company's profit composition or source of profit during the reporting period.Operating income composition

Unit: Yuan

term assets.Current period

24,697,800,421.99

100%

28,366,851,887.99

100%

-12.93%

Industry, Product and Regions Accounting for the Company’s Operating Income or Profit over 10%

√ Applicable □ Not applicable

Unit: Yuan

Operatingincome

Operating costs Gross margin

income change

change

change

When the statistical caliber of the company's main business data is adjusted during the reporting period, the company'smain business data adjusted according to the caliber at the end of the reporting period in the most recent period

□ Applicable √ Not applicable

IV. Analysis of Non-core Business

√ Applicable □ Not applicable

Unit: YuanAmount

Proportion in total

profit

Causes Recurring or non-recurringOther income 109,012,246.69

-8.09%

Due to receiving

subsidies

NoIncome oninvestment (“-” forlosses)

-17,631,847.31

1.31%

Due to bank bill discount NoCredit impairmentlosses (“-” forlosses)

-9,308,109.96

0.69%

Due to increase in account

receivable impairment

provision

NoAsset impairmentlosses (“-” forlosses)

36,671,170.60

-2.72%

Due to reversal of inventoryimpairment provision

NoNon-operatingincome

9,723,769.21

-0.72%

Due to the gain from scarpof non-current assets andother incomes

NoNon-operatingexpenses

36,523,366.11

-2.71%

Due to scrap of non-currentassets and other expenses

No

V. Assets and Liabilities

1. Significant Change of Assets Components

Unit: Yuan

At the end of this reporting

period

Proportion

change

Notes to significant changesAmount

Proportion in thetotalassets

Amount

Proportio

n in the

totalassets

Cash at bank andon hand

2,119,971,644.73

4.63%

2,453,888,470.48

5.36%

-0.73%

Accountsreceivable

933,243,164.81

2.04%

501,484,081.73

1.09%

0.95%

Inventories 7,049,937,599.37

15.41%

7,333,084,694.27

16.01%

-0.60%

Long-term equityinvestments

45,413,221.72

0.10%

45,413,221.72

0.10%

0.00%

Fixed assets 26,050,690,523.41

56.93%

26,426,320,453.57

57.68%

-0.75%

Construction inprogress

4,537,520,033.00

9.92%

3,934,442,501.50

8.59%

1.33%

Right-of-useassets

1,646,483,647.30

3.60%

1,685,925,710.14

3.68%

-0.08%

Short-term loans 771,932,029.09

1.69%

371,055,490.50

0.81%

0.88%

Contractliabilities

2,720,427,152.25

5.95%

2,908,598,425.73

6.35%

-0.40%

Long-term loans 3,544,759,075.31

7.75%

2,891,941,462.40

6.31%

1.44%

Lease liabilities 1,615,827,405.83

3.53%

1,633,911,586.51

3.57%

-0.04%

2. Main overseas assets

□ Applicable √ Not applicable

3. Assets and liabilities measured at fair value

√ Applicable □ Not applicable

Unit: yuanItems

Beginning

balance

Profit andloss fromchanges infair value inthe current

period

Accumulated

fair valuechanges

recognized in

equity

Impairment

current period

Purchaseamountduring thecurrent period

Sales amount

during thecurrent period

Otherchanges

EndingbalanceFinancialassets

4.O

ther equity

instrumentinvestments

933,426,254.63

-122,613,267.37

933,426,254.6

S

financialassets

933,426,254.63

-122,613,267.37

933,426,254.6

Total933,426,254.63

-122,613,267.37

933,426,254.6

Financialliabilities

0.00

0.00

0.00

Other changes

Whether there are significant changes in the measurement attributes of the company's main assets during the reporting period

□ Applicable √ Not applicable

4. Restricted Assets by the End of the Period

VI. Analysis of investment status

1. Overall situation

□ Applicable √ Not applicable

2. Major equity investments obtained during the reporting period

√ Applicable □ Not applicable

Unit: yuan

Invest

eePrincipalbusiness

InvestmentMethods

Investmentamou

nt

Shareholding ratio

Fundi

ng

Partne

rs

Investmentdurati

on

Produ

ctType

Progressas of thebalance

sheetdate

Expecte

drevenue

Investmentprofitor lossfor thisperiod

Whet

herinvolvedinlitigation

Disclo

suredate(ifany)

Disclo

sureindex

(ifany)

GreenGold(Benxi)RenewableResourcesCo.,Ltd.

LicensedItems:

RoadFreightTransport(excludingdangerousgoods);RoadFreightTransport(onlinefreight);Dismantling ofscrappedmotorvehicles.

Newlyestablished

30,600,000.

51.00

%Own

AnsteelGreenGoldIndustryDevelopmentCo.,Ltd.

Longterm

Equityinvestment

Completebusinessregistration

0.00

832,70

1.21

No

Mar.29,2925

No.2025-

itemsrequiringapprovalaccordingto law,businessactivitiesmay onlybe carriedout afterapprovalbyrelevantdepartments.Specificbusinessitems aresubject totheapprovaldocuments orlicensesissued byrelevantdepartments.)GeneralItems:

Processing ofrenewableresources;Sales ofrenewableresources;Recyclingofrenewableresources(excludingproduction scrapmetal);Recyclingofproduction scrapmetal;Processing of non-metallicwaste anddebris;

g of metalwaste anddebris;Sales ofnon-ferrousmetalalloys;Generalcargowarehousingservices(excluding itemsrequiringapproval,such ashazardouschemicals). (Exceptfor itemsrequiringapprovalaccordingto law,businessactivitiesmay becarriedoutindependently inaccordance with thelaw witha business

Total -- --

30,600,000.

-- -- -- -- -- --

0.00

832,70

1.21

-- -- --

3. Significant non-equity investment in progress during the reporting period

□ Applicable √ Not applicable

4. Financial asset investment

(1) Securities investment

□ Applicable √ Not applicable

There was no securities investment in the company during the reporting period.

(2) Investment in derivatives

□ Applicable √ Not applicable

There was no derivative investment in the company during the reporting period.

5. Use of Raised Funds

√ Applicable □ Not applicable

(1) Use of Raised Funds

√Applicable □ Not applicable

Unit: 10 thousand yuan

Year

Fundra

isingMetho

d

Securit

ieslisting

date

Totalamoun

t offundsraised

NetRaisedFunds

(1)

TotalFundsUsedin theCurren

tPeriod

Cumul

ativeFundsUsed

(2)

FundUsageRatioat theEnd of

theReportingPeriod

(3) =

(2) /

(1)

TotalFundsRedire

ctedDuring

theReport

ingPeriod

Cumul

ativeRedire

ctedFunds

Cumul

ativeRedire

ctedFundsRatio

TotalUnuse

dRaisedFunds

Purpose anddestination ofunusedraisedfunds

Amount ofraisedfundsidle for

morethantwoyears

2020

Issueofconvertible

August4,2020

680,00

675,92

400.5

487,82

3.87

72.17

%

0 0 0.00%

188,09

6.13

Notapplicable

101,47

Total -- --

680,00

675,92

400.5

487,82

72.17

0 0 0.00%

188,09

--101,47

Explanation of the overall use of raised funds

1. Use of Funds Raised for Investment Projects

The actual use of the funds raised in Jan. to Jun., 2025 is detailed in the attached table "Comparison Table of the Use of FundsRaised by Public Issuance of Convertible Bonds."

2. Changes in the Implementation Location or Method of Investment Projects

changes in their implementation locations or methods.

3. Initial investment and replacement of raised funds investment projects

The 13th meeting of the 8th Board of Directors and the 11th meeting of the 8th Board of Supervisors of the Company reviewed andapproved the "Proposal on Using Raised Funds to Replace Self-raised Funds Pre-invested in Raised Fund Investment Projects andPaid Issuance Expenses", agreeing that the company will use raised funds to replace self-raised funds pre-invested in raised fundsinvestment projects and paid issuance expenses, with a total replacement amount of RMB 366,180,860.17. This replacement doesnot involve a disguised change in the use of raised funds, does not affect the normal progress of raised funds investment projects,and the replacement time is no more than 6 months from the time the raised funds arrive, which is in compliance with relevant lawsand regulations.Before the raised funds were received, the company had used self-raised funds to pre-invest in the raised projects according to theproject progress. As of May 31, 2020, the amount of self-raised funds pre-invested was RMB 365,630,860.17, including the steelplant No. 8 casting machine project was RMB 76,278,945.59, the iron plant No. 5 blast furnace capacity replacement project wasRMB 119,043,290.09, the special steel electric furnace upgrade and transformation project was RMB 59,948,807.90, the CCPPpower generation project was RMB 95,098,084.16, and the steel plant No. 4-6 converter environmental protection transformationproject was RMB 15,261,732.43. As of July 6, 2020, the above-mentioned issuance expenses of RMB 55,000.00 paid by thecompany's own funds were replaced with raised funds.From March 1, 2019 to May 31, 2021, the company used self-raised funds to pay for the construction of projects funded by theraised funds, amounting to RMB 1,082,356,809.47, including RMB 180,000.00 for the high-grade high-magnetic induction non-oriented silicon steel project, RMB 55,364,729.08 for the No. 8 casting machine project of the steelmaking plant, RMB628,049,033.12 for the capacity replacement project of the No. 5 blast furnace of the ironmaking plant, RMB 253,298,156.22 forthe upgrading and transformation project of the special steel electric furnace, RMB 115,353,050.36 for the CCPP power generationproject, and RMB 30,111,840.69 for the environmental protection transformation project of the No. 4-6 converters of the steelmakingplant. The company has transferred the above amounts from the raised funds account to the general deposit account in 2021.From June 1, 2021 to May 31, 2022, the company used self-raised funds to pay for the construction of projects funded by the raisedfunds, amounting to RMB 614,208,698.23, including: RMB 12,881,890.61 for the No. 8 Casting Machine Project of the SteelmakingPlant, RMB 17,508,088.97 for the Capacity Replacement Project of the No. 5 Blast Furnace of the Ironmaking Plant, RMB364,155,482.35 for the Upgrading and Reconstruction Project of the Special Steel Electric Furnace, RMB 186,441,497.75 for theCCPP Power Generation Project, and RMB 33,221,738.55 for the Environmental Protection Reconstruction Project of the No. 4and No. 6 Converters of the Steelmaking Plant. The company has transferred the above amounts from the raised funds account tothe general deposit account in 2022.From June 1, 2022 to May 31, 2023, the company used self-raised funds to pay for the construction of the raised funds investmentprojects, amounting to RMB 494,502,583.01, of which RMB 15,316,136.52 was used for the capacity replacement project of No. 5blast furnace of the ironmaking plant, RMB 19,796,661.74 for the CCPP power generation project, RMB 429,392,157.76 for theupgrading and transformation project of the special steel electric furnace, RMB 21,452,968.70 for the environmental protectiontransformation project of No. 4-6 converters of the steelmaking plant, and RMB 8,544,658.29 for the No. 8 casting machine projectof the steelmaking plant. As of December 31, 2023, the company has transferred the funds from the raised funds account to thegeneral deposit account.From June 1, 2023 to May 31, 2024, the company used self-raised funds to pay for the construction of the raised investment projects,amounting to RMB 102,185,736.55, of which RMB 24,887,030.75 was used for the No. 8 casting machine project of the steelmakingplant, RMB 5,111,121.59 for the capacity replacement project of the No. 5 blast furnace of the ironmaking plant, RMB60,162,375.13 for the upgrading and transformation project of the special steel electric furnace, RMB 5,454,868.60 for the CCPPpower generation project, and RMB 6,570,340.48 for the environmental protection transformation project of the No. 4-6 convertersof the steelmaking plant. As of December 31, 2024, the company has transferred the funds from the raised funds account to thegeneral deposit account.

4. Using idle raised funds to temporarily supplement working capital

During the reporting period, according to the construction progress of the company's raised funds investment projects and the planfor the use of raised funds, part of the funds raised by the company's non-public offering is temporarily idle. According to theprovisions of the China Securities Regulatory Commission's "Guidelines for the Supervision of Listed Companies No. 2 - RegulatoryRequirements for the Management and Use of Raised Funds by Listed Companies (Revised in 2022)" (CSRC Announcement [2022]No. 15) and other regulatory documents, in line with the principle of maximizing shareholder interests, on the premise of ensuringthe capital demand of the raised funds investment projects and the normal progress of the raised funds investment projects, in orderto improve the efficiency of the use of raised funds, further reduce the company's financial costs, reduce financial expenditures, andprotect the interests of the majority of investors, the company intends to use idle raised funds to temporarily supplement workingcapital, and the use period shall not exceed 12 months from the date of approval by the board of directors. Supplementing workingcapital will save financial expenses for the company.

(1) The funds raised from the public issuance of convertible corporate bonds in July 2020 will temporarily supplement working

capitalThe company used idle raised funds of RMB4,180,000,000.00 (RMB1,010,000,000.00 for high-grade and high-magnetic inductionnon-oriented silicon steel project, RMB220,000,000.00 for the No. 8 casting machine project of the steel plant, RMB800,000,000.00for the capacity replacement project of No. 5 blast furnace of the iron plant, RMB1,300,000,000.00 for the special steel electricfurnace upgrading and renovation project, RMB700,000,000.00 for the CCPP power generation project, and RMB150,000,000.00for the environmental protection renovation project of No. 4-6 converters of the steel plant) to temporarily supplement workingcapital. The matter was reviewed and approved at the 14th meeting of the 8th Board of Directors and the 12th meeting of the 8thBoard of Supervisors held on July 28, 2020. The company's independent directors have expressed their clear consent. The time forsupplementing working capital shall not exceed 12 months.The sponsor of the company's public issuance of convertible corporate bonds agreed that the company could use idle raised fundsto temporarily supplement working capital and issued the "Guotai Junan Securities Co., Ltd.'s Verification Opinion on the Company'sUse of Idle Raised Funds to Temporarily Supplement Working Capital".As of July 27, 2021, the Company has returned all of the idle raised funds of RMB 4,180,000,000.00 used to temporarily supplementworking capital to the Company's special account for raised funds.

(2) The funds raised from the public issuance of convertible corporate bonds in July 2021 will temporarily supplement working

capitalThe company used idle raised funds of RMB 3,030,000,000.00 (RMB 1,010,000,000.00 for high-grade and high-magnetic inductionnon-oriented silicon steel project, RMB 150,000,000.00 for the No. 8 casting machine project of the steel plant, RMB160,000,000.00 for the capacity replacement project of No. 5 blast furnace of the iron plant, RMB 1,000,000,000.00 for the specialsteel electric furnace upgrade and renovation project, RMB 590,000,000.00 for the CCPP power generation project, and RMB120,000,000.00 for the environmental protection renovation project of No. 4-6 converters of the steel plant) to temporarilysupplement working capital. The matter was reviewed and approved at the 19th meeting of the 8th Board of Directors and the 17thmeeting of the 8th Board of Supervisors held on July 28, 2021. The company's independent directors have expressed their clearconsent. The time for replenishing working capital shall not exceed 12 months.The sponsor of the company's public issuance of convertible corporate bonds agreed that the company could use idle raised fundsto temporarily supplement working capital and issued the "Guotai Junan Securities Co., Ltd.'s Verification Opinion on the Company'sUse of Idle Raised Funds to Temporarily Supplement Working Capital".As of December 31, 2021, the Company has returned all of the idle raised funds of RMB3,030,000,000.00 used to temporarilysupplement working capital to the Company's special account for raised funds.

(3) The funds raised from the public issuance of convertible corporate bonds in July 2022 will temporarily supplement working

capitalThe company used idle raised funds of RMB 3,014,000,000.00 (RMB 1,015,000,000.00 for high-grade and high-magnetic inductionnon-oriented silicon steel project, RMB 165,000,000.00 for the No. 8 casting machine project of the steel plant, RMB175,000,000.00 for the capacity replacement project of No. 5 blast furnace of the iron plant, RMB 933,000,000.00 for the specialsteel electric furnace upgrade and renovation project, RMB 578,000,000.00 for the CCPP power generation project, and RMB148,000,000.00 for the environmental protection renovation project of No. 4-6 converters of the steel plant) to temporarily

consent. The time for replenishing working capital shall not exceed 12 months.The sponsor of the company's public issuance of convertible corporate bonds agreed that the company could use idle raised fundsto temporarily supplement working capital and issued the "Guotai Junan Securities Co., Ltd.'s Verification Opinion on the Company'sUse of Idle Raised Funds to Temporarily Supplement Working Capital".

(4) The funds raised from the public issuance of convertible corporate bonds in July 2023 will temporarily supplement working

capital.The company used idle raised funds of RMB 1,961,200,000.00 (RMB 1,015,000,000.00 for high-grade and high-magnetic inductionnon-oriented silicon steel project, RMB 125,000,000.00 for the No. 8 casting machine project of the steel plant, RMB145,000,000.00 for the capacity replacement project of No. 5 blast furnace of the iron plant, RMB 188,000,000.00 for the specialsteel electric furnace upgrade and renovation project, RMB 393,200,000.00 for the CCPP power generation project, and RMB95,000,000.00 for the environmental protection renovation project of No. 4-6 converters of the steel plant) to temporarily supplementworking capital. The matter was reviewed and approved at the 17th meeting of the 9th Board of Directors and the 12th meeting ofthe 9th Board of Supervisors held on July 19, 2023. The company's independent directors have expressed their clear consent. Thetime for supplementing working capital shall not exceed 12 months.The sponsor of the company's public issuance of convertible bonds agreed that the company could use idle raised funds totemporarily supplement working capital and issued the "Guotai Junan Securities Co., Ltd.'s Verification Opinion on the Company'sUse of Idle Raised Funds to Temporarily Supplement Working Capital".

(5) The funds raised from the public issuance of convertible corporate bonds in July 2024 will temporarily supplement working

capital.The company used idle raised funds of RMB 1,860,000,000.00 (RMB 1,015,000,000.00 for high-grade and high-magnetic inductionnon-oriented silicon steel project, RMB 100,000,000.00 for the No. 8 casting machine project of the steel plant, RMB140,000,000.00 for the capacity replacement project of No. 5 blast furnace of the iron plant, RMB120,000,000.00 for the specialsteel electric furnace upgrade and renovation project, RMB 397,000,000.00 for the CCPP power generation project, and RMB88,000,000.00 for the environmental protection renovation project of No. 4-6 converters of the steel plant) to temporarily supplementworking capital. The matter was reviewed and approved at the 26th meeting of the 9th Board of Directors and the 17th meeting ofthe 9th Board of Supervisors held on July 18, 2024. The company's independent directors have expressed their clear consent. Thetime for supplementing working capital shall not exceed 12 months.The sponsor of the company's public issuance of convertible bonds agreed that the company could use idle raised funds totemporarily supplement working capital and issued the "Guotai Junan Securities Co., Ltd.'s Verification Opinion on the Company'sUse of Idle Raised Funds to Temporarily Supplement Working Capital".As of April 1, 2025, the Company has returned all of the idle raised funds of RMB 845,000,000.00 used to temporarily supplementworking capital to the Company's special account for raised funds.As of June 30, 2025, the company used idle funds raised from the public issuance of convertible corporate bonds to temporarilysupplement the balance of RMB 1,015,000,000.00 in working capital.

5. Cash management using idle raised funds

The company did not use idle raised funds for cash management during the reporting period.

6. Use of surplus raised funds

On April 2, 2025, the company held the 35th meeting of the 9th Board of Directors and the 21st meeting of the 9th Board ofSupervisors to review and approve the "Proposal on Completing Some Fundraising Projects and Using the Surplus FundraisingFunds to Permanently Supplement Working Capital". Given that the Company's 2020 public issuance of convertible corporate bonds,which raised funds for investment projects including the "Steel Plant No. 8 Casting Machine Project," the "Iron Plant No. 5 BlastFurnace Capacity Replacement Project," the "Special Steel Electric Furnace Upgrading and Reconstruction Project," the "CCPPPower Generation Project," and the "Steel Plant No. 4-6 Converter Environmental Reconstruction Project," have essentiallycompleted investment, in order to rationally utilize the raised funds, reduce the Company's financial expenses, enhance theCompany's sustainable operating capacity, and fully utilize the raised funds, and in accordance with the requirements of relevantlaws, regulations, and normative documents such as the "Guidelines for the Supervision of Listed Companies No. 2 - Regulatory

Company intends to use the remaining raised funds of RMB870,176,200 (the specific amount will be based on the bank interestbalance settled on the date the funds are transferred) from these completed investment projects to permanently supplement itsworking capital for the Company's daily operations.In addition, the company does not use the surplus funds from the raised funds investment projects for other raised funds investmentprojects or non-raised funds investment projects.The sponsor of the company's public offering of convertible bonds agreed that the company would use the remaining raised fundsto permanently supplement its working capital and issued the "Guotai Junan Securities Co., Ltd.'s Verification Opinion on theCompletion of Some Fundraising Projects of Bengang Plate Co., Ltd. and the Use of the Surplus Raised Funds to PermanentlySupplement Working Capital".

7. Utilization of excess funds

The company does not have any situation of over-using raised funds.

8. Purpose and destination of unused raised funds

As of June 30, 2025, except for the advance investment and replacement of investment projects with raised funds and the temporarysupplement of working capital with idle raised funds as described in “3. Initial investment and replacement of raised fundsinvestment projects” and “4. Using idle raised funds to temporarily supplement working capital”, the remaining raised funds willbe temporarily deposited in the special account for raised funds.

9. Other Situations Regarding the Use of Raised Funds

(2) Fundraising commitments

√Applicable □ Not applicable

Unit: 10 thousand yuan

FinancingProje

ctNam

e

SecuritiesListin

gDate

Committe

dInvestmentProje

ctsandExcessiveFundAllocation

Proje

ctNatur

e

If theProje

ctBeenChanged(IncludingPartia

lChanges)

TotalCommitte

dInvestmentAmo

unt

AdjustedTotalInvestmentAmo

unt(1)

InvestmentAmo

untfortheReportingPerio

d

Cumulativ

eInvestmentAmo

unt

bytheEndof thePeriod (2)

InvestmentProgr

essbytheEndof thePeriod (3)

=

(2)/(1

)

Proje

ctReachedPredeterminedUsabl

eStatu

sDate

Bene

fitsAchievedin theReportingPerio

d

CumulativeBenefitsAchievedbytheEndof thePeriod

ExpectedBenefitsAchieved

HasThereBeen

a

Majo

r

Chan

ge in

Proje

ct

Feasi

bilityCommitted Investment ProjectsBenGangConvertibleBonds

August 4,2020

gradehighmagneticinduction

Manufacturingconstruction

No

101,6

101,6

0 141

0.14

%

0 0

Notapplicable

No

edsiliconsteelproje

BenGangConvertibleBonds

August 4,2020

plantNo. 8castingmachineproje

Manufacturingconstruction

No

33,50

33,50

30.1

22,7

56.1

67.9

3%October31,2020

-14,7

75.2

-34,4

04.3

No No

BenGangConvertibleBonds

August 4,2020

BlastfurnaceNo. 5capacityreplacementproje

Manufacturingconstruction

No

96,00

96,00

81,1

87.5

84.5

7%

November

30,2020

-15,0

02.6

-20,6

92.4

No No

BenGangConvertibleBonds

August 4,2020

alsteelelectricfurnaceupgradeproje

Manufacturingconstruction

No

141,6

141,6

129,042.

91.1

3%

0 0

Notapplicable

No

BenGangConvertibleBonds

August 4,2020

Ppowergenerationproje

Manufacturingconstruction

No

83,30

83,30

76.3

43,4

99.0

52.2

2%

December

31,2022

15,7

77.8

66,3

03.1

Yes No

BenGangConvertibleBonds

August 4,2020

plantNo.4-6converterenvironmentaltransf

Manufacturingconstruction

No

19,90

19,90

19.0

11,1

97.1

56.2

7%

December

31,2020

0 0

Notapplicable

No

proje

angConvertibleBond

August 4,2020

Repayment ofbankloans

Repayment ofbankloans

No

200,0

200,0

200,0

100.0

0%

0 0

Notapplicable

No

Subtotal of CommittedInvestment Projects

--

675,9

675,9

400.

487,823.

-- --

-14,0

00.1

11,2

06.3

-- --Use of Over-Raised FundsNone

st 4,

None

appli

No 0 0 0 0

0.00

%

0 0

appli

NoTotal --

675,

675,

400.

487,823.

-- --

-14,0

00.1

11,2

06.3

-- --Explanation ofProjectDelays,ExpectedReturns, andReasons(IncludingReasons forSelecting "NotApplicable"for ExpectedReturns)

The high-grade high-magnetic-induction non-oriented silicon steel project is greatly affected by market factors.The company has adjusted its development strategy and continues to monitor market changes.

Description ofSignificantChanges inProjectFeasibility

NoneAmount,Purpose, andProgress ofOver-RaisedFunds

Not applicableCases ofarbitrarilychanging thepurpose ofraised funds orillegallyoccupyingraised funds

Not applicable

Changes in theImplementatio

n Location of

Not applicable

InvestmentProjectsAdjustmentsin theImplementation Method ofFundraisingInvestmentProjects

Not applicable

FundraisingAdvance

InvestmentandReplacementof FundraisingInvestment

ApplicableFor details, please refer to the content stated in Special Report Section III (3), which is not applicable.

raised Fundsfor TemporarySupplementation of Working

ApplicableFor details, please refer to the content stated in Special Report Section III (4).

Amount andReasons forSurplus raisedFunds inProjectImplementation

ApplicableThe company will close the investment projects raised from its 2020 public offering of convertible corporate bondsand will use the remaining proceeds of RMB870.1762 million (the specific amount will be determined by thebank's interest balance on the day the funds are transferred) to permanently supplement its working capital. Themain reasons for the remaining proceeds are: 1. The company consistently adheres to the principles of rationality,economy, and efficiency in implementing the investment projects, strictly adhering to relevant regulations on themanagement of raised funds to ensure optimal capital allocation and cost control while ensuring project quality.When preparing the project feasibility study, the company calculated the investment project based on the currentproduction technology and process plan. However, as the company gained experience in early production, itscapabilities in equipment selection, procurement, and production line optimization continued to grow, andeconomies of scale emerged, effectively reducing construction costs. Furthermore, during project implementation,the company strengthened cost control and budget management at all stages based on actual needs, rationallyallocated resources, and optimized construction expenditures, further reducing overall project costs. Thesemeasures not only enabled the project to proceed smoothly but also resulted in surplus proceeds from theinvestment. 2. Due to the cyclical nature of the construction of the raised funds, to improve the efficiency of theraised funds, the company has comprehensively arranged funding sources during project implementation, takinginto account actual funding needs and plans, and has preemptively used its own funds to meet some of the phasedfunding needs. 3. The raised funds projects concluded this time have outstanding contract balances, warrantydeposits, and other outstanding amounts. Due to the long timeline for these payments, some of the raised fundshave been saved.Purpose andDestination ofUnused raisedFunds

The unused raised funds are deposited in a designated account for raised funds.

OtherSituations inthe Use andDisclosure of

There are no issues or other situations.

(3) The situation for raised funds change project

□ Applicable √ Not applicable

During the reporting period, the company did not have any changes in the fundraising project.

VII. Significant Assets and Equity Sold in Reporting Period

1. Significant Assets Sold

□ Applicable √ Not applicable

2. Substantial Equity Sold

□ Applicable √ Not applicable

VIII. Analysis on Main Subsidiaries and Share Participating Companies

√ Applicable □ Not applicable

Main subsidiaries and the joint-stock companies influencing over 10% net profit of the Company

Unit: Yuan

CompanyName

Companytype

Mainbusiness

Registeredcapital

Total assets Net assets Turnover

Operating

profit

Net ProfitBengangPOSCO

Sheet Co.,Ltd.

Subsidiary

Processing

steel

1,920,000,00 5,495,628,297.35

2,482,555,227.53

4,625,594,944.57

208,259,632.58

175,927,445.95

Acquirement and disposal of subsidiaries during the reporting period

√ Applicable □ Not applicable

Company name

Methods of acquiring and disposing ofsubsidiaries during the reporting period

Impact on overall production, operation

and performanceGreen Gold (Benxi) RenewableResources Co., Ltd.

Newly established

It is conducive to reducing related-partytransactions and increasing company

profits.

IX. Structured Entities controlled by the Company

□ Applicable √ Not applicable

X. Risks and countermeasures for the Company

1. Raw Material Price Fluctuation Risk

The raw material market is volatile and subject to significant fluctuations. Coking coal and coke are significantly impactedby safety, environmental protection, and geopolitical factors. Market price fluctuations impact corporate profits, placingsignificant pressure on the company's cost control.Countermeasures: Strengthen market analysis and assessment, ensure rational raw material procurement, and manageprocurement cycles. Purchase at low points, and ensure inventory increases and decreases align with market trends toavoid potential inventory losses. Continue to strengthen benchmarking and tap potential, optimize coal and ore blending,

and further reduce production costs. Expand annual long-term raw material procurement partnerships, leveraging long-term partnerships to secure preferential prices below market prices.

2. Market risk

China's steel industry faces multiple challenges. The industry as a whole is undergoing a period of deep adjustment,shifting from incremental expansion to stock optimization, and the contradiction between supply and demand continuesto intensify. China is implementing policies to stabilize growth, but investment growth is slowing, and it will take timefor the policies to be implemented before actual downstream demand recovers. Growth in downstream steel demandremains uncertain, and market competition among homogeneous steel products is intensifying.Countermeasures: Focus on innovation and leadership, promote "revitalizing the company through science andtechnology innovation," upgrade product mix to a high-end level, strengthen the high-end steel material service base,build high-end specialized and special-purpose product brands, and strive to develop more high-end and sophisticatedsteel grades. Optimize the benchmarking system, highlight benchmarking priorities, continuously promote leanproduction, improve and optimize the company's process technology upgrades, optimize technical indicators, adhere toextreme cost reduction measures, and explore potential process cost reduction solutions.

3. Environmental Risks

Under the national "carbon peak" and "carbon neutrality" goals, environmental protection authorities have stepped uptheir oversight of pollution control in the steel industry, placing increasingly stringent demands on the company to meetenvironmental emission standards and achieve energy conservation and emission reduction. This has increased thecompany's environmental investment and operating costs, exacerbating the environmental challenges it faces.Countermeasures: Benchmark the carbon emission intensity of similar companies, explore carbon reduction potential,and establish a comprehensive carbon emission management system; strictly enforce environmental managementresponsibilities, leverage digital tools to strengthen full-process control, ensure the efficient operation of environmentalprotection facilities, and further improve resource and energy efficiency; increase research and development efforts inprocess innovation and green transformation technologies, focusing on the development and promotion of green and low-carbon products; improve the environmental emergency warning and risk prevention and control system, strengthen theoperation and maintenance of existing environmental protection equipment and facilities, and standardize operationalcontrols, with a focus on strengthening monitoring of air pollution sources.

XI. Development and implementation of market value management systems and valuationenhancement plans

Whether the company has established a market value management system

□ Yes √ No

Whether the company has disclosed its valuation enhancement plan

√Yes □ No

On February 27, 2025, the company held the 33rd meeting of its ninth board of directors, which reviewed, approved, anddisclosed the "Company Valuation Enhancement Plan." During the reporting period, the company focused on its coreresponsibilities and businesses, focusing on efficiency improvements to continuously break multiple historical records. Itfocused on enhancing the technological value-added content of high-end products, persisted in empowering technologyto accelerate the upgrade and transformation of intelligent production lines, addressed shortcomings, adjusted its structure,and improved the level of quality and efficiency, while focusing on green transformation and accelerating the ultra-lowemission certification process. These measures have helped improve operational efficiency and profitability. The companyactively implemented its high-quality development goals, established a scrap steel company to improve both asset qualityand efficient resource allocation, and continued to advance major asset restructuring. The company adhered to its investorservice philosophy and expanded investor communication channels. It added an investor hotline and established aninvestor communication email address. The "Interactive e" platform achieved a 100% response rate. The companyconducted nine investor communication activities, hosted 11 research organizations for research and visits, and heldannual performance briefings, promoting regular performance briefings. Adhering to the principles of "truthful, accurate,

complete, timely, and fair" information disclosure, the company actively fulfilled its information disclosure obligations,completing 21 information disclosures in the first half of the year and disclosing 35 documents, including periodic reportsand ESG reports. The company's stock price has risen and has temporarily escaped from the long-term negative net assetvalue.XII. Implementation of the "Dual Improvement of Quality and Return" Action Plan

Whether the company has disclosed the announcement of the "double improvement of quality and return" action plan

□ Yes √ No

IV. Corporate Governance, Environment and Society

I. Change of Directors, Supervisors and Senior Executives

√Applicable □ Not applicable

Name Position Type of change Date Reason

Zhang Suxun Independent Director

of term

25-Apr-25 Re-election

II. Profit Distribution or Capital Reserve Conversion into Share Capital in theReporting Period

□ Applicable √ Not applicable

The company plans not to distribute cash dividends, issue bonus shares, or increase capital byconverting reserves in the first half of the year.III. Implementation of the company’s equity incentive plan, employee stockownership plan or other employee incentive measures

□ Applicable √ Not applicable

During the reporting period, the company had no equity incentive plan, employee stock ownership planor other employee incentive measures and their implementation.IV. Major environmental issuesWhether the listed company and its subsidiaries belong to the key pollutant discharge units announcedby the environmental protection department

√ Yes □ No

Number of companies required by law to disclose environmentalinformation

Number Company name Link to environmental information disclosures

https://sthj.deing.cn:8180/home/public

https://sthj.deing.cn:8180/home/public3 Benxi Iron & Steel Co., Ltd. Steelmaking Plant https://sthj.deing.cn:8180/home/public

Benxi Iron & Steel Co., Ltd. Ironmaking Plant https://sthj.deing.cn:8180/home/public

https://sthj.deing.cn:8180/home/public

https://sthj.deing.cn:8180/home/public

Benxi Iron & Steel Co., Ltd. Special Steel Plant https://sthj.deing.cn:8180/home/public

Benxi Iron & Steel Co., Ltd. Energy Control Center (Power

Benxi Iron & Steel Co., Ltd. Coking Plant (Main PlantArea)Generation Area)

https://sthj.deing.cn:8180/home/public

https://sthj.deing.cn:8180/home/public10 Bengang Pohang Heading Steel Co., Ltd. https://sthj.deing.cn:8180/home/public

Benxi Iron & Steel Co., Ltd. Coking Plant (Dongfeng Plant

https://sthj.deing.cn:8180/home/public

https://sthj.deing.cn:8180/home/publicV. Social responsibilityIn the first half of 2025, the Company organized 95 volunteer service activities, with a total of 760volunteer participations. A total of 381 employees participated in voluntary blood donations, contributing106,630 milliliters of blood and 10 therapeutic doses of platelets.

The Company’s village-assigned cadres, closely aligned with the rural revitalization strategy, focused onindustrial assistance as the core and livelihood improvement as the priority, and steadily advancedvarious support initiatives in Shihuzi Village, promoting the upgrading of the rice industry. Incoordination with Yunhong Food Co., Ltd., the Company facilitated the purchase of 21 tons of rice fromShihuzi Village, helping villagers achieve sales revenue of RMB 71.4 thousand, effectively extendingthe agricultural product value chain. In partnership with provincial-level media, the Company carried outinitiatives to support farmers, organizing the participation of the village’s first secretary, the “twocommittees,” and corporate representatives in the Liaoning Economic Radio live program TreasureLiaoning. The program promoted Shihuzi Village’s specialty agricultural products such as rice andblueberries to audiences across the province, fully showcasing Benxi Steel’s assistance achievementsand the village’s development journey, and effectively enhancing product recognition.

V. Important Events

I. Commitments Fulfilled During the Reporting Period and CommitmentsOverdue but Unfulfilled as of the End of the Reporting Period by the Company’sActual Controller, Shareholders, Related Parties, Acquirers, and OtherCommitment-Related Parties

√ Applicable □ Not applicable

Commitments

Commitmentparty

Type ofcommitment

Contents

Commitmenttime

Commitmentperiod

Performance

Commitmentsmade inacquisitionreports orequity change

reportsCommitmentsmade inacquisitionreports orequity change

reportsCommitments

made inacquisitionreports orequity change

reports

AnsteelGroup Co.,Ltd.

Othercommitments

independence of BengangPlates, Ansteel Grouppromises as follows: 1.Ansteel Group guarantees tokeep separate from BengangPlates in terms of assets,personnel, finance, institutionsand business, and strictlyabide by the relevantregulations of the ChinaSecurities RegulatoryCommission on theindependence of listedcompanies, and will not useits controlling position tointerfere with the standardizedoperation of Bengang Plates,interfere with the businessdecisions of Bengang Plates,or damage the legitimaterights and interests ofBengang Plates and othershareholders. Ansteel Groupand its controlled subsidiariesguarantee not to illegallyoccupy the funds of BengangPlates and its controlledsubsidiaries in any way. 2.The above commitments willremain valid during the periodwhen Ansteel Group hascontrol over Bengang Plates.If Ansteel Group fails tofulfill the above commitmentsand causes losses to BengangPlates, Ansteel Group willbear the corresponding

Aug 20,2021

Long term In progress

AnsteelGroup Co.,Ltd.

Othercommitments

To avoid horizontalcompetition, Ansteel Groupundertakes as follows: (1)With regard to the overlap ofsome businesses between

Aug 20,2021

Long term In progress

this acquisition, in accordancewith the requirements ofcurrent laws, regulations andrelevant policies, AnsteelGroup will, within 5 yearsfrom the date of this letter ofcommitment, and strive toachieve the same within ashorter period of time, inaccordance with therequirements of relevantsecurities regulatoryauthorities, and on thepremise of complying with thelaws, regulations and relevantregulatory rules applicable atthat time, and in line with theprinciple of benefiting thedevelopment of BengangPlates and safeguarding theinterests of shareholders,especially the interests ofsmall and medium-sizedshareholders, steadily promotethe integration of relatedbusinesses to resolvehorizontal competition bycomprehensively using avariety of methods such asasset restructuring, businessadjustments, and entrustedmanagement. The abovesolutions include but are notlimited to: 1) Assetrestructuring: adopt differentmethods permitted by relevantlaws and regulations such ascash consideration or issuanceof shares to purchase assets,asset replacement, assettransfer or other feasiblerestructuring methods,gradually sort out andreorganize the assets ofAnsteel Group and BengangPlate with overlappingbusinesses, and eliminate theoverlap of some businesses; 2)Business adjustment: sort outthe business boundaries andmake every effort to achievedifferentiated operations, suchas achieving businessdifferentiation through assettransactions, business divisionand other different methods,including but not limited todifferentiation in businesscomposition, product grade,

management: by signing anentrustment agreement, oneparty fully entrusts thedecision-making power andmanagement power involvedin the operation of somerelevant assets withoverlapping businesses to theother party for unifiedmanagement; 4) Otherfeasible solutions within thescope permitted by laws,regulations and relevantpolicies. The implementationof the above solutions issubject to the necessaryreview procedures for listedcompanies, the approvalprocedures of securitiesregulatory authorities andrelevant competent authoritiesin accordance with relevantlaws and regulations. (2)Ansteel Group has not yetformulated a specificimplementation plan and timeschedule for resolving theissue of overlap between someof the businesses of AnsteelGroup and Bengang Plates.Ansteel Group will promptlyfulfill its informationdisclosure obligations inaccordance with therequirements of relevant lawsand regulations afterformulating a specific andfeasible plan; (3) In additionto the above circumstances,when Ansteel Group or othersubsidiaries obtain businessopportunities that maycompete with the business ofBengang Plates, AnsteelGroup will make every effortto give Bengang Platespriority development rightsand priority acquisition rightsfor such opportunities, ensurethat the price of the relevanttransaction is fair andreasonable, and will use thebusiness practices followed innormal commercialtransactions with independentthird parties as the basis forpricing; (4) Ansteel Groupguarantees to strictly abide bylaws, regulations and the

Co., Ltd. and its relevantmanagement systems, and willnot use its position as anindirect controllingshareholder of Bengang Platesto seek improper interests,thereby damaging the rightsand interests of othershareholders of BengangPlates; (5) The abovecommitments made byAnsteel Group are validduring the period whenAnsteel Group controlsBengang Plates. If the rightsand interests of BengangPlates are damaged due to theviolation of the abovecommitments, Ansteel Groupis willing to bear thecorresponding liability for

AnsteelGroup Co.,Ltd.

Othercommitments

In order to standardize andreduce the related-partytransactions between AnsteelGroup and listed companies,Ansteel Group has made thefollowing commitments: 1.Ansteel Group will ensure thatBensteel Plates hasindependent business andcomplete assets, and hasindependent and completeproduction, supply, sales andother supporting systems. 2.Ansteel Group and otherenterprises controlled byAnsteel Group will not usetheir control over BensteelPlates to seek priority intransactions with BensteelPlates and its subsidiaries. 3.Ansteel Group and otherenterprises controlled byAnsteel Group will avoid andreduce unnecessarytransactions with BensteelPlates and its subsidiaries. Ifthere are truly necessary andunavoidable transactions,Ansteel Group and otherenterprises controlled byAnsteel Group will signagreements with BensteelPlates and its subsidiaries inaccordance with the principlesof fairness, equity, and equalcompensation, and performlegal procedures. In

Aug 20,2021

Long term In progress

regulations and normativedocuments and the provisionsof the Articles of Associationof Bensteel Plates Co., Ltd.,they will perform informationdisclosure obligations andrelevant internal decision-making and approvalprocedures in accordance withthe law, and ensure that theywill not trade with BensteelPlates and its subsidiariesunder conditions that areobviously unfair compared tomarket prices, and will not usesuch transactions to engage inany behavior that damages thelegitimate rights and interestsof Bensteel Plates and othershareholders of BensteelPlates. 4. If the abovecommitments are violated andthe legitimate rights andinterests of Bengang Plate aredamaged, Ansteel Group willcompensate Bengang Plate forthe losses caused thereby in

Commitmentmade duringinitial publicoffering orrefinancing

Companydirectors,seniormanagement/Benxi SteelGroup Co.,Ltd.

Othercommitments

According to the relevantregulations of the ChinaSecurities RegulatoryCommission, all directors andsenior management of theCompany have made thefollowing commitments to theCompany’s fulfillment of thediluted immediate returnmeasures: 1. I promise toperform my duties faithfullyand diligently, and safeguardthe legitimate rights andinterests of the Company andall shareholders . 2. I promisenot to deliver benefits to otherunits or individuals withoutcompensation or under unfairconditions, nor to use othermeans to damage theCompany's interests. 3. Ipromise to restrict theposition-related consumptionbehavior of company directorsand senior managementpersonnel. 4. I promise not touse the Company’s assets todo investment andconsumption activities that arenot related to the performanceof my duties. 5. Within the

May 22,2019

Long term In progress

make every effort to promotethe company's board ofdirectors or the remunerationsystem established by theremuneration and appraisalcommittee to be linked to theimplementation of thecompany's compensationmeasures, and vote in favor ofthe relevant proposalsreviewed by the company'sboard of directors and generalmeeting (If I have votingrights). 6. If the companyintends to implement equityincentives, I promise to,within my ownresponsibilities andjurisdiction, make every effortto promote the Company’sproposed equity incentiveexercise conditions to belinked to the Company’simplementation of the returnmeasures, and to review theCompany’s board of directorsand shareholders’ generalmeetings and vote in favor ofthe relevant proposalsreviewed by the company'sboard of directors and generalmeeting (If I have votingrights). 7. If the futureissuance of this commitmentand the implementation of theCompany’s public issuance ofconvertible corporate bondsare completed, if the ChinaSecurities RegulatoryCommission makes other newregulatory provisions on themeasures for filling returnsand their commitments, andthe above commitmentscannot meet the requirementsof the China SecuritiesRegulatory CommissionWhen other regulations arestipulated, a commitment willbe issued in accordance withthe latest regulations of theChina Securities RegulatoryCommission. The company'scontrolling shareholder, BenxiIron and Steel (Group) Co.,Ltd., promised not to interferewith the company's operationand management activitiesbeyond its authority and not to

BengangGroup Co.,Ltd. andBenxi SteelGroup Co.,Ltd.

Othercommitments

trade Co., Ltd. and BengangSteel Plates Co., Ltd.'s salescompanies in the same regionguarantee personnelindependence, businessindependence, financialindependence, and assetindependence, and guaranteethat they are not in the sameplace of registration and neverwork in the same office; 2. Inview of the fact that BengangSteel Plates Co., Ltd. hasrecently completed theregistration of foreign tradeoperators, and consideringthat the qualification levelcertification of raw materialsuppliers and customs importand export qualification levelcertification still need to begradually improved, it lacksthe actual conditions andcapabilities to independentlycarry out import and exportbusiness in the short term. Inorder to ensure the normalbusiness development ofBengang Steel Plates Co.,Ltd., the Group agrees thatBengang International TradeCo., Ltd. will continue to actas the agent for the mainimport and export business ofBengang Steel Plates Co., Ltd.within a period of no morethan 5 years from the date ofissuance of this commitment,until Bengang Steel PlatesCo., Ltd. believes that it canindependently carry outimport and export business,and during this period,Bengang International TradeCo., Ltd. will providenecessary support forBengang Steel Plates Co., Ltd.to establish and improve itsimport and export business. Inaddition, BengangInternational Trade Co., Ltd.'ssales companies are onlyresponsible for selling theproducts of Beiying Steel &Irom Group, and never sellthird-party steel products. 3.The three sales companies ofthe Group, namely ShanghaiBengang Steel Sales Co., Ltd.,Shanghai Bengang SteelMaterials Co., Ltd. andGuangzhou Bonded ZoneBengang Sales Co., Ltd., areno longer actually engaged inany business activities. Thespecific details are as follows:

(1) Shanghai Bengang Steel

Trading Co., Ltd. filed for

July 24,2019 Long term In progress

District, Shanghai issued anannouncement to appointGrandall Law Firm(Shanghai) as the bankruptcyadministrator. Aftercommunicating with thebankruptcy administrator, therelevant procedures for thecancellation of ShanghaiBengang Steel Sales Co., Ltd.will be handled immediatelyafter the completion of theaforementioned bankruptcyliquidation procedures. (2)Shanghai Bengang SteelMaterials Co., Ltd. is aholding subsidiary ofShanghai Bengang SteelTrading Co., Ltd. and wascancelled in November 2020.(3)Guangzhou Bonded ZoneBengang Sales Co., Ltd. was

BengangGroup Co.,Ltd. andBenxi SteelGroup Co.,Ltd.

Othercommitments

and Bengang Group Co., Ltd.(hereinafter collectivelyreferred to as the "Group"), asthe direct and indirectcontrolling shareholders ofBengang Steel Plates Co., Ltd.(hereinafter referred to as"Bengang Plate"), herebymake the followingcommitments to avoidhorizontal competition: 1.During the period when theGroup serves as thecontrolling shareholder ofBengang Plate, the Group andother enterprises controlled bythe Group except BengangPlate will no longer produceor develop any products thatcompete or may compete withthe products produced byBengang Plate and itssubsidiaries at home andabroad, will not directly orindirectly operate anybusiness that competes or maycompete with the businessoperated by Bengang Plateand its subsidiaries, and willnot participate in theinvestment in any otherenterprises that compete ormay compete with theproducts produced orbusinesses operated byBengang Plate and itssubsidiaries. 2. If BengangPlates and its subsidiaries

July 24,2019 Long term In progress

enterprises controlled by theGroup will not compete withthe expanded business ofBengang Plates and itssubsidiaries; if there is apossibility of competitionwith the expanded business ofBengang Plates and itssubsidiaries, they willwithdraw from thecompetition with BengangPlates in the following ways:

(1) stop the business that

competes or may competewith Bengang Plates and itssubsidiaries; (2) incorporatethe competing business intoBengang Plates and itssubsidiaries in a legal andcompliant manner; (3) transferthe competing business to anunrelated third party. 3. If theGroup has any businessopportunity to engage in orparticipate in activities thatmay compete with thebusiness operations ofBengang Plates, the Groupshall immediately notifyBengang Plates of the abovebusiness opportunity. IfBengang Plates respondsaffirmatively within areasonable period specified inthe notification that it iswilling to utilize the businessopportunity, the Group willtry its best to provide thebusiness opportunity toBengang Plates on terms noless favorable than thoseprovided to any independentthird party. 4. If the abovecommitments are violated, theGroup is willing to bear all theresponsibilities arisingtherefrom and fullycompensate or indemnifyBengang Plates for all director indirect losses causedthereby. 5. This letter ofcommitment shall remainvalid and cannot be changedor revoked during the periodwhen the Group serves as thecontrolling shareholder of

BengangGroup Co.,Ltd. and

Othercommitments

Benxi Steel Group Co., Ltd.and Bengang Group Co., Ltd.(hereinafter collectively

July 24,2019 Long term In progress

Group Co.,Ltd.

controlling shareholders ofBengang Steel Plates Co., Ltd.(hereinafter referred to as"Bengang Plate"), herebypromise to regulate the relatedtransactions between theGroup and Bengang Plate: 1.The Group will fully respectthe independent legal personstatus of Bengang Plate,guarantee the independentoperation and independentdecision-making of BengangPlate, ensure the businessindependence, asset integrity,personnel independence andfinancial independence ofBengang Plate, so as to avoidand reduce unnecessaryrelated transactions; theGroup will strictly control therelated transactions betweenBengang Plate and itssubsidiaries. 2. The Group andother companies controlled byit promise not to occupy ormisappropriate the funds ofBengang Plate and itssubsidiaries by borrowing,repaying debts, advancingfunds or other means, norrequire Bengang Plate and itssubsidiaries to provide illegalguarantees for the Group andother companies controlled byit. 3. The Group and othercompanies controlled by itwill minimize relatedtransactions with BengangPlate. When conductingrelated transactions that aretruly necessary andunavoidable, the decision-making authority, decision-making procedures, andavoidance system stipulated inthe Articles of Association ofBengang Plates and thedecision-making system forrelated transactions shall bestrictly implemented, the roleof the Supervisory Board andindependent directors shall befully utilized, and theinformation disclosureobligations shall beconscientiously fulfilled toensure that transactions areconducted in accordance withthe principles of openness,fairness, and equity in markettransactions and normalcommercial terms. The Groupand other companiescontrolled by it will notrequire or accept BengangPlates to provide morefavorable conditions than anythird party in any fair market

of Bengang Plates andBengang Plates from beingharmed. 4. The Groupguarantees that the abovecommitments will remainvalid and irrevocable duringthe period when the Group islisted on the domestic stockexchange and the Group is itsdirect and indirect controllingshareholder. If any violationof the above commitmentsoccurs, the Group shall bearall losses caused to BengangPlates.WhetherCommitmentfulfilled ontime or not

YesII. Non-operating capital occupation of listed companies by controllingshareholders and other related parties

□ Applicable √ Not applicable

During the reporting period, there was no non-operating capital occupation of the listed company bycontrolling shareholders and other related parties.III. Violation of external guarantees

□ Applicable √ Not applicable

During the reporting period, the company had no violations of external guarantees.IV. Appointment and Dismissal of Certified Accountant’s Firm

Is the interim financial report audited?

□ Yes √ No

The interim report has not been audited.

V. Illustrations of the Board of Directors and Supervisory Committee on theModified Audit Report Issued by the CPAs

□ Applicable √ Not applicable

VI. Illustrations of the Board of Directors on the Modified Audit Report Issued bythe CPAs for Previous Reporting Period

□ Applicable √ Not applicable

Ⅶ. Bankrupt and Reforming Events

□ Applicable √ Not applicable

There was no bankrupt and reforming event during the reporting period.VIII. Lawsuits and ArbitrationsSignificant lawsuits and arbitrations

□ Applicable √ Not applicable

There is no Significant lawsuits and arbitrations during the reporting period.

Other Lawsuits and Arbitrations

√ Applicable □ Not applicable

Basic information

of litigation(arbitration)

Amountinvolved

(tenthousand

yuan)

Whetherestimatedliability is

formed

Progress in

litigation(arbitration)

Results andeffects of thelitigation(arbitration)trial

Execution ofthe litigation(arbitration)judgment

Disclosure

date

Disclosureindex

matters that thecompany does notmeet the disclosurestandards ofmaterial litigation

754.56 No In the trial

To beconcluded

Inaccordancewith the law

IX. Punishment and Rectification

□ Applicable √ Not applicable

The Company had no penalties or rectification cases during the reporting period.

X. Credit Status of the Company and its Controlling Shareholders and ActualControllers

□ Applicable √ Not applicable

XI. Major Related Party Transactions

1. Related party transactions relevant to daily operations

√ Applicable □ Not applicable

Relate

dparty

RelationshipTransactions type

Relate

dpartytransactioncontent

Pricin

gprinci

ples

ofrelate

dpartytransactions

Relate

dpartytransactionprice

Amo

untofAffiliatedTransaction (tenthous

andYuan

)

Proportion of

theamoun

t ofsimilartransac

tions

Appro

vedtransactionamount (tenthousa

ndyuan)

Whet

hertheappro

vedquota

isexcee

ded

Settlementmetho

d ofrelate

dpartytransactions

Themarket price

ofsimila

rtransactionsavaila

ble

Disclo

suredate

Disclo

sureindex

elScrapResources(Anshan)Co.,

Alsobelong toAnsteelGroup

Purchasinggoods/provideservices

Procurement ofmajorrawmaterials

Marketvalue

Related-PartyAgreementPrice

36,27

4.75

1.43%

309,3

No

Accordingto theagreement

Yes

Dec06,2024

2024-

AnsteelGroupMining Co.,LTD

Alsobelong toAnsteelGroup

asinggoods/provideservic

Procurement ofmajorrawmaterials

Marketvalue

Related-PartyAgreementPrice

7,828

.30

0.31%

83,85

No

Accordingto theagreement

Yes

Dec06,2024

2024-

Anshan IronandSteelGroupCo.,Ltd

Alsobelong toAnsteelGroup

asinggoods/provideservic

Procurement ofmajorrawmaterials

Marketvalue

Related-PartyAgreementPrice

47.9 0.00% 228.3 No

Accordingto theagreement

Yes

Dec06,2024

2024-

BenxiBeiyingIronandSteel(Group)Co.,

Alsobelong toBengangGroup

Purchasinggoods/provideservices

Procurement ofmajorrawmaterials

Marketvalue

Related-PartyAgreementPrice

657,6

72.33

25.85

%

1,312,

173.8

No

Accordingto theagreement

Yes

Dec06,2024

2024-

IronandSteel(Group)Machi

Sameparentcompany

asinggoods/provideservic

Procurement ofmajorrawmaterials

Marketvalue

Related-PartyAgreementPrice

345.8

0.01%

10,20

No

Accordingto theagreement

Yes

Dec06,2024

2024-

facturingCo.,

BenxiIronandSteel(Group)Construction Co.,

Sameparentcompany

Purchasinggoods/provideservices

Procurement ofmajorrawmaterials

Marketvalue

Related-PartyAgreementPrice

4,135.57

0.16%

24,00

6.08

No

Accordingto theagreement

Yes

Dec06,2024

2024-

IronandSteel(Group)Mining Co.,

Sameparentcompany

Purchasinggoods/provideservices

Procurement ofmajorrawmaterials

Marketvalue

Related-PartyAgreementPrice

325,6

55.66

12.80

%

745,2

No

Accordingto theagreement

Yes

Dec06,2024

2024-

IronandSteel(Group)EquipmentEngineeringCo.,

Sameparentcompany

Purchasinggoods/provideservices

Procurement ofmajorrawmaterials

Marketvalue

Related-PartyAgreementPrice

315.7

0.01% 1,000 No

Accordingto theagreement

Yes

Dec06,2024

2024-

IronandSteel(Group)IndustrialDevelopmentCo.,

Sameparentcompany

Purchasinggoods/provideservices

Procurement ofmajorrawmaterials

Marketvalue

Related-PartyAgreementPrice

13,66

3.19

0.54%

37,40

No

Accordingto theagreement

Yes

Dec06,2024

2024-

SteelandIron(Group)Co.,

Parentcompany

asinggoods/provideservic

Procurement ofmajorrawmaterials

Marketvalue

Related-PartyAgreementPrice

38.97 0.00% 900 No

Accordingto theagreement

Yes

Dec06,2024

2024-

ngSteel

belong to

asinggoods

rement of

Marketvalue

d-Party

320.5

0.01% 2,500 No

dingto the

Yes

Dec06,2024

2024-

Limited

Group

eservic

materials

Price

AngangGroupEngineeringTechnologyDevelopmentCo.,

Alsobelong toAnsteelGroup

Purchasinggoods/provideservices

Procurement ofauxiliarymaterials

Marketvalue

Related-PartyAgreementPrice

905.6

0.04%

1,957.

No

Accordingto theagreement

Yes

Dec06,2024

2024-

eelGroupInternationalEconomicandTradeCo.,

Alsobelong toAnsteelGroup

Purchasinggoods/provideservices

Procurement ofauxiliarymaterials

Marketvalue

Related-PartyAgreementPrice

58.27 0.00%

11,20

No

Accordingto theagreement

Yes

Dec06,2024

2024-

elGroupZhongyuanIndustrialDevelopmentCo.,

Alsobelong toAnsteelGroup

Purchasinggoods/provideservices

Procurement ofauxiliarymaterials

Marketvalue

Related-PartyAgreementPrice

706.1

0.03% 1,500 No

Accordingto theagreement

Yes

Dec06,2024

2024-

Anshan IronandSteelGroupCo.,Ltd

Alsobelong toAnsteelGroup

asinggoods/provideservic

Procurement ofauxiliarymaterials

Marketvalue

Related-PartyAgreementPrice

15,86

5.46

0.62%

42,12

3.75

No

Accordingto theagreement

Yes

Dec06,2024

2024-

BeiyingIronandSteel(Group)Co.,

Alsobelong toBengangGroup

Purchasinggoods/provideservices

Procurement ofauxiliarymaterials

Marketvalue

Related-PartyAgreementPrice

492.9

0.02%

4,001.

No

Accordingto theagreement

Yes

Dec06,2024

2024-

BenxiIron

Sameparent

Purchasing

Procuremen

Market

Related-

18,62

7.70

0.73%

34,65

0.12

No

According

Yes

Dec06,

2024-

(Group)MachineryManufacturingCo.,

provideservices

arymaterials

mentPrice

ment

BenxiIronandSteel(Group)Construction Co.,

Sameparentcompany

Purchasinggoods/provideservices

Procurement ofauxiliarymaterials

Marketvalue

Related-PartyAgreementPrice

785.8 0.03% 1,600 No

Accordingto theagreement

Yes

Dec06,2024

2024-

IronandSteel(Group)EquipmentEngineeringCo.,

Sameparentcompany

Purchasinggoods/provideservices

Procurement ofauxiliarymaterials

Marketvalue

Related-PartyAgreementPrice

4,829

.21

0.19%

14,00

No

Accordingto theagreement

Yes

Dec06,2024

2024-

IronandSteel(Group)IndustrialDevelopmentCo.,

Sameparentcompany

Purchasinggoods/provideservices

Procurement ofauxiliarymaterials

Marketvalue

Related-PartyAgreementPrice

9,165

.36

0.36%

23,14

3.12

No

Accordingto theagreement

Yes

Dec06,2024

2024-

SteelandIron(Group)Co.,

Parentcompany

asinggoods/provideservic

Procurement ofauxiliarymaterials

Marketvalue

Related-PartyAgreementPrice

11,36

2.89

0.45%

23,57

1.90

No

Accordingto theagreement

Yes

Dec06,2024

2024-

PangangGroupCo.,Ltd

Alsobelong toAnsteelGroup

asinggoods/provideservic

Procurement ofauxiliarymaterials

Marketvalue

Related-PartyAgreementPrice

347.4

0.01% 1,000 No

Accordingto theagreement

Yes

Dec06,2024

2024-

OthersubsidiariesofAnsteelGroup

Alsobelong toAnsteelGroup

asinggoods/provideservic

Procurement ofauxiliarymaterials

Marketvalue

Related-PartyAgreementPrice

13,28

7.71

0.52%

27,00

No

Accordingto theagreement

Yes

Dec06,2024

2024-

BenxiBeiyingIronandSteel(Group)Co.,

Alsobelong toBengangGroup

Purchasinggoods/provideservices

Purchaseenergypower

Marketvalue

Related-PartyAgreementPrice

35,66

7.28

1.40%

63,38

2.58

No

Accordingto theagreement

Yes

Dec06,2024

2024-

SteelandIron(Group)Co.,

Parentcompany

asinggoods/provideservic

Purchaseenergypower

Marketvalue

Related-PartyAgreementPrice

11.29 0.00% 23 No

Accordingto theagreement

Yes

Dec06,2024

2024-

ngGroupEngineeringTechnologyDevelopmentCo.,

Alsobelong toAnsteelGroup

Purchasinggoods/provideservices

Acceptsupportiveservices

Marketvalue

Related-PartyAgreementPrice

1,074

.75

0.04% 5,200 No

Accordingto theagreement

Yes

Dec06,2024

2024-

eelGroupInternationalEconomicandTradeCo.,

Alsobelong toAnsteelGroup

Purchasinggoods/provideservices

Acceptsupportiveservices

Marketvalue

Related-PartyAgreementPrice

1,802

.83

0.07% 3,900 No

Accordingto theagreement

Yes

Dec06,2024

2024-

elGroupZhongyuanIndustrialDevelopment

Alsobelong toAnsteelGroup

Purchasinggoods/provideservices

Acceptsupportiveservices

Marketvalue

Related-PartyAgreementPrice

814.4

0.03% 2,330 No

Accordingto theagreement

Yes

Dec06,2024

2024-

AnsteelAutomation Co.,LTD

Alsobelong toAnsteelGroup

Purchasinggoods/provideservic

Acceptsupportiveservices

Marketvalue

Related-PartyAgreementPrice

160 0.01% 500 No

Accordingto theagreement

Yes

Dec06,2024

2024-

Anshan IronandSteelGroupCo.,Ltd

Alsobelong toAnsteelGroup

asinggoods/provideservic

Acceptsupportiveservices

Marketvalue

Related-PartyAgreementPrice

4,420

.99

0.17%

26,57

7.47

No

Accordingto theagreement

Yes

Dec06,2024

2024-

eelGroupInternationalEconomicandTradeCo.,

Alsobelong toBengangGroup

Purchasinggoods/provideservices

Acceptsupportiveservices

Marketvalue

Related-PartyAgreementPrice

344.1

0.01%

975.7

No

Accordingto theagreement

Yes

Dec06,2024

2024-

BenSteelGroupCo.,Ltd

ollingshareholderof theparentcomp

asinggoods/provideservic

Acceptsupportiveservices

Marketvalue

Related-PartyAgreementPrice

14,31

2.93

0.56%

32,00

No

Accordingto theagreement

Yes

Dec06,2024

2024-

BenxiBeiyingIronandSteel(Group)Co.,

Alsobelong toBengangGroup

Purchasinggoods/provideservices

Acceptsupportiveservices

Marketvalue

Related-PartyAgreementPrice

5,731

.78

0.23%

12,29

4.20

No

Accordingto theagreement

Yes

Dec06,2024

2024-

SteelandIron(Group)TengdaCo.,Lt

Alsobelong toAnsteelGroup

Purchasinggoods/provideservices

Acceptsupportiveservices

Marketvalue

Related-PartyAgreementPrice

28,44

8.18

1.12%

60,00

No

Accordingto theagreement

Yes

Dec06,2024

2024-

IronandSteel

Sameparentcompany

asinggoods/

tsupportive

Marketvalue

d-PartyAgree

4,945

.69

0.19%

13,32

0.43

No

dingto theagree

Yes

Dec06,2024

2024-

MachineryManufacturingCo.,

services

BenxiIronandSteel(Group)Construction Co.,

Sameparentcompany

Purchasinggoods/provideservices

Acceptsupportiveservices

Marketvalue

Related-PartyAgreementPrice

15,79

9.52

0.62%

39,43

4.92

No

Accordingto theagreement

Yes

Dec06,2024

2024-

IronandSteel(Group)EquipmentEngineeringCo.,

Sameparentcompany

Purchasinggoods/provideservices

Acceptsupportiveservices

Marketvalue

Related-PartyAgreementPrice

31,89

6.44

1.25%

113,9

37.73

No

Accordingto theagreement

Yes

Dec06,2024

2024-

IronandSteel(Group)IndustrialDevelopmentCo.,

Sameparentcompany

Purchasinggoods/provideservices

Acceptsupportiveservices

Marketvalue

Related-PartyAgreementPrice

782.9

0.03% 2,300 No

Accordingto theagreement

Yes

Dec06,2024

2024-

SteelandIron(Group)Co.,

Parentcompany

asinggoods/provideservic

Acceptsupportiveservices

Marketvalue

Related-PartyAgreementPrice

2,876

.63

0.11%

8,818.

No

Accordingto theagreement

Yes

Dec06,2024

2024-

LandPortSupplyChainServicesCo.,

Alsobelong toAnsteelGroup

Purchasinggoods/provideservices

Acceptsupportiveservices

Marketvalue

Related-PartyAgreementPrice

55.69 0.00% 627.4 No

Accordingto theagreement

Yes

Dec06,2024

2024-

PangangGroupCo.,Ltd

Alsobelong toAnsteelGroup

asinggoods/provideservic

Acceptsupportiveservices

Marketvalue

Related-PartyAgreementPrice

30 0.00% 100 No

Accordingto theagreement

Yes

Dec06,2024

2024-

OthersubsidiariesofAnsteelGroup

Alsobelong toAnsteelGroup

Purchasinggoods/provideservic

Acceptsupportiveservices

Marketvalue

Related-PartyAgreementPrice

15,91

7.85

0.63%

29,43

3.12

No

Accordingto theagreement

Yes

Dec06,2024

2024-

AngangSteelCompanyLimited

Alsobelong toAnsteelGroup

ggoods/providingservic

Sellinggoods

Marketvalue

Related-PartyAgreementPrice

396.7

0.02%

285,6

No

Accordingto theagreement

Yes

Dec06,2024

2024-

elChemicalTechnologyCo.,

Alsobelong toAnsteelGroup

ggoods/providingservic

Sellinggoods

Marketvalue

Related-PartyAgreementPrice

13,60

3.24

0.55%

30,00

No

Accordingto theagreement

Yes

Dec06,2024

2024-

ngGroupEngineeringTechnologyDevelopmentCo.,

Alsobelong toAnsteelGroup

Sellinggoods/providingservices

Sellinggoods

Marketvalue

Related-PartyAgreementPrice

0.03 0.00% 500 No

Accordingto theagreement

Yes

Dec06,2024

2024-

AnsteelGroupZhongyuanIndustrialDevelopmentCo.,

Alsobelong toAnsteelGroup

Sellinggoods/providingservices

Sellinggoods

Marketvalue

Related-PartyAgreementPrice

519.3

0.02%

9,894.

No

Accordingto theagreement

Yes

Dec06,2024

2024-

elResources

belong toAnste

ggoods/

Sellinggoods

Marketvalue

d-PartyAgree

1,544

.30

0.06% 9,340 No

dingto theagree

Yes

Dec06,2024

2024-

servic

Anshan IronandSteelGroupCo.,Ltd

Alsobelong toAnsteelGroup

Sellinggoods/providingservic

Sellinggoods

Marketvalue

Related-PartyAgreementPrice

12,02

7.09

0.49%

48,06

No

Accordingto theagreement

Yes

Dec06,2024

2024-

BeiyingIronandSteel(Group)Co.,

Alsobelong toBengangGroup

Sellinggoods/providingservices

Sellinggoods

Marketvalue

Related-PartyAgreementPrice

29,62

3.20

1.20%

113,3

75.52

No

Accordingto theagreement

Yes

Dec06,2024

2024-

IronandSteel(Group)MachineryManufacturingCo.,

Sameparentcompany

Sellinggoods/providingservices

Sellinggoods

Marketvalue

Related-PartyAgreementPrice

3,031

.30

0.12%

15,56

0.67

No

Accordingto theagreement

Yes

Dec06,2024

2024-

IronandSteel(Group)Construction Co.,

Sameparentcompany

Sellinggoods/providingservices

Sellinggoods

Marketvalue

Related-PartyAgreementPrice

163.5

0.01%

782.7

No

Accordingto theagreement

Yes

Dec06,2024

2024-

BenxiIronandSteel(Group)Mining Co.,

Sameparentcompany

Sellinggoods/providingservices

Sellinggoods

Marketvalue

Related-PartyAgreementPrice

12,81

3.94

0.52%

30,45

8.89

No

Accordingto theagreement

Yes

Dec06,2024

2024-

IronandSteel(Group)Equip

Sameparentcompany

ggoods/providingservic

Sellinggoods

Marketvalue

Related-PartyAgreementPrice

163.1

0.01% 1,000 No

Accordingto theagreement

Yes

Dec06,2024

2024-

eeringCo.,

BenxiIronandSteel(Group)IndustrialDevelopmentCo.,

Sameparentcompany

Sellinggoods/providingservices

Sellinggoods

Marketvalue

Related-PartyAgreementPrice

5,993.20

0.24%

19,05

No

Accordingto theagreement

Yes

Dec06,2024

2024-

SteelandIron(Group)Co.,

Parentcompany

ggoods/providingservic

Sellinggoods

Marketvalue

Related-PartyAgreementPrice

3,509

.33

0.14%

16,48

4.66

No

Accordingto theagreement

Yes

Dec06,2024

2024-

LandPortSupplyChainServicesCo.,

Alsobelong toAnsteelGroup

Sellinggoods/providingservices

Sellinggoods

Marketvalue

Related-PartyAgreementPrice

163,8

27.08

6.63%

417,2

98.97

No

Accordingto theagreement

Yes

Dec06,2024

2024-

PangangGroupCo.,Ltd

Alsobelong toAnsteelGroup

ggoods/providingservic

Sellinggoods

Marketvalue

Related-PartyAgreementPrice

1,559

.40

0.06%

27,30

No

Accordingto theagreement

Yes

Dec06,2024

2024-

OthersubsidiariesofAnsteelGroup

Alsobelong toAnsteelGroup

Sellinggoods/providingservic

Sellinggoods

Marketvalue

Related-PartyAgreementPrice

229.7

0.01%

6,654.

No

Accordingto theagreement

Yes

Dec06,2024

2024-

Anshan IronandSteelGroupCo.,Ltd

Alsobelong toAnsteelGroup

ggoods/providingservic

Providesupportiveservices

Marketvalue

Related-PartyAgreementPrice

1.03 0.00%

9,967.

No

Accordingto theagreement

Yes

Dec06,2024

2024-

13.21 0.00% 26.7 No

Yes

Steel(Group)MachineryManufacturingCo.,

any

/providingservices

rtiveservices

AgreementPrice

agreement

BenxiIronandSteel(Group)Construction Co.,

Sameparentcompany

Sellinggoods/providingservices

Providesupportiveservices

Marketvalue

Related-PartyAgreementPrice

0.03 0.00% 0.2 No

Accordingto theagreement

Yes

Dec06,2024

2024-

IronandSteel(Group)Mining Co.,

Sameparentcompany

Sellinggoods/providingservices

Providesupportiveservices

Marketvalue

Related-PartyAgreementPrice

348.2

0.01% 543.5 No

Accordingto theagreement

Yes

Dec06,2024

2024-

IronandSteel(Group)IndustrialDevelopmentCo.,

Sameparentcompany

Sellinggoods/providingservices

Providesupportiveservices

Marketvalue

Related-PartyAgreementPrice

2.17 0.00% 4.6 No

Accordingto theagreement

Yes

Dec06,2024

2024-

SteelandIron(Group)Co.,

Parentcompany

ggoods/providingservic

Providesupportiveservices

Marketvalue

Related-PartyAgreementPrice

2.45 0.00% 5 No

Accordingto theagreement

Yes

Dec06,2024

2024-

Total

,198.

--

672.2

-- -- -- -- --

Actual performance of the estimated total amount of dailyrelated transactions to occur in the current period during thereporting period by category (if any)

Not applicableReason for any significant difference between the

Not applicabletransaction price and the market price for reference (if

Not applicable

2. Related transactions relevant to asset acquisition or sold

□ Applicable √ Not applicable

There was no related transaction relevant to asset acquisition or sold during the reporting period.

3. Related transactions relevant to joint investments

□ Applicable √ Not applicable

There was no related transaction relevant to joint investments during the reporting period.

4. Credits and liabilities with related parties

□ Applicable √ Not applicable

There were no related-party debts and credits during the reporting period.

5. Deals with related financial companies and financial companies controlled by the company

√ Applicable □ Not applicable

Deposit businessRelated party

Relationship

Maximumdaily deposit

limit (10

thousand)

Depositinterest rate

range

Beginningbalance (10

thousand)

Current period

Endingbalance (10

thousand)

Total deposit

amount ofthe currentperiod (10thousand)

Total depositamount ofthe currentperiod (10thousand)

applicable)Angang

GroupFinance Co.,

Belong toAnsteelGroup

450,000

0.65%-

2.25%

122,719.88

4,631,120.

4,730,055.

23,784.99

Credit or other financial services

Related party Relationship Business type

Amount (10

thousand)

Actual amount (10

thousand)

Angang Group FinanceCo., Ltd.

Other financial services 41,181.88 41,181.88

6. Transactions with related financial companies and related parties

□ Applicable √ Not applicable

There are no deposits, loans, credit facilities, or other financial transactions between the related financecompany and related parties.

7. Other significant related party transactions

□ Applicable √ Not applicable

The company has no other material related party transactions during the reporting period.XII. Significant Contracts and Their Performance

1. Trusteeship, contracting, and leasing matters

(1) Trusteeship

□ Applicable √ Not applicable

During the reporting period, the Company had no trusteeship arrangements.

(2) Contracting

□ Applicable √ Not applicable

During the reporting period, the Company had no contracting arrangements.

(3) Lease

√Applicable □ Not applicable

Details of leaseThe Company as lessor:

Name of lessee

Type of leased assets

recognized in current

Development Co., Ltd

The Company as the lessee:

Name oflessor

Type ofleasedassets

Rentalfees for

short-termleasesand low-

valueassets

Variable

lease

notincludedin themeasurem

ent ofleaseliabilities

Rent paid

Interestexpenseon lease

assumed

Increase inright-of-

assets

al

for

-

low-valu

e

Variable

lease

notincluded

in themeasurem

ent of

leaseliabilities

Rent paid

Interestexpenseon lease

assumed

Increase inright-of-

assets

BenxiIron and

Steel(Group)Co., LTD

.06

.80

.06

.00

BenxiIron and

Steel(Group)Co., LTD

8,049,080.

3,348,358.

8,049,080.

3,870,344.

BeiyingIron and

Steel(Group)

7,175,818.

2,578,717.

7,175,818.

2,980,721.

GroupCo., Ltd

4,972,711.

4,972,711.

1,224,959.

GroupEnergySavingTechnologyService

ry

1,400,598.

.04

Iron andSteel(Group)Construct

ion Co.,

3,470,033

.34

For the company's profit and loss of the company to more than 10% of the total profit of the reporting period

□ Applicable √ Not applicable

During the reporting period of the company, there is no leasing project that the profit and loss of the companyreaches more than 10% of the total profit of the company during the reporting period.

2. Major Guarantee

□ Applicable √ Not applicable

There was no guarantee during the reporting period.

3. Entrusted Finance

□ Applicable √ Not applicable

There was no entrusted finance during the reporting period.

4. Other Major Contracts

□ Applicable √ Not applicable

There was no other major contract during the reporting period.XIII. Other Major Events

√ Applicable □ Not applicable

On June 20, 2023, the company disclosed the "Major Asset Replacement and Related Transaction Plan"to carry out asset replacement with Benxi Iron and Steel Company, intending to acquire 100% equity ofBenxi Iron and Steel (Group) Mining Co., Ltd., and intending to dispose of all assets and liabilities ofthe listed company except for retained assets and liabilities. The difference between the assets to beacquired and the assets to be disposed of shall be made up by one party to the other in cash. At present,the company is conducting further demonstration and communication and negotiation on the transactionplan. After the relevant matters are determined, the company will convene the board of directors againfor deliberation.XIV. Major Events of Subsidiaries

√ Applicable □ Not applicable

On March 28, 2025, the Company held the 34th meeting of its Ninth Board of Directors, which reviewedand approved the "Proposal on Jointly Investing with Related Parties to Establish a Subsidiary." TheCompany and its related party, Ansteel Green Gold Industry Development Co., Ltd., jointly investedRMB 60 million to establish Green Gold (Benxi) Renewable Resources Co., Ltd. (hereinafter referred toas the "Joint Venture"). Of this, the Company invested RMB 30.6 million with its own funds, holding51% shares in the Joint Venture, while Green Gold Co. invested RMB 29.4 million with its own funds,holding 49% shares. Upon completion of this joint investment, the Joint Venture will be included in theCompany's consolidated financial statements and become a holding subsidiary of the Company.

Industrial and commercial registration was completed on April 9, 2025. For details, please refer to the"Announcement on Jointly Investing with Related Parties to Establish a Subsidiary and Related-PartyTransactions" (Announcement No.: 2025-011) and the "Announcement on Progress of Jointly Investingwith Related Parties to Establish a Subsidiary and Completion of Industrial and CommercialRegistration" (Announcement No.: 2025-025), both disclosed by the Company on designatedinformation disclosure media.

VI. Status of Share Capital Changes and Shareholders

I. Share Capital Changes

1. Share capital changes

Unit: Share

，

Quantity

PercentageIssuing ofnew share

shares

ation of

reserve

Others Subtotal Quantity

Percentage

3,708,228,157

90.26%

4,048

4,048

3,708,232,205

400,000,000

9.74%

400,000,000

9.74%

Reason for share capital changes

√Applicable □Not applicable

During the reporting period, 160 of the company's publicly issued convertible corporate bonds wereconverted into shares, and the company's total share capital increased by 4,048 shares.Approval of share capital changes

□ Applicable √ Not applicable

Status of registration process of transferred shares

□ Applicable √ Not applicable

Progress of Share Repurchase

□ Applicable √ Not applicable

Implementation Progress of Reducing Holdings of Repurchase Shares by Centralized Bidding

□ Applicable √ Not applicable

Influences of share capital changes on financial indices such as basic earnings per share, diluted earningsper share, and net asset per share attributed to common shareholders

□ Applicable √ Not applicable

Other information the Company deems necessary to be disclosed or required by the authority

□ Applicable √ Not applicable

2. Changes of Restricted Shares

□Applicable √Not applicable

II. Securities Issuance and Listing

□Applicable √Not applicable

III. Total Number of shareholders and shareholding

Unit: SharesTotal number of

at the end of thereporting period

46,250

The total number ofpreferred shareholdersvoting rights restored at

period (if any)(

Notes 8)

Shareholdings of the top 10 shareholders (excluding shares loaned through refinancing)Name of theshareholder

Nature of

shareholder

Holding

Percentage

Number ofshares held at

period-end

Changes in

reporting

period

Restrictedshares held

Un-restricted

shares held

Number of pledged or

frozen sharesStatus NumberBenxi Steel & Iron(Group) Co., Ltd.

State-ownedlegal person

58.65%

2,409,628,094

2,409,628,094

Frozen 102,100,000

Bengang GroupCo., Ltd.

State-ownedlegal person

17.95%

737,371,532

737,371,532

Notapplicab

le

Guan Hui

Domesticnatural person

0.68%

28,000,000

-213,600

28,000,000

applicable

Zhang Wenyou

Domesticnatural person

0.43%

17,862,365

-300,000

17,862,365

Notapplicab

le

Securities (HK) Co.,

Ltd.

Foreign legalperson

0.39%

16,011,907

4,243,100

16,011,907

Notapplicab

le

Wu Tie

Domesticnatural person

0.33%

13,592,351

12,392,351

13,592,351

Notapplicab

le

Lyu Ruijun

Domesticnatural person

0.30%

12,289,200

277,760

12,289,200

Notapplicab

le

Gao Tao

Domesticnatural person

0.26%

10,800,000

-4,700,000

10,800,000

Notapplicable

Ma Yonghua

Domesticnatural person

0.24%

10,033,357

10,900

10,033,357

Notapplicab

le

Hong KongSecurities ClearingCompany Limited

Foreign legalperson

0.24%

10,021,142

-860,248

10,021,142

Notapplicab

le

Strategy investors or general legal

to rights issued (if any) (See Notes 3)

None

Listed Companies". It is unknown to the Company whether there is any related connection

Shareholding Status of Listed Companies existing among the above shareholders.Explanation of the above-mentionedshareholders' entrusted/entrusted votingrights and waiver of voting rights

of voting rights.Special instructions for the existence ofspecial repurchase accounts among thetop 10 shareholders (if any) (see Note11)

NoneShareholding of top 10 unrestricted shareholders (excluding shares loaned through refinancing and shares locked up by senior executives)

Name of the shareholder

Un-restricted shares held atthe end of the reporting period

Category of sharesCategory of shares QuantityBenxi Steel & Iron (Group) Co., Ltd. 2,409,628,094

Common shares in RMB2,409,628,094

Bengang Group Co., Ltd.737,371,532

Common shares in RMB 737,371,532

Guan Hui28,000,000

Common shares in RMB 28,000,000

Zhang Wenyou17,862,365

Common shares in RMB17,862,365

China Merchants Securities (HK) Co Ltd.16,011,907

Foreign shares in domestic exchange 16,011,907

Wu Tie13,592,351

Common shares in RMB 13,592,351

Lyu Ruijun12,289,200

Foreign shares in domestic exchange12,289,200

Gao Tao10,800,000

Foreign shares in domestic exchange 10,800,000

Ma Yonghua10,033,357

Foreign shares in domestic exchange 10,033,357

Hong Kong Securities Clearing CompanyLimited

10,021,142

Common shares in RMB10,021,142

Notes to relationship or ‘action in concert’among the top 10 non-restricted shareholders,and among the top 10 non-restrictedshareholders and top 10 shareholders

Benxi Steel & Iron (Group) Co., Ltd. has a related relationship with

Ltd

related connection

above shareholders.Shareholders among the top 10 participating insecurities margin trading (if any) (see Note 4)

Guan Hui holds

investor general account, 17,856,367

credit securities account. Wu Tie holds 7,000,000

an investor general account and 6,592,351

investor credit securities account.

Shareholders holding more than 5% of the shares, the top 10 shareholders and the top 10shareholders of unrestricted tradable shares participating in the refinancing business and lendingshares

□ Applicable √ Not Applicable

The top 10 shareholders and the top 10 shareholders of unrestricted tradable shares have changedcompared with the previous period due to lending/repayment of refinancing

□ Applicable √ Not Applicable

Whether top 10 common shareholders and top 10 un-restricted common shareholders have a buy-back agreement dealing in reporting period

□ Yes √ No

Top 10 common shareholders and top 10 un-restricted common shareholders had no buy-backagreement dealing in reporting period.

IV.Change of controlling shareholder or actual controller

□ Applicable √ Not Applicable

There was no change in the shareholding status of the company's directors, supervisors and seniormanagement during the reporting period. Please refer to the 2024 annual report for details.

V. Change of controlling shareholder or actual controller

Change of controlling shareholder during the reporting period

□ Applicable √ Not applicable

There was no change of holding shareholder in the report period.

Change of actual controller during the reporting period

□ Applicable √ Not applicable

There was no change of substantial controller in the report period.

VIII. Status of Preferred Shares

□ Applicable √ Not applicable

There were no preferred shares during the reporting period.

VII. Status of Bonds

√Applicable □ Not applicable

I. Enterprise bonds

□ Applicable √ Not applicable

During the reporting period, the company did not have Enterprise bonds.

II. Corporate bonds

□ Applicable √ Not applicable

During the reporting period, the company did not have corporate bonds.III. Debt financing tools for non-financial companies

□ Applicable √ Not applicable

During the reporting period, the company did not have non-financial corporate debt financing instruments.IV. Convertible corporate bonds

√Applicable □ Not applicable

1. Convertible bond issuance

Approved by the China Securities Regulatory Commission's "Securities Regulatory License [2020] No.46", the company publicly issued 68 million convertible corporate bonds on June 29, 2020, with a facevalue of RMB 100 each, a total issuance amount of RMB 6.80 billion, and a term of 6 years. Thecompany's 6.8 billion yuan convertible corporate bonds were listed and traded on the Shenzhen StockExchange on August 4, 2020. The bonds are referred to as "Bengang convertible bonds" and the bondcode is "127018".

2. Guarantors and top ten holders of convertible bonds

19,148

None

No. Convertible bond holders

Nature of convertible bond

holders

Number ofconvertiblebonds held atthe end of the

reportingperiod (sheets)

Amount ofconvertible bondsheld at the end of

the reportingperiod (yuan)

ge ofconverti

ble

bonds

held atthe end

of thereportin

Ltd - Bosera CSI ConvertibleBond & Exchangeable Bond

Others 2,480,660

248,066,000.00

4.41%

Income Pension Product－China Construction Bank

Others 2,444,591

244,459,100.00

4.34%

Bank of China Limited -

Others 1,900,011

190,001,100.00

3.37%

Allocation Series 3 Fixed-Income Pension Product -Industrial and Commercial

Others 1,619,639

161,963,900.00

2.88%

Company - DK MS FPI

Foreign Legal Person 1,612,803

161,280,300.00

2.86%

– GS Funds Anji Pure bondhalf-yearly open bond-typeinitiated securities investment

Others 1,029,532

102,953,200.00

1.83%

Corporation EnterpriseAnnuity Plan - China CITIC

Others 1,015,606

101,560,600.00

1.80%

Bank of China Limited –Huashang Convertible Bond

Others 836,179

83,617,900.00

1.48%

3. Changes in convertible bonds during the reporting period

√Applicable □ Not applicable

Unit: Yuan

ConvertibleCorporate Bond

Name

Before Change

Increase/Decrease

After ChangeConversion Redemption

Repurchas

e

5,630,985,100.00 16,000.00 5,630,969,100.00

4. Cumulative share conversion

√Applicable □ Not applicable

Name

ofConver

tibleBond

BengangConvertible Bond

Start date

and enddate ofconversion

Totalissuequanti

ty(sheet

)

Total issue

amount(Yuan)

C

con

amount(Yuan)

Cumulati

veconversio

nquantity(

shares)

Proportion of

convertedshares to the

total issuequantity

Amount of shares

not converted(Yuan)

n ofunconver

tedamountto the

totalissue

gConvertible

4th Jan2021 – 28

th

Jun 2026

68,000,000

6,800,000,

000.00

1,169,030,9

00.00

232,860,6

6.01%

5,630,969,100.00

82.81%

5. Previous adjustments and revisions of the conversion price

Name ofConvertible Bond

Conversion PriceAdjustment Date

AdjustedConversio

n Price(Yuan)

Disclosure Date

Conversion PriceAdjustment Explanation

LatestConversionPrice as of the

End of theReportingPeriod (Yuan)

Convertibl

July 19,2021

5.02 July 10, 2021

Implementation of 2020Equity Distribution Plan

3.95

Convertibl

October13, 2021

4.55

September 28,2021

Interim Equity

3.95

Convertibl

June 16,2022

3.95 June 8, 2022

Implementation of 2021Equity Distribution Plan

3.95

6. The Company's Debt Status, Changes in Creditworthiness, and Cash Arrangements for Future

Debt Repayment at the End of the Reporting Period

√Applicable □ Not applicable

As of the end of the first half of 2025, the Company's total assets amounted to RMB 45,758.0903 million,with an debt asset ratio of 75.57%. In accordance with the China Securities Regulatory Commission's"Administrative Measures for the Issuance of Securities by Listed Companies" and the Shenzhen StockExchange's Corporate Bond Listing Rules, the Company commissioned the credit rating agency ChinaChengxin International Credit Rating Co., Ltd. (hereinafter referred to as "China Chengxin") to conducta follow-up credit rating for the Bengang Convertible Bonds. On June 3, 2025, China Chengxin issuedthe "2025 Follow-up Rating Report on Bengang Plates Co., Ltd.", maintaining the Company's corporatecredit rating at AA+ with a stable outlook and the credit rating of the Bengang Convertible Bonds atAAA. During the reporting period, the Company's corporate credit rating and the credit rating of thecorporate bonds remained unchanged. Bengang Convertible Bonds will pay interest on each full yearstarting from the first day of issuance (June 29, 2020). The company paid the fifth year's interest on June30, 2025, at an interest rate of 3.80%. Future repayments of principal and interest on the BengangConvertible Bonds will primarily come from net operating cash flow, bank loans, and market financing.

V. The loss in the scope of consolidated statements during the reporting period exceeded 10%of the net assets at the end of the previous year

√Applicable □ Not applicable

Items Losses

Reasons for the

losses

The impact on the company's production andoperation and debt repayment capacityParent companyof BengangSteel Plates Co.,Ltd.

Net profit in thefirst half of 2025RMB -1,540,142,881.67

Operational loss

half of 2025 was RMB -1,540,142,881.67,which exceeded the net assets of the auditedconsolidated balance sheet at the end of theprevious year by 10%, affecting the increasein the consolidated net profit loss and theincrease in the debt-to-asset ratio in this

VI. The company’s main accounting data and financial indicators for the past two years as ofthe end of the reporting period

Unit: ten thousand yuanItem 30 June 2025 31 December 2024

deducting non-recurring

-

-162,165.39

-10.56%

VIII. Financial Report

1. Auditor’s report

Whether the interim report is audited

□ Yes √ No

The interim report is not audited.

2. Financial Statements

The unit of the financial statements is: RMB yuan

BENGANG STEEL PLATES CO., LTD.CONSOLIDATED STATEMENT OF FINANCIAL POSITION

As at 30 June 2025(Expressed in Renminbi unless otherwise indicated)

The notes to the financial statements attached form part of these financial statements.

Legal Representative: Chief Financial Officer: Chief Accountant:

BENGANG STEEL PLATES CO., LTD.CONSOLIDATED STATEMENT OF FINANCIAL POSITION (Continued)

As at 30 June 2025(Expressed in Renminbi unless otherwise indicated)

The notes to the financial statements attached form part of these financial statements.

Legal Representative： Chief Financial Officer: Chief Accountant:

BENGANG STEEL PLATES CO., LTD.STATEMENT OF FINANCIAL POSITION

As at 30 June 2025(Expressed in Renminbi unless otherwise indicated)

The notes to the financial statements attached form part of these financial statements.Legal Representative: Chief Financial Officer: Chief Accountant:

BENGANG STEEL PLATES CO., LTD.STATEMENT OF FINANCIAL POSITION (Continued)

As at 30 June 2025(Expressed in Renminbi unless otherwise indicated)

The notes to the financial statements attached form part of these financial statements.Legal Representative: Chief Financial Officer: Chief Accountant:

BENGANG STEEL PLATES CO., LTD.CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

For the period Jan.-Jun. 2025(Expressed in Renminbi unless otherwise indicated)

（

）

（

）

（

）

（

）

（

）

（

）

（

）

（

）

（

）

（

）

（

）

（

）

（

）

）

）

The notes to the financial statements attached form part of these financial statements.Legal Representative: Chief Financial Officer: Chief Accountant:

BENGANG STEEL PLATES CO., LTD.STATEMENT OF COMPREHENSIVE INCOME

For the period Jan.-Jun. 2025(Expressed in Renminbi unless otherwise indicated)

（

）

Income from derecognition of financial assets

-332,016.58

（

）

（

）

（

）

（

）

（

）

（

）

（

）

1.Other comprehensive income items that will not be reclassified

2) Other comprehensive income under the equity method cannot

3) Changes in fair value of investments in other equity

2.Other comprehensive income that will be reclassified into profit or

1) Other comprehensive income under the equity method investee

3) Amount of financial assets reclassified into other

）

）

The notes to the financial statements attached form part of these financial statements.Legal Representative: Chief Financial Officer: Chief Accountant:

BENGANG STEEL PLATES CO., LTD.CONSOLIDATED STATEMENT OF CASH FLOWS

For the period Jan.-Jun. 2025(Expressed in Renminbi unless otherwise indicated)

Net cash received from disposal of fixed assets, intangible assets and other long-

87,181,100.00 4,854.37

Cash paid for acquisition of fixed assets, intangible assets and other long-term

976,150,324.56 508,785,779.41

Including: Cash paid to non-controlling shareholders as dividend and profit by

51,908,524.27

The notes to the financial statements attached form part of these financial statements.Legal Representative: Chief Financial Officer: Chief Accountant:

BENGANG STEEL PLATES CO., LTD.STATEMENT OF CASH FLOWSFor the period Jan.-Jun. 2025(Expressed in Renminbi unless otherwise indicated)

Net cash received from disposal of fixed assets, intangible

87,181,100.00

Net cash received from disposal of subsidiary and other

Cash paid for acquisition of fixed assets, intangible assets and

972,611,679.66 508,204,963.64

Net cash paid for acquisition of subsidiary and other

4. Effect of foreign exchange rate changes on cash and

12,043,045.91 22,844,423.74

The notes to the financial statements attached form part of these financial statements.Legal Representative: Chief Financial Officer: Chief Accountant:

BENGANG STEEL PLATES CO., LTD.CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

For the period Jan.-Jun. 2025(Expressed in Renminbi unless otherwise indicated)Items

Non-controllinginterest

Total of owner'sequityShare capital

Capital reserves

Treasuryshares

comprehensiveincome

Special reserves Surplus reserves

riskreserve

Undistributed profit

Subtotal

Preference

shares

bond

Others

4,048.00 -3,257.10 11,835.26 12,626.16 29,400,000.00 29,412,626.16

4,048.00 -3,257.10 11,835.26 12,626.16 12,626.16