ZHONGHUA GAS has signed a project technical consulting agreement with Shandong Longzhong

According to the announcement from ZHONGHUA GAS (08246), on October 22, 2025, the company entered into a project technical consulting agreement with Shandong Longzhong Information Technology Co., Ltd. (Shandong Longzhong). The company agrees to appoint Shandong Longzhong to conduct a feasibility study for the development project of fuel oil and natural gas supply network in Laos and to carry out market research. The main terms of the project technical consulting agreement are as follows: (i) Shandong Longzhong shall assist the company in the review, revision, and negotiation of the feasibility study, as well as in negotiations and reviews with the Ministry of Industry and Commerce of Laos regarding the franchise agreement (including providing technical documents and materials). (ii) The feasibility study report prepared by Shandong Longzhong must meet the requirements set by the Laotian government authorities. Shandong Longzhong shall assist the company in ensuring that the feasibility study report is reviewed and approved by the relevant Laotian government authorities in a timely manner. (iii) All work and services provided by Shandong Longzhong under the project technical consulting agreement must take into account the environment and conditions of the project location and make adjustments accordingly. It is expected that Shandong Longzhong will submit the feasibility study report to the company within two months after the signing of the project technical consulting agreement. The group has been actively expanding its business scope and geographical coverage to achieve diversification and global expansion. The board of directors believes that the strategic cooperation with the Ministry of Industry and Commerce of Laos will enable the group to enter the finished oil (gas) business in Laos, diversify its existing business portfolio, and expand its revenue base. According to the memorandum of understanding, the company is required to conduct a feasibility study. Given Shandong Longzhong's background and expertise in the petrochemical industry, the board of directors believes that entering into the project technical consulting agreement will allow the group to conduct a comprehensive feasibility study on the potential development project of the fuel oil and natural gas supply network in Laos, leveraging Shandong Longzhong's expertise in the global energy and petrochemical market