Shaanxi Coal and Chemical Industry Group Co., Ltd., Shaanxi Provincial Coal Geological Bureau, and Australia Shunyuan Company have joined work on a coal resource exploration and development project inQueenslandState, and recently a grand signing ceremony was held inPerth,Australia. Zhao Leji, the Communist Party Secretary ofShaanxiProvinceand leaders from related provincial departments attended the ceremony. Hua Wei, Chairman ofShaanxiCoal and Chemical Industry Group Co., Ltd., Wang Guozhu, General Manager of Shaanxi Provincial Coal Geological Bureau, and Michael Howard, representative of shareholders of Australia Shunyuan Company, all signed a cooperation agreement on behalf of the three parties. This is the first investment project mainly led by Shaanxi Coal and Chemical Industry Group Co., Ltd. inAustralia; the project, mainly exploring 11 potential blocks on three main coal forming basins inQueenslandStateand covering an exploration area of 1,172 square kilometers, is expected to find total coal reserves of 10.4 billion tons. After a year of hard work, the work team has established itself inAustraliaand has been working for more than two months; the project is now fully mature.

After the signing ceremony, the three shareholders held a meeting with the company's management team. After reviewing the work progress of the company, Wang Guozhu, General Manager of the Shaanxi Provincial Coal Geological Bureau, pointed out that the management team of the company (SAMGRIS) must accept a high sense of responsibility and speed up the progress of exploration to try to achieve results as soon as possible. Dr. Huang Wanfu, a shareholder of Shunyuan Company ofAustralia, pointed out that SAMGRIS is an Australian registered company; it should adhere to local strategies to fully integrate into the local business environment, comply with local laws and regulations, and apply local social resources. Hua Wei, Chairman of Shaanxi Coal and Chemical Industry Group Co., Ltd., fully affirming the views of shareholders, also pointed out that after the hard work performed by the preliminary team, the legal framework and management teams have basically been formed. The operation of the project should depend on the original base of the Australian shareholders, but should also rely on the coalfield exploration technology of the Shaanxi Provincial Coal Geological Bureau; all members of the management team should keep learning, have mutual respect, and build a model of cooperation. He emphasized that the role of the management team in the company should be made clear, that all the managers sent by shareholders must be responsible to all shareholders, and that the ultimate goal is to maximize the interests of all shareholders, not just any individual shareholder. He pointed out that all overseas projects must respect the local corporate laws and that employees must respect local laws and culture, especially for joint ventures set up with local enterprises, and that different parties must have mutual respect, mutual understanding, and full communication; the company must be integrated into the local culture to build an authentic company. Finally, Song Shijie, director of theAustraliaproject management team said they will implement the instructions of all shareholders, maximize the interests of all shareholders, integrate into the local culture, and make SAMGRIS an overseas company with sound localization.