On December 23, Gelonghui reported that China Merchants Port Group (001872.SZ) announced plans to enhance the storage and transportation capabilities for Chemicals at Zhanjiang Port to meet the local demand for Chemical storage and transportation, thereby constructing a multimodal transport hub for Chemicals in the southwestern region of Zhanjiang City. The company's subsidiary, Zhanjiang Port (Group) Co., Ltd. (hereinafter referred to as 'Zhanjiang Port Group'), intends to jointly establish 'Zhanjiang Sinotrans Chemical International Logistics Co., Ltd.' (tentative name, subject to the final registration name by market supervision and administration authorities, referred to as 'Zhanjiang Sinotrans' or 'Joint Venture') with its related parties, Sinotrans Chemical International Logistics Co., Ltd. (hereinafter referred to as 'Sinotrans Chemical') and Sinotrans South China Co., Ltd. (hereinafter referred to as 'Sinotrans South China'), together investing in the construction of the China Merchants Zhanjiang Chemicals Logistics Hub project. The registered location of the joint venture is in Xiar District, Zhanjiang City, Guangdong Province, with a registered capital of 207.2 million yuan. Among this, Sinotrans Chemical will contribute 104.2447 million yuan in MMF, with 103.6 million yuan accounted for as registered capital, holding 50% of the shares, while the remaining 0.6447 million yuan will be included in the capital reserve; Zhanjiang Port Group will contribute 52.1224 million yuan evaluated based on the land-use rights of 95,950.74 square meters (the corresponding land-use right property certificate number is Yue (2021) Zhanjiang City Real Estate Rights No. 0001629), with 51.8 million yuan accounted for as registered capital holding 25%, and the remaining 0.3224 million yuan will be included in the capital reserve; Sinotrans South China will contribute 52.1224 million yuan in MMF, with 51.8 million yuan counted towards registered capital holding 25%, and the remaining 0.3224 million yuan will be included in the capital reserve. The joint venture will be consolidated by Sinotrans Chemical.

After the establishment of Zhanjiang Sinotrans, Zhanjiang Port Group plans to transfer 79,869.16 square meters of state-owned land-use rights located on the south side of Jinxiu Avenue, west side of Baojiang Road, and north of Haigang Road in the Linang Industrial Park of Zhanjiang City (the corresponding land-use right property certificate number is Yue (2021) Zhanjiang City Real Estate Rights No. 0001628, referred to as 'symbol assets') to Zhanjiang Sinotrans through an agreement. Zhanjiang Sinotrans will use this land and the land contributed by Zhanjiang Port Group (the two plots are adjacent) to construct the China Merchants Zhanjiang Chemicals Logistics Hub project. An assessment was conducted by Beijing Zhongtonghua Asset Appraisal Co., Ltd., which has qualifications for securities and futures-related business, with June 30, 2024, as the base date, to evaluate the symbol assets and issued the 'Asset Appraisal Report for the Market Value of Land Use Rights to be Transferred by Zhanjiang Port (Group) Co., Ltd. located at 79,869.16 square meters on the south side of Jinxiu Avenue, west side of Baojiang Road, and north of Haigang Road in Zhanjiang City' (Zhongtonghua appraisal No. (2024) 011145). The assessed value of the symbol assets is 43.9727 million yuan (including tax), and based on the evaluation results, the selling price of the symbol assets is 43.9727 million yuan.