Mongolian Energy (00276) subsidiary signed a construction contract for the construction of a laboratory in the new industrial area of the Hushuotu Coal Mine

According to Zhitong Finance App, Mongolia Energy (00276) announced that on September 10, 2026, MoEnCo, an indirect wholly-owned subsidiary of the company in Mongolia, signed a contract with the contractor “Plumbing Development” LLC to build a laboratory in the new industrial area of the Hushuotu Coal Mine. The cost was 1,501 billion Mongolian tugriks (equivalent to about HK$3.3027 million).

According to the Group's mining plan at the Hushuotu coal mine, MoEnCo needs to shorten the distance between soil discharge and export transportation; therefore, from the perspective of the cost of the entire life cycle of the coal mine, the economic benefits of coal production and operation are maximized.

According to the above mining plan, MoEnco will use the current office and administrative area as a landfill area on or before 2027. As a result, MoEnco needed to relocate its existing offices and ancillary facilities to a new area within the mine, as well as build a new office administration building, an industrial area, and a range of supporting facilities including surrounding road paving and a new customs control yard.

The laboratories and warehouses under the two construction contracts will be built in the new industrial area and in the new office area, as part of the auxiliary facilities relocated to the new area, and will be used for coal quality control and storage purposes to replace existing related facilities to be converted into landfills in 2027 or before 2027.

Whereas the contractors were selected through public tenders; the total costs payable under the two construction contracts were determined after public tenders and after consultation with MoEnco and the contractor; and the relocation of supporting facilities to a new area within the mine was part of the mining plan; the Board considered the construction of the laboratory and warehouse to be the Group's general and routine business. The terms of the two construction contracts are based on normal commercial terms, which are fair and reasonable, and the conclusion of the two construction contracts and the related transactions to be carried out under them conform to the overall interests of the company and its shareholders.