Dear colleagues, customers, investors, and friends:

The pain and warmth of 2023 have passed, and today marks the beginning of a brand new year in 2024. Blessings and hopes are like a rolling spring tide, carrying us into another brand new spring. On behalf of the board of directors of CWPC, I would like to extend my highest respect to all colleagues, witnesses, fighters, and contributors to the company during this transition from old to new. At the same time, I would like to extend my heartfelt gratitude and sincerest New Year greetings to the leaders at all levels who have long supported CWPC's business, investors and partners who have worked together in the same boat, customers who have chosen CWPC's products and services to provide us with a job, and to every dedicated employee and family member of CWPC.

Looking back on the 365 days and nights we have gone through, I am deeply moved. Things have their joys and sorrows, those who taste them know, those who walk on them know the dangers of the barbarians. Through the restructuring and returning to our main business in 2023, we have become more resilient and powerful, ushering in the shining 2024 of holding our heads high and returning to our main business.

In 2023, CWPC have made every effort to optimize its capital structure in the complex and ever-changing economic situation, focus on its main business, and achieve excellent results in exploring new energy, solid waste treatment, and new material markets. Significant progress has been made in capital structure adjustment, sales revenue, and traditional business recovery. This year, we have gathered together with the courage to break through the fire, the determination to endure hardships, and the determination to compete on the front line of the market. We strived in the first quarter, attacked in the second quarter, worked hard in the third quarter, and fought to win in the fourth quarter. We bravely advanced on the domestic and international tracks, and the growth trend of our company's new orders and reserve project orders was impressive, with frequent market order reports.

Equipment Manufacturing

Signing Design and Supply Contract for Laos Nanpan Supercritical Clean Energy Project

Signing Contract for Andritz (South Korea) Project

Signing Supply Contract for Taiwan Yong'an Boiler Island Project

Signing EPC Contract for Alkali Recycling and Combustion Section Project of Yueyang Forest and Paper Co., Ltd.

Signing Contract for Shandong Sun Paper's Circulating Fluidized Bed Boiler Project

Signing Contract for Jilin Huadian Fengtai Thermal Power Project

Signing Waste Heat Boiler Equipment Procurement Contract for Waste Incineration Power Generation Project in Changting, Fujian

The successful signing of multiple energy-saving and environmental protection boiler projects highlights the company's advantages in traditional energy-saving and environmental protection technologies, and solidifies its industry position in the energy-saving and environmental protection industry.

EPC

The IT Electronics Eleventh Design & Research Institute Scientific and Technological Engineering Co., Ltd. Eastern China, "Dongming Xiaojing Town 200MWP Functional Ecological Agriculture Photovoltaic Project"Signing EPC contract for Wuhan municipal solid waste classification and resource utilization pretreatment project

Signing EPC Contract for Wuhan Southern Municipal Solid Waste Power Plant Expansion Project

Signing EPC Contract for Dalian Distributed Photovoltaic Power Generation Project

Signing EPC Contract for the Combined Heat and Power Generation Project in the Northern Residential Area of Qitai River

Signing PC Contract for Thermal Power Units Expansion Project (Phase II) of China Electric (Hongze) Thermal Power Co., Ltd

Signing Construction Contract for the Comprehensive Utilization Project of High Carbon and Hard-to-Burn Waste Dust in Xinjiang Tianye Industrial Park

Signing EPC Contract for Fuping Optoelectronic Intelligent Industrial Park Project

Technological Innovation Achievements

This year, we have attached great importance to technological innovation, stimulated the "first driving force", optimized supercritical boilers, developed small capacity ultra-high pressure boilers, photovoltaic wind power EPC complete set technology, integrated photovoltaic storage technology, hydrogen fuel power integrated device and other technologies. We have been authorized 9 patents, 5 inventions, and 4 utility models.

Winning Multiple Honors

This year, we have adhered to our original mission, practiced our service purpose, devoted ourselves to cultivation, pursued glory, and achieved multiple honors.

Evaluation of National Enterprise Technology Centers in 2022

Awarded as one of the "Top 100 Sichuan Enterprises with Technological Innovation and Development Capabilities"

Awarded as one of the "Top 50 Enterprises in Sichuan Machinery Industry in 2022"

Awarded the title of "Advanced Collective for Cultivating High skilled Talents in Sichuan Province"

Awarded the title of "Provincial Employee Home Construction Project"

Awarded as a leading party organization in the field of scientific and technological innovation in Zigong City

CWPC E&C has been awarded the title of "Specialized, Refined, Special, and New" Small and Medium sized Enterprise in Sichuan Province

CWPC E&C has been recognized as a high-tech enterprise in 2023

Adjusting the Structure to Stabilize Growth

In terms of asset structure, the restructuring of the equity project of Zigong Bank has been basically achieved, providing cash support for continuous development of the main business. Marketing revenue is expected to increase by more than 200% year-on-year, achieving good growth.

Advancing despite difficulties shows courage and perseverance, and strengthening one's muscles and bones through many trials and tribulations. The people of CWPC, who have been through the stars and the moon, maintain their love in their hearts, bravely move forward through storms and obstacles, overcome difficulties with an indestructible will, and will continue to write new legends after rebirth in Nirvana. We are grateful to all our brothers, sisters and friends. As long as we sincerely work hard with hope, we will reach a higher level than we imagined.

When the wind is strong, set sail and break through the waves;

The task is heavy and the road is long, and we still need to ride horses and raise our whip.

An old hero crouching on a beam, with a vision of thousands of miles;

The journey is long, and the struggle is naturally broad.

Beliefs are like fire, we always carry our dreams and never forget our original intention. In the new year, we will adhere to the general principle of stability and progress, strengthen strategic execution and achieve new improvements in operational capabilities. In 2024, we will vigorously strive to achieve 100/200 goals by focusing on our main business, strengthening execution, innovation and self motivation. All staff will work together, unite sincerely, and ignite a warm atmosphere of work and entrepreneurship with a fighting heart.

 Focus on Main Business

1.Boiler and equipment manufacturing and its extension EPC are the ballast and stabilizer for the company's development. In 2024, the company will continue to focus on traditional businesses and actively promote the development of traditional advantageous businesses such as fossil fuel power generation, municipal solid waste power generation, biomass power generation, and "three wastes" treatment. Guided by market demand, the company will strengthen the integration of external business resources and channels, expand the service radius of traditional business markets, actively explore overseas business markets, and consolidate the company's competitive advantage in the boiler and equipment manufacturing industry.

2.Expand and consolidate the new energy business, cultivate a second growth curve for the business, increase the proportion of revenue from emerging businesses, and build new growth poles and driving forces for the business. In 2024, the company will vigorously coordinate the promotion of centralized photovoltaic and distributed photovoltaic businesses, accelerate the promotion of onshore wind power business, rely on technological resources such as hydrogen fuel power integrated devices, promote the landing of hydrogen energy base businesses, and actively layout energy storage businesses.

3.Land in the new materials industry park and promote the development of new material related businesses. Fully utilize the company's R&D and resource advantages in tellurium copper alloys, magnesium aluminum alloys, and non-metallic materials, to accelerate the landing of the new materials industry, and cultivate new business growth points.

4.Start from Kuwait's oil and sediment treatment and quickly break through the Middle East market. Take the Tianye carbide slag project as a breakthrough and seize the industrial solid waste market. Use complete sets of refining and chemical waste gas treatment as the starting point and make the layout of refining and chemical industry treatment points along the river and coastal areas. Develop silicon slag treatment technology for the production of solar silicon panels and generate production capacity. Taking the Panzhihua coking project as an opportunity, the metal magnesium production project will be implemented.

 Strengthen Execution

1.Reorganize the marketing team and marketing model. Strengthen the wolf mentality of the marketing team, enhance professional skills, and attract and cultivate high-quality professional marketing talents. Strengthen communication with central state-owned enterprises, design institutes, and relevant government departments, expand project information sources, strive for bidding opportunities, and continuously expand new business orders.

2.Strengthen the rigid management of the plan. The formulation of plans should be scientific, the execution should be resolute, and the assessment should be strict. Daily guarantees weekly, weekly guarantees monthly, monthly guarantees quarterly, and quarterly guarantees annual to ensure the achievement of planned goals.

3.Strengthen team regular training, improve professional abilities in project information acquisition, project analysis, business negotiation, and project implementation for business teams, and provide strong support for achieving the goals.

4.Refactoring a results oriented organizational structure and process system. Build a flat organizational system to promote efficient collaboration and linkage between departments. Simplify the non essential process system and improve the overall operational efficiency of the organization.

5.Strengthen the incentive and constraint mechanism, implement both incentives and constraints, and promote the rigid execution of target tasks. Strictly implement regular assessments of the completion of indicators and tasks for each unit and department, reward those who have completed the indicators, and punish those who have not completed the indicators.

 Innovation and Self Motivation

1.Innovate organizational system. Build a scientific, standardized and systematic organizational system, improve incentive and constraint systems for equal responsibility and rights, innovate talent systems, communication and collaboration systems, and corporate culture systems.

2.Reconstruct the technology research and development innovation system that integrates front-end research and development, intermediate testing, and terminal production among design institute, CWPC Industry and CWPC E&C, etc.

3.Deeply explore the recycling and treatment technologies for gas waste, solid waste, and waste batteries, develop new products, expand the application scenarios of new products, and improve the industry penetration rate of new products.

4.Optimize the company's product system and enrich product types. Strengthen the development of new products, iterate and upgrade existing products, and continuously improve the competitiveness and market share of the company's products.

5.Deepen the industry application of photovoltaic, wind power, micro wind new energy, hydrogen energy storage, and chemical energy storage technologies. Promote the application of photovoltaic technology in transportation, agriculture, and environmental governance. Promote the application of wind power and breeze new energy technologies on land and sea. Promote the application of hydrogen energy storage and chemical energy storage technologies in industries such as heavy-duty trucks, passenger cars, and backup power sources for power systems.

6.Clear rewards and punishments, endogenous motivation. Actively reward those who have achieved their target tasks, and highlight those who have exceeded their target tasks. Punish those who fail to achieve the target task, and severely punish those who seriously lag behind the target task. Strengthen the construction of corporate culture, enhance the centripetal force and cohesion of employees to think and work together.

2024 Planning Goals

Focusing on the Main Business, Strengthening Execution

Innovation and Self Motivation, Achieving 100/200

The remaining cold is coming to an end, and heaven and earth are returning in spring. Only through long-term persistence and unremitting efforts can we continuously explore new situations and showcase new trends. After 40 years of trials and tribulations, as the new year of Jiachen approaches, let us continue to speak with deep affection, live up to our encounters, be grateful, join hands in the new year, strive hard and create new achievements.