CF Energy Corp. announced that, following a successful bidding process, the Group has signed a three-party exclusive battery swap type electric vehicles (“EVs”) purchase and EV battery swap service cooperating agreement (the “Agreement”) with Sanya Feima Vehicle Operating Management Ltd. Co. (“Feima”) and Hainan Huacheng Minghong New Energy Vehicle Sale and Service Ltd. Co.

(“Huacheng”) in Sanya City. Under the Agreement, Feima is to purchase 232 of the BAIC EU5 battery swap type EVs excluding batteries from Huacheng to be used as taxis in Sanya City and these taxis will exclusively use the batteries procured by the Group and its EV battery swap station network in Sanya City for swapping of their batteries with a limited number of times of fast charging per month allowed. The entering into of the Agreement signifies a long-awaited major break-through and a key milestone in the EV battery swap market in Sanya City for the Group following a long cultivating period since first EV battery swap station in Sanya City became operational in July 2020.

This initiative fits squarely into the recently issued EV implementation plan of Hainan Province - "Hainan Carbon Peak Implementation Plan".