ST Bailey: Company terminates major contract.

ST Baili announced that on January 9, 2024, the company signed an "EPC Contract for the Design, Procurement, and Construction of the Annual Production of 100,000 Tons of Lithium Iron Manganese Phosphate Cathode Materials Project" with Shanxi Tewashi Energy Technology Co., Ltd. Due to significant changes in the project's objective circumstances, it is no longer feasible to continue the original contract. After thorough communication, both parties agreed to terminate the original contract, and on July 21, 2026, they signed a "Contract Termination Agreement." As the original contract stipulated that the project had not substantially commenced, and no payments had been made or received, there are no receivables or payables between the two parties. The termination of this contract will not have a significant adverse impact on the company's anticipated future earnings and financial position.