CHINA POWER (02380) has announced that on August 14, 2026, its non-wholly-owned subsidiary, Xinyuan Zhichu, entered into a BESS (Battery Energy Storage System) procurement contract with Xinjiang Shengyuan.

Under the agreement, Xinyuan Zhichu will supply a fully integrated battery energy storage system for the Hami North project, including all necessary equipment, materials, and related services. The total consideration is RMB 115 million (approximately HKD 132 million).

Xinyuan Zhichu has agreed to provide all BESS-related equipment and materials, which include lithium iron phosphate battery cells, battery cabinets, battery management systems, power conversion and step-up transformer integration stations, energy management systems, inter-cabin cables, and auxiliary equipment. The scope also covers installation, commissioning, performance evaluation, trial operation, and follow-up services throughout the warranty period, which spans five years from the date of initial performance acceptance. During the warranty period, the seller is obligated to rectify any defects or damage that may arise.

On the same day the BESS procurement contract was signed, Xinyuan Zhichu also entered into a battery cell procurement contract with Guoning Technology, a designated cell supplier under the tender requirements, for a total consideration of RMB 74.2918 million.

Supplying the BESS for the Hami North project will enable Xinyuan Zhichu to gain market share and build expertise in the energy storage sector. This move supports the group's strategy to develop a comprehensive new energy supply chain and aligns with its transformation goals of becoming a green and low-carbon energy and service provider.