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Announcement Pursuant to Rule 703 of The Listing Manual

Update on civil complaint by the Company’s subsidiary, Wuhan Kaidi Water Services Co., Ltd., in respect of claims for overdue payments for equipment supply services provided to China Construction Third Engineering Bureau Group Co., Ltd (中建三局集团有限公司) under the Yinchuan Binhe New Area Sewage Treatment Plant Phase I Project (银川滨河新区污水处理厂一期工程项目污水处理设备采购买卖合同)