OCT Hydropower

Shenzhen OCT Hydropower Co., Ltd. (hereinafter referred to as the Company) originated from the Hydropower Section of Guangdong Shahe Overseas Chinese Enterprise Company, undertaking hydropower development and construction work. In 1984, Shahe Overseas Chinese Enterprise Company Hydropower Engineering Company was established, affiliated with OCT Group Co., Ltd. In 1985, it was renamed Shenzhen Special Zone OCT Hydropower Company, fully responsible for the power supply, water supply operation and maintenance management, and engineering construction of OCT, and participated in the hydropower planning, design and construction of OCT. In 1989, the Company entered into a joint venture with Hong Kong CTS Economic Development Company to operate Shenzhen Huazhong Power Generation Co., Ltd., introducing 4 fuel oil generator sets from Germany's Deutz AG, contributing to alleviating the power shortage in OCT at that time. In 1997, the Company became a subsidiary of Shenzhen OCT Industrial Development Co., Ltd., a listed company of OCT, under the real estate segment. In 2008, it was restructured from a state-owned enterprise into a limited liability company and renamed Shenzhen OCT Hydropower Co., Ltd. After nearly 40 years of development, it has accumulated rich professional management experience, established and improved various professional management systems and technical regulations, and formed a well-organized, stable and efficient production operation system and professional management brand. The Company proactively participates in projects outside the OCT area, and has successively undertaken hydropower professional consulting, water and power supply operation and maintenance, energy conservation and emission reduction, and electricity sales business for more than 20 projects outside the area. Keeping pace with the development of OCT Group, the Company has proactively integrated into the business model of OCT's main business and achieved good results. Along with the Company's business expansion and development pace, since 2011, based on the brand positioning of "Pioneer of Power Reform, Creator of Quality Life", the Company has successively established regional branches in Chengdu, Wuhan, Ningbo, Yunnan, and Shenzhen in the five major battle zones of East China, South China, West China, Central China, and Yunnan. To adapt to the development trend of national power system reform and market competition, obtain the qualification to directly participate in power market electricity purchase and sale business, reduce electricity purchase costs, and improve economic efficiency, in July 2016, Huazhong Power Plant was renamed and established as Shenzhen OCT Electricity Sales Co., Ltd., operating electricity sales, contract energy management, distribution network investment, construction and operation, clean energy development and utilization, and other businesses. In 2017, the Company followed the Group's urbanization projects for business expansion, responsible for undertaking the energy and hydropower infrastructure construction and operation management of the Group's urbanization projects. In 2019, the Company closely followed the Group's development strategy and, together with project companies affiliated with the Group and South China Group, jointly explored a new model of "battle zone + arm of services" featuring deep integration and coordinated development. It signed the "Framework Agreement on Professional Contracting of Water and Electricity Engineering for Zhaoqing OCT Cultural Tourism Technology Industrial Town Project" with Zhaoqing OCT Town Development Co., Ltd., achieving breakthroughs in the scope of cooperation beyond the previous OCT hydropower business scope, opening up boundaries, and enriching business formats. In Shunde, it established OCT Comprehensive Energy (Guangdong) Co., Ltd., to support the operation and management of distribution network projects, and built a comprehensive energy service platform to provide professional comprehensive energy services such as hydropower consulting, transformer and distribution engineering contracting and construction, electricity sales services, and operation and maintenance management for projects in the Pearl River Delta region of South China Group. It continuously consolidates and integrates professional advantages in the hydropower field, dares to focus on the energy field, boldly carries out pioneering practices, actively builds OCT Group's hydropower professional arm of services, and aims at the comprehensive energy service platform for proactive transformation and development.