The policy has changed, Ningbo Zhoushan Port and Vale have terminated the project cooperation in the west three districts

On October 9, 2020, Ningbo Port held the 5th meeting of the 5th Board of Directors in the form of written circulation, and reviewed and approved the "Proposal of Ningbo Zhoushan Port Co., Ltd. on the Establishment of a Joint Venture to Invest in the West Three Areas Project" , agreed to set up a new joint venture with Vale International (a wholly-owned subsidiary of Vale) to carry out the West Three District project. The proposed total investment of the West Third District project is RMB 4.3 billion, including the construction of a new storage yard (with a maximum capacity of 4.1 million tons) and two loading berths (which can accommodate a 150,000-ton and a 100,000-ton ship at the same time). Ships or one 50,000-ton and two 20,000-ton ships) and other supporting facilities, so that the annual processing capacity of the port can reach 20 million tons (the final project approval content shall prevail). The registered capital of the joint venture is RMB 1,505 million, of which, Ningbo Port will contribute RMB 752.5 million, which holds 50% of the equity of the joint venture, and Vale International will contribute RMB 752.5 million (equivalent to RMB 752.5 million). U.S. dollar investment), holding a 50% stake in the joint venture.

On January 18, 2021, Ningbo Port received the State Administration for Market Regulation's "Decision on No Prohibition on the Anti-monopoly Review of Concentration of Business Operators" (Anti-Monopoly Review Decision [2021] No. 22), and decided to impose a penalty on Ningbo Port and Vale International Company. The case of establishing a new joint venture shall not be prohibited.

Due to the adjustment and change of relevant national policies, Ningbo Port and Vale have reached an agreement through friendly negotiation that the two parties will terminate the cooperation in carrying out the West Third District project, and terminate the relevant documents and agreements signed earlier. After friendly negotiation with Vale, the termination of the project cooperation in the West Three Regions will not result in any pending claims against the other party. Since the West Three Regions cooperation project has not been formally approved after the fifth meeting of the fifth board of directors. Implementation, the termination of the project cooperation in the West Three Areas will not have a significant impact on Ningbo Port and its subsidiaries, nor will it harm the interests of Ningbo Port and all shareholders. Ningbo Port and Vale will still maintain a good partnership.

According to the port circle (ID: gangkouquan), Vale is one of the world's largest metal and mineral companies by market value, and one of the world's largest iron ore and nickel producers. It has cooperated with Ningbo Zhoushan Port, the world's largest port, for a long time. The two parties have cooperated to carry out the mixed mineral business since 2016. On August 16, 2019, the two parties signed a memorandum of understanding on cooperation; on December 17, 2019, the two parties signed a grinding service agreement to launch new grinding products; August 25, 2020 On July 13, 2022, the Vale Shulang Lake Grinding Center, located at the Shulang Lake Ore Transfer Wharf in Ningbo Zhoushan Port, was put into operation; on July 13, 2022, the Zhongzhai Concentrate Mixing Project, a joint project between the two parties, started construction in the Chuanshan Port Area.