Binhai Investment : 2021 FIRST QUARTER OPERATING HIGHLIGHTS

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(Incorporated in Bermuda with limited liability)

(Stock Code: 2886)

2021 FIRST QUARTER OPERATING HIGHLIGHTS

The board of directors (the "Board") of Binhai Investment Company Limited (the "Company", together with its subsidiaries, the "Group") is pleased to announce the business operating highlights of the Group for the first quarter ended 31 March 2021.

SUMMARY OF OPERATIONS

As 2021 began with the launch of the COVID-19 vaccine on a large-scale basis, China's macro economy continued to recover steadily. Meanwhile, it was still the collective heating season from January to March 2021 in northern China, and the urban gas consumption was large and the overall demand for natural gas was strong. According to the information of the National Development and Reform Commission of the PRC, the apparent consumption of natural gas in the PRC was 62.6 billion cubic metres at the beginning of 2021 (from January to February), representing a year-on- year increase of approximately 18.3%.

During the first quarter of 2021, the Group recorded sales volume of piped natural gas of 698 million cubic metres, representing a year-on-year increase of approximately 38.50%. Among such sales volume, the sales volume of pipeline gas accounted for 400 million cubic metres, representing

1. year-on-yearincrease of approximately 13.85%; 298 million cubic metres of natural gas pipeline delivery was achieved, representing a year-on-year increase of approximately 95.38%. Of such sales volume, the sales volume of gas to industrial and commercial users was 565 million cubic metres, representing a year-on-year increase of approximately 47.38%, while the sales volume of household gas was 133 million cubic metres, representing a year-on-year increase of approximately 10.31%.

The Group continues to vigorously develop installation work for industrial and commercial users and residential users. During the first quarter of 2021, the number of new industrial and commercial users was 263, representing a year-on-year increase of approximately 128.70%; while the number of new residential users was 47,600, representing a year-on-year increase of approximately 27.28%.

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BUSINESS DEVELOPMENT

The Group continues to leverage on the resource synergy advantages brought by the strategic resource-based shareholder to promote the overall arrangement of the connections of first-hand gas sources by its subsidiaries. As of the end of the first quarter of 2021, three more subsidiaries of the Group, namely Anxin TEDA Gas Company Limited, Zibo Jin Bin Gas Company Limited and Nanjing Binhai Gas Company Limited, had connected and supplied first-hand gas sources. The Group will further leverage on the price bargaining advantage of the connection of first-hand gas sources, reduce gas procurement costs, diversify marketing strategies and expand its customer network, to promote the sustainable and rapid development of the Group.

Tianjin TEDA Binhai Clean Energy Group Company Limited, a subsidiary of the Group, will continuously undertake industrial coal-to-gas projects in the region according to the unified deployment of the Tianjin Municipal People's Government. It is expected that all such projects will gradually implement the gas supply during this year and 2022, which will make considerable contribution to the Group's principal businesses.

The above-mentioned operational information is unaudited and is based on the preliminary internal information of the Group, which may differ from figures to be disclosed in the audited or unaudited consolidated financial statements of the Company to be published on an annual or half-yearly basis due to various uncertainties during the process of collecting such operational information. As such, the above information is provided for investors' reference only.

Investors are advised to exercise caution and not to place undue reliance on such information when dealing in the securities of the Company. In case of any doubt, investors should seek professional advice from professionals or financial advisers.

By order of the Board

BINHAI INVESTMENT COMPANY LIMITED

Gao Liang

Executive Director

Hong Kong, 13 April 2021

As at the date of this announcement, the Board comprises three executive Directors, namely, Mr. WANG Zhiyong, Mr. ZUO Zhi Min and Mr. GAO Liang, three non-executive Directors, namely, Mr. WANG Gang, Mr. SHEN Hong Liang and Mr. YU Ke Xiang and three independent non-executive Directors, namely, Mr. IP Shing Hing, J.P., Mr. LAU Siu Ki, Kevin and Professor Japhet Sebastian LAW.

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