Baogang Steel secures new credit, plans asset disposal to optimize finances

Inner Mongolia Baotou Steel Union Co., Ltd. (the "Company") announced resolutions from its Seventh Board of Directors' 36th meeting, held via communication vote on October 23, 2025. All 11 participating directors approved key proposals aimed at financial optimization and asset management.

One significant resolution approved was the application for new bank credit facilities for the year 2025. The Company plans to apply for an open credit line not exceeding 2.76 bn yuan. This credit is earmarked for various purposes, including daily production and operations, working capital turnover, project investments, and debt repayment. The financing options encompass project loans, working capital loans, bank acceptance bills, letters of credit, bond issuance quotas, guarantees, and asset-backed schemes.

Additionally, the board approved the disposal of the Company’s idle oxygen generation and air compressor units. These assets have an original value of 242.8983m yuan and a net value of 8.7219m yuan. The sale price will be determined by the final assessed value, with the assets slated for auction at the Inner Mongolia Property Rights Exchange Center. These strategic moves underscore the Company's efforts to enhance operational efficiency and financial health.