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On the morning of January 18, Shenwu Environmental Protection (300156) issued a announcement stating that the company and POH GOLDEN GER RESOURCES PTE LTD (Chinese name: “Fu Meng Resources Co., Ltd.”) recently signed a Memorandum of Understanding (hereinafter referred to as the “Memorandum” or “Agreement”) regarding cooperation in the coal chemical industry in Mongolia with Fu Meng Resources Co., Ltd. Both parties intend to seek a strategic partnership for coal-to-gas projects in Mongolia, with the ultimate goal of achieving an annual production volume of 3 billion cubic meters. In the first phase, 100 million cubic meters per year will be supplied to the Mongolian market. The company possesses technical advantages and the capability to implement such coal-to-gas plant projects; it is interested in investing in this project and becoming its EP+S contractor. The goal is to achieve gas supply by 2020 in the first phase, which includes natural gas liquefaction, the transport of liquefied natural gas, and gas regasification stations. Both sides will seek funding support/financing options under the Belt and Road Initiative, as well as Chinese foreign aid funds for Mongolia. According to the announcement, the two parties will jointly establish an SPV company, with the company holding 19% of the shares and Fu Meng Resources Limited holding 81%. In the future, during the project implementation phase, Party A will act as EP+S (design, procurement, and supervision of construction and installation). The company explained that Fumeng Resources Limited is a company established in Singapore, whose parent company is Tianbao Resources Company, which is listed on the Australian Stock Exchange under the code ASX:TPO. Tianbao Resources Company holds 100% of the shares in Fumeng Resources Limited. The Mongolian subsidiary owns two coal mines with exploration reserves of 478 million tons (in accordance with the JORC International Standards for Resource Evaluation) and 61 million tons respectively, as well as one copper mine and one gold mine. The company stated that, in order to implement the **Belt and Road Initiative** and expand its overseas business activities, it intends to enter into a strategic partnership with Fu Meng Resources Co., Ltd., which possesses significant resource advantages, regarding the coal-to-gas project in Mongolia. By leveraging Shenwu Environmental Protection’s technical expertise, the two parties will work together to develop this large-scale project, with Shenwu Environmental Protection acting as the EP+S contractor for it. The successful progress and implementation of this project will help enhance the overseas influence and market share of the company’s core technologies, as well as foster new sources of profit growth for the company. It is expected to have a positive impact on the company’s future order acquisition and operational performance.