On January 18th, Chifeng Gold held the 13th meeting of the eighth Board of Directors, and approved that Mr. Fu Xuesheng resigned from positions of director, co-chairman; approved that Mr. Zhao Qiang resigned from the positions of director, Executive President, CFO. This is another major strategic adjustment at the senior management level of Chifeng Gold following the appointment of Ms. Lydia Yang as CEO and Mr. Paul Harris as COO by the Board of Directors on December 30, 2022.

In the third quarter of 2022, the company experienced significant fluctuations in production and operation, with losses in a single quarter. The Board of Directors and management were deeply shaken, and also suffered from questions and great pressure from the capital market and investors. We are fully aware that development can only be supported by greater internal pressure, and sustainable development can only be achieved by being responsible to the country, society and investors.

Board Chairman Wang Jianhua defines the development theme words for Chifeng Gold in 2023 as "breaking, reconstructing, enterprising". He requires that management personnel should not be limited by perception, should not be trapped by habit, but only strive for entrepreneurial ideals; start from the enterprise survival and development, personal growth and benefiting more people, complete the overall adjustment of organizational structure, establish a management system that meets the needs of current development; Chifeng Gold staff should always adhere to the mentality and actions of entrepreneurs, seize development opportunities, complete the operating targets in terms of increasing production, reducing cost and sufficient cash flow, and make significant progress in GDR listing, resource mergers and acquisitions, and rare earth resource development.

Focusing on the development theme defined by Board Chairman Wang Jianhua, Chifeng Gold has completed the organizational restructuring on the basis of highly consistent ideas. All the senior executives and key personnel focus on the long-term strategic layout, follow the development pace of the company, take the initiative to step out of their personal comfort zone and strive to become entrepreneurs. Co-chairman Mr. Lyu Xiaozhao will supervise domestic and overseas mine resources exploration and mine engineering construction; President Ms. Lydia Yang will lead the reform and organizational adjustment required in the process of internationalization, communicate and coordinate to improve the efficiency of the overall management of the company; COO Mr. Paul will develop and implement international operation management system to improve the operation performance of domestic and overseas mines; after resigning from original positions, Mr. Fu Xuesheng and Mr. Zhao Qiang will concentrate on the rare earth business of the company and create the strategic development field of the company, and Mr. Zhao Qiang will also assist the financial management of the company; director, Vice President Mr. Gao Bo will be the Board Chairman the holding subsidiary LXML, together with Vice President Mr. Zhou Xinbing, LXML General Manager Mr. Karl, reduce the cost and improve the operating efficiency of Sepon Mine; director, Vice President Mr. Chen Zhiyong, Vice President Mr. Chen Tiexhe and GSS Wassa Deputy General Manager Mr.Shadrack Sowah will continue to advance the "SHUANGWAN PLAN" of Wassa Mine and strengthen the position of the company in West Africa, an important gold-producing region in the world.

In addition to the restructuring and adjustment of senior management positions, since the end of 2022, the company has completed the competition for general managers of domestic mining subsidiaries, challenging new indicators and pressure; completed the adjustment of functional departments and offices of the headquarters to provide better support and services for production and operation; promoted information construction to establish more efficient communication and management systems; at the same time, the construction of ESG system is also carried out to meet the requirements of international development.

Chifeng Gold has rallied and set out to start a new business. It will prove with actions and growth that it has sufficient confidence and ability to achieve new production and operation objectives and achieve new development situation, so that more people in greater regions can benefit from the development of Chifeng Gold to a greater extent.