China Carbon Neutral Development : VOLUNTARY ANNOUNCEMENT - ACCOUNTS SUCCESSFULLY OPENED BY CHINA CARBON NEUTRAL DEVELOPMENT GROUP LIMITED ON TWO MAJOR INTERNATIONAL VOLUNTARY CARBON EMISSIONS REDUCTION TRADING PLATFORMS

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(Incorporated in Cayman Islands with limited liability)

(Stock Code: 1372)

VOLUNTARY ANNOUNCEMENT

ACCOUNTS SUCCESSFULLY OPENED BY CHINA CARBON NEUTRAL DEVELOPMENT GROUP LIMITED ON TWO MAJOR INTERNATIONAL VOLUNTARY CARBON EMISSIONS REDUCTION TRADING PLATFORMS

This is a voluntary announcement made by China Carbon Neutral Development Group Limited 中 國碳中和發展集團有限公司 (the "Company", together with its subsidiaries, the "Group").

The board of the directors of the Company is pleased to announce that, on 19 April and 26 April, the Group was successfully approved by Gold Standard ("GS") and VERRA, the current two major international independent carbon credit mechanisms, as well as the world's two largest voluntary carbon emissions reduction trading platforms, and successfully opened its GS and VERRA accounts. This also symbolizes that the Group has become the first listed company in Hong Kong approved by these two platforms to open accounts, which also means, through these two platforms, the Company not only can apply for the development of carbon emissions reduction projects and conduct the trading, conversion or cancellation of carbon credits, but also can develop carbon emissions reduction projects and manage carbon credits on behalf of other enterprises and individuals.

Background Information of GS

Gold Standard ("GS") was established by WWF and other international non-governmental organisations in 2003, marking the first independent and most practical baseline approach developed specifically for the greenhouse gas emissions reduction projects of CDM (Clean Development Mechanism) and JI (Joint Implementation). Its purpose is to ensure that the carbon emissions reduction projects have the highest level of environmental completeness and to contribute to sustainable development. GS makes the project's host country and its public believe that: the project can introduce new and additional investments into sustainable energy service sectors. GS Label is available for projects themselves (i.e. projects that have been certified) as well as the credits that arise from projects with GS Label (i.e. projects that have been verified). Such that, a Project Developer is not only able to effect transactions before a project gives rise to actual emissions reduction, but is also able to reliably demonstrate the fulfillment of emissions reduction commitment. With the passing of Paris climate accord and Sustainable Development Goals, GS launched the best practical standards for climate and sustainable development related interventions, namely Gold Standard for the Global Goals, to maximise its influence in creating value for people around the world. So far, GS has certified over 2,000 GS projects in more than 80 countries and regions globally reducing 159 million tonnes of carbon dioxide emissions and creating a shared value of over USD23.5 billion for climate actions and sustainable development.

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Background Information of VERRA

VERRA was jointly led and developed by the Climate Group (CG), International Emissions Trading Association (IETA) and World Economic Forum (WEF) in 2005. Its purpose is to help tackle the world's most intractable environmental and social challenges by developing and managing standards that help the private sector, countries, and civil society achieve sustainable development and climate action goals. VERRA catalyzes measurable climate action and sustainable development outcomes by driving large-scale investment to activities that reduce emissions, improve livelihoods, and protect nature. So far, the Verified Carbon Standard ("VCS") administered by VERRA is the most influential program. It allows certified projects to turn their greenhouse gas (GHG) reduction and removal into tradable carbon credits. Since its launch in 2006, the VCS program has grown into the world's largest voluntary GHG program, with almost 1,600 registered projects in 82 countries and regions across the world, generating more than 450 million carbon credits.

Advantages and Benefits of Having Accounts Opened on the Trading Platforms

The Board is of the view that obtaining accounts on the two major international voluntary carbon emission reduction trading platforms will bring ample business opportunities for the Group's business development in the field of negative carbon emissions.

In addition, certain greenhouse gas emission reduction projects such as forest carbon sinks, new energy, energy saving and emission reduction under the Group will undergo identification, verification, registration, certification, issuance, trading, etc. in accordance with the requirements of GS and VERRA, and consulting services in relation to carbon will be conducted to help China in achieving its goal of peaking carbon emissions by 2030 and becoming carbon neutral by 2060.

By order of the Board

China Carbon Neutral Development Group Limited

Gao Gunter

Chairman

Hong Kong, 29 April 2021

As at the date of this announcement, the executive directors are Dr. Gao Gunter, Mr. Chen Xinwei, Dr. Cui Dingjun, Mr. Di Ling and Mr. Artem Matyushok; and the independent non-executive Directors are Mr. Ip Mei Shun, Mr. Leung Tsz Wing and Mr. Yu Wai Chun.

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