Group 1 - The company, Sichuan Chengyu Expressway, has announced the establishment of a joint venture, Chengya Expressway Company, with China Huaxi, Jiaojian Group, Luqiao Group, and Gaolu Information to manage the Chengya Expressway expansion project [1] - The existing toll rights for Chengya Expressway will expire on December 31, 2029, and the expansion will allow for a reassessment of toll duration and pricing, ensuring stable cash flow, profit, and asset growth for the company [2] - The joint venture partners possess the necessary technical expertise and experience for highway expansion, which will help ensure project quality and safety while reducing management and operational costs [2] Group 2 - The company has signed engineering contracts with the joint venture partners, with the terms being standard commercial terms in the normal course of business, deemed fair and reasonable for the company and its shareholders [2]

Group 1 - The company, Sichuan Chengyu Expressway, announced the establishment of a joint venture, Chengya Expressway Company, with China Huaxi, Jiaojian Group, Luqiao Group, and Gaolu Information to manage the Chengya Expressway expansion project [1] - The existing toll rights of Chengya Expressway will expire on December 31, 2029, and the expansion will allow for the re-evaluation of toll duration and pricing, ensuring stable cash flow, profit, and asset growth for the company [2] - The joint venture partners possess the necessary technical expertise and experience for highway expansion, which will enhance project quality and safety while reducing management and operational costs [2] Group 2 - The company signed engineering contracts with China Huaxi on October 17, 2025, and with Jiaojian Group, Luqiao Group, and Gaolu Information on November 10, 2025, for the construction of the expansion project [1] - The terms of the four engineering contracts are similar, except for the contractor identity, project scope, content, and contract price [1] - The board believes that the contracts are conducted on normal commercial terms and are fair and reasonable, aligning with the overall interests of the company and its shareholders [2]

Core Viewpoint - Sichuan Chengyu Expressway (00107.HK) announced its successful bid for the Chengya Expressway expansion project, forming a joint venture with China Huaxi, Jiaojian Group, Luqiao Group, and Gaolu Information to manage the project [1] Group 1: Project Overview - The Chengya Expressway expansion project includes the expansion of the original Chengya Expressway and the construction of the new Lushan branch line [2] - The total length of the expansion project is 159.115 kilometers, with the original road expansion covering 134.748 kilometers and the Lushan branch line measuring 24.367 kilometers [2] Group 2: Strategic Importance - Chengya Expressway is a crucial part of China's national expressway network G5 and serves as a major transportation artery in the western development strategy, holding significant importance in both national and regional road networks [1] - The expressway, fully owned by the company's subsidiary, is the highest toll revenue-generating highway among the company's expressways, with a total length of 144.2 kilometers [1]

Core Points - The Chengya Expressway expansion project has officially entered the construction phase, marking a significant infrastructure development in Sichuan Province as part of the national "14th Five-Year Plan" [2] - The project involves a total estimated investment of nearly 30 billion yuan, with a planned completion date in 2029 [2] - The expansion will increase the expressway's capacity by approximately 50% by widening the lanes from a dual six-lane and four-lane configuration to a dual eight-lane configuration [3] Group 1: Project Overview - The Chengya Expressway, originally opened in 2000, will be expanded to approximately 159 kilometers, including a new Lu Mountain branch line of 24.367 kilometers [2] - The main line will undergo significant upgrades, including the reconstruction of 20 interchanges and the addition of 4 new interchanges [2] - The new Lu Mountain branch will reduce travel time between Lu County and Mingshan District from 1 hour to 20 minutes, addressing the lack of direct expressway connections [2] Group 2: Technological and Operational Enhancements - The expansion will incorporate smart highway features, enhancing operational management through digital and intelligent systems, including dynamic lane control and emergency response measures [3] - The project aims to create a safer, more convenient, and comfortable expressway experience for travelers, integrating tourism and transportation [3] Group 3: Construction Strategy - The construction will focus on minimizing traffic disruption by implementing design and traffic organization strategies, such as single-side widening and phased construction [4] - The project will ensure that the existing road base remains stable while integrating new construction, addressing potential settlement issues through advanced engineering techniques [4] - All construction units have commenced work on various segments of the project, with simultaneous development of supporting infrastructure to ensure effective logistics and support [5]