Core Viewpoint - Zhejiang Huhangyong (00576) has entered into a supplementary farmland index adjustment agreement with Shenhai Company to ensure the necessary farmland indicators for the Ningbo-Taizhou-Wenzhou Expressway expansion project are met [1][2] Group 1 - The agreement involves Shenhai Company transferring surplus farmland indicators from the Ningbo-Taizhou-Wenzhou Expressway expansion project to Zhajiangsu Company, which will pay a fee for this adjustment [1] - The adjustment is necessary due to the project's requirement to occupy farmland, and Zhajiangsu Company must purchase supplementary farmland indicators to comply with the balance mechanism established by the State Council and the Ministry of Natural Resources [1] - Due to tight supply of provincial and local indicators, Zhajiangsu Company was unable to obtain all required indicators from the Zhejiang Provincial Department of Natural Resources or Jiaxing City Natural Resources and Planning Bureau [1] Group 2 - The price for the surplus farmland indicators will be based on the original purchase price and is consistent with the unit price of similar projects in Zhejiang Province over the past three years [2] - The total price for purchasing the supplementary farmland indicators from Shenhai Company is more favorable than purchasing from the Jiaxing Municipal Government [2]

Core Viewpoint - Zhejiang Huhangyou (00576) has entered into a supplementary land compensation agreement with Shenhai Company to transfer surplus land compensation indicators for the Ningbo-Taizhou-Wenzhou Expressway expansion project, ensuring compliance with land use regulations and project requirements [1][2]. Group 1: Agreement Details - The agreement stipulates that Shenhai Company will transfer surplus land compensation indicators to Zhajiangsu Company at the original purchase price, which aligns with the unit price of similar projects in Zhejiang Province over the past three years [2]. - The total price for purchasing the land compensation indicators from Shenhai Company is more favorable compared to acquiring them from the Jiaxing Municipal Government [2]. Group 2: Regulatory Context - The agreement is in accordance with the new mechanism established by the State Council and the Ministry of Natural Resources, which focuses on balancing land use based on quantity and production capacity [1]. - Due to the tight supply of provincial and local indicators, Zhajiangsu Company faced challenges in obtaining all necessary indicators from the Zhejiang Provincial Natural Resources Department or the Jiaxing Municipal Natural Resources and Planning Bureau [1].