Core Viewpoint - The company intends to permanently supplement its working capital with surplus funds raised from its 2014 non-public offering, following the completion of its investment projects, to enhance the efficiency of fund utilization [1][6]. Fundraising Overview - The total amount raised in the 2014 non-public offering was RMB 480 million, with a net amount of RMB 465.85 million after deducting issuance costs [1][2]. - The funds were fully injected into the company's wholly-owned subsidiary, Shanxi Natural Gas Co., Ltd., for project implementation [2]. Investment Project Details - The funds were allocated to several gas pipeline projects, including: - Huairen-Yuanping Gas Pipeline Project: Total investment of RMB 559.71 million, with RMB 190.70 million from raised funds - Dingxiang-Wutai Gas Pipeline Project: Total investment of RMB 207.40 million, with RMB 132.49 million from raised funds - Total investment across all projects amounted to RMB 1.426 billion, with RMB 551.01 million from raised funds [3][4]. Surplus Fund Situation - As of August 16, 2016, the company had a surplus of RMB 175.52 million from the raised funds after completing all investment projects and accounting for interest income [4][5]. - The surplus was primarily due to the use of self-owned funds for non-engineering contract expenses and effective cost control measures [5]. Usage Plan for Surplus Funds - The company plans to use the surplus funds of RMB 42.58 million and accrued interest for permanent working capital to support daily operations [5]. - The company will pay any outstanding project payments using its own funds once conditions are met [5]. Impact on the Company - The decision to use surplus funds for working capital is expected to improve fund utilization efficiency and will not adversely affect the company's operations or shareholder interests [5][6]. Review Procedures and Opinions - The board of directors and the supervisory board have approved the proposal to use surplus funds for working capital, confirming compliance with relevant regulations [6][7].