Sunpower secures a tender worth RMB76.8 million from repeat customer Chongqing Iron & Steel

Highlights

Proves Sunpower's technological ability to provide diverse services and total solutions in the environmental protection sector

Underscores Sunpower's diversified and reputable customer base,which includes leading companies in the iron and steel making industry

Expected to have a positive impact on FY2020 and FY2021 financial performance

SINGAPORE,Aug. 24,2020 -- Mainboard-listed Sunpower Group Ltd. ("Sunpower" or the "Group") (SGX: 5GD.SI),an environmental protection solutions specialist with a strong focus on expanding into anti-pollution investment projects ("Green Investments"or "GI") which generate long-term intrinsic value in the form of recurring income and cash flows,today announced that it has secured a tender worth RMB76.8 million to supply comprehensive turnkey services to reform and upgrade waste-heat-to-power facilities (the "Project"),from repeat customer Chongqing Iron & Steel Company Limited ("Chongqing Iron & Steel"),a large steel enterprise in China.

Under the tender,Sunpower will provide services including design,procurement,construction,installation,and integration for the Project and utilise its proprietary waste heat recovery technology to efficiently recycle waste heat that will then be used to generate power. This will not only improve operational efficiency and reduce emissions but also maximize the Project's ability to transform wasteinto energy. With delivery of the services for the Project to be completed in 2021,this is expected to have a positive impact on the Group's financial performance for FY2020 and FY2021.

Mr. Guo Hongxin,Executive Chairman of Sunpower,commented:"We are pleased to again partner with Chongqing Iron & Steel,and expand our scope of cooperation in the field of waste heat to power. This is a testament to Sunpower's strong technological capabilities,allowing it to provide diversified services and total solutions to our customers. We believe the cooperation with Chongqing Iron and Steel will build a foundation for deepening business relations with other reputable iron and steel companies."

"We appreciate the professionalism and hard work of the management and sales team. We have established an impressive track record in supplying superior equipment and services with our strong technological and manufacturing expertise to top-tier players across multiple industries,including petrochemical,coal chemical,fine chemical,smelting,iron and steel,etc. This has helped Sunpower to sustain a record high M&S order book of RMB2.8 billion for two consecutive quarters," Mr Guo added.

He continued,"The GI business has bounced back from the temporary headwinds of the pandemicafter China's economy reopened. In 1H 2020,the segment saw improved profitability due to continuous improvement in operational efficiency and further cost control. GI remains our primary value creator and growth driver which delivers high-quality recurring income and cash flows over the long term. With 8 operational GI projects,1 in trial production,3 under construction and a robust pipeline of projects under evaluation,we are on track to build a sizeable GI portfolio in the years ahead with the target to invest RMB2.5 billion in GI project equity by 2021."

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About Sunpower Group Ltd.

Founded in 1997,Sunpower Group Ltd. (SGX: 5GD.SI) is an environmental protection solutions specialist in proprietary energy saving and clean power technologies,with a strong focus on expanding into anti-pollution investment projects ("Green Investments") which generate intrinsic value in the form of long-term,recurring and high-quality cash flows.

With proven capabilities in technology innovation and proprietary clean energy solutions,Sunpower is shaping a green future for itself by continuously developing its business segments of Green Investments (GI) and Manufacturing & Services (M&S). Sunpower has rapidly expanded its GI business in recent years by leveraging on its existing core technologies of high-efficiency heat transfer,long distance heat insulated steam distribution,energy saving and ultra-low emission clean power generation. The GI segment is mainly focused on the investment and operation of centralised steam and electricity supply business,which is expected to bring in additional stream of recurring income to the Company.

In the M&S segment,Sunpower has delivered superior quality products and services to approximately 1,500 customers in over 30 countries across the globe to-date. Its reputable customer base includes Wanhua Chemical,Hengli Petrochemical,China National Offshore Oil Corporation (CNOOC),China National Petroleum Corporation (CNPC),China Petrochemical Corporation (SINOPEC),ExxonMobil,BASF,BP,Shell,etc.

For more information,please refer to: http://en.sunpower.com.cn

August Consulting (Singapore)

Silvia Heng

Jeremy Sing

Email: silviaheng@august.com.sg

Email: jeremysing@august.com.sg

Phone: +65 6733 8873

Phone: +65 6733 8873