The Huludao Municipal Sludge Centralized Disposal Project is our company's first municipal sludge disposal project, located in the Dayushan Industrial Park in Huludao City, Liaoning Province. It covers an area of 80 acres and is implemented by an industrialized company jointly established by the company and social capital. The project officially started construction in August 2017 and was put into operation in July 2018. The maximum processing capacity of the project can reach 160 tons/d. Currently, the project is undergoing Phase II expansion to receive municipal sludge from surrounding cities and sludge from grain processing enterprises. After Phase II is completed, the daily processing capacity of sludge will reach 450 tons.