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CHEERCHEMICALFIBERPLC

MEMORANDUMOFASSOCIATION

ArticleOne

Establishment

Members,whosesignaturesarefoundattheendofthisdocument,haveagreedtoestablishaPrivateLimitedCompanygovernedbytheCommercialCodeofEthiopia,thisMemorandumofAssociationandArticlesofAssociationattachedherewith.

ArticleTwo

Name,NationalityandAddressofMembers

No.

Name

Nationality

Address

1.

ShengguoLi

Chinese,PassportNo.E49772018

JiangsuProvince,China

2.

LiangZhang

Chinese,PassportNo.E92330005

JiangsuProvince,China

3

JianpingYan

Chinese,PassportNo.E50986098

FujianProvince,China

ArticleThree

NameandHeadOfficeoftheCompany

ThenameoftheCompanyshallbeCheerChemicalFiberPrivateLimitedCompany.

WithoutprejudicetotherightsofMemberstoopenbranchofficeswithinoroutsideEthiopia,theCompany'sheadofficesshallbeOromiaRegionEasternIndustryZone,DukemCity,DukemKotichaKebele,HouseNo.New.

ArticleFour

BusinessPurposeoftheCompany

TheCompanyisestablishedforthepurposesof:

Manufactureofman-madefibers.

ArticleFive

Capital

ThecapitaloftheCompanyisBirr4,700,000(fourmillionandsevenhundredthousandbirr)andithasbeenfullypaidincash.Thewholecapitalisdividedby4,700shareshavingpervalueofBirr1,000eachfullypaidincash.Thenumbersofsharesownedbythemembersareasfollows:

No.

Nameofshareholder

No.ofshares

Valueofasingleshare

TotalContribution

1.

ShengguoLi

1598

1000

1,598,000

2.

LiangZhang

1551

1000

1,551,000

3.

JianpingYan

1551

1000

1,551,000

Total

4700

4,700,000.00

Articlesix

MembersLiability

Membersjointlyandseverallyapprovethatthecapitalstatedabovehasbeenfullypaidincash.Accordingly,theliabilityofmembershavebeenlimiteduptotheamountofsharestheyareentitled.

ArticleSeven

DistributionofProfitsandLosses

Unlessmembersagreeotherwise,theannualprofitofthecompanyshallbedistributedamongmembersproportionaltothenumberoftheirshares.Accordingly,ifthereisaloss,itshallbedistributedamongthemselves.InanycasethememberscouldnotbemadeliablebeyondthevalueofsharestheyownintheCompany.

ArticleEight

ManagementoftheCompany

TheCompanyshallbemanagedbyageneralmanagerappointedfromthemembersornon-membersforFiveyears,whoseresponsibilitiesanddutiesarelistedintheArticlesofAssociationoftheCompany.Therefore,Mr.ShengguoLiisappointedtobethefirstGeneralManageroftheCompany.

TheGeneralManagermaybereappointedforanotherterm.TheCompanymayalsohavedepartmentalmanagersasrequired.

ThepowersanddutiesoftheGeneralManagershallincludethefollowing:

Appoint,controlanddismissdepartmentalmanagers,determineandnotifytheirjobdescriptions;

RepresenttheCompanytosignitsaffairs;

BethechiefexecutiveofthetechnicalandadministrativeaffairsoftheCompany;

ImplementthedecisionsofthegeneralmeetingoftheCompany,ifany;

ReceivemoneypayabletotheCompany,paydebtsoftheCompany,prepare,signattheback,renewandeffectpaymentofpromissorynotesandbankdocumentsaswellasapproveandsignatthebackofshipmentreceipts,bondcertificatesoranyotherdocumentsoftheCompany;

EmployanddismissworkersandagentsoftheCompany,determinetheirsalaries,bonusandotherconditionsattachedtoemploymentandtermination;

OpenbankaccountsandoperateinthenameoftheCompanyandcredititspaymentsaswellassignitsfinancialstatements;

Determinepurchaseandsalesandapprovetheirorders,whicharenecessaryfortherunningoftheCompany;

ConcludeanycontractsofbusinesstransactionsoftheCompanywiththirdparties;

TakenecessaryactionsonbehalfoftheCompanyregardingsuitsinwhichtheCompanyisaplaintiff,adefendantoraninterveningthirdpartyinanycourtoflaw;

TakeorcausetobetakenappropriatemeasuresfortheefficientkeepingofoutflowandinflowofaccountsoftheCompanytobesubmittedandapprovedbyitsmembers;

Maydelegate,thedutiesassignedtohimhereinabove,anyotherpersoninthenameoftheCompany.

ArticleNine

Auditors

TheCompanyshallhaveauditor/auditorsappointedbythemembers.

ArticleTen

DurationoftheCompany

Withoutprejudicetomember'srighttodecideotherwise,theCompanyisestablishedforunlimitedperiodoftime.

INWITNESSTHEREOF,themembersoftheCompanyhaveaffixedtheirrespectivesignaturesheretoontheJune26,2017.

NameoffoundingmembersSignature

Mr.ShengguoLi______________

2.Mr.LiangZhang