We are headquartered in Gaithersburg, MD. After a series of acquisitions and
dispositions during the past two years, our primary business, which is carried
out by Shandong Yunchu, Jingshan Sanhe, Jilin Chuangyuan, Anhui Ansheng, Fast
Approach Inc and Xianning Bozhuang, is:

? To sell black tea product cultivation, packaging, and sales;

? To sell high-grade synthetic fuel products

? To sell various food products, including chestnut, frozen fruits and

vegetables, frozen French fries, and beef and mutton products.

? To sell formaldehyde, urea-formaldehyde glue, methylal, and clean fuel oil

? To sell the barrier and explosion-proof skid-mounted refueling devices, SF

double-layer buried oil storage tank

? Multimedia design and online advertising services;






Going Concern




The accompanying unaudited condensed consolidated financial statements have been
prepared assuming that the Company will continue as a going concern; however,
the Company has incurred a net loss of $1,261,439 for the three months ended
March 31, 2022. As of March 31, 2022, the Company had an accumulated deficit of
$95,302,160, a working capital deficit of $7,923,180; its net cash used in
operating activities for the three months ended March 31, 2022 was $5,325,707.

The Company plans to continue its expansion and investments, which will require continued improvements in revenue, net income, and cash flows.





Results of Operations

The following discussion should be read in conjunction with the company's audited consolidated financial statement for the three months ended March 31, 2022, and 2021 and related notes to that.





                                              Three months ended         Increase /      Increase /
                                                  March 31,               Decrease        Decrease
(In Thousands of USD)                         2022          2021            ($)              (%)
Net revenues                                   11,979         2,236            9,743             436
Cost of revenues                               10,816         2,030            8,786             433
Gross profit                                    1,163           206              957             465
Operating expenses:

Selling and marketing expenses                    451           225              226             101
General and administrative expenses             1,803         1,562              241              15
Research & Developing expenses                      9             -        

       9             N/A
Operating income (loss)                        (1,100 )      (1,581 )            481             (30 )
Interest income (expense)                        (157 )         110             (267 )          (243 )
Other income (expense)                             85           (20 )            105            (526 )
(Loss) income before tax                       (1,172 )      (1,491 )            319             (21 )
Income tax expense/(income)                       (89 )           -              (89 )           N/A
Net (loss) income                              (1,261 )      (1,491 )            230             (15 )




Net Revenues. Our net revenues for the three months ended March 31, 2022
amounted to $11.98 million, which represents an increase of approximately $9.74
million, or 436%, from $2.24 million for the three months ended March 31, 2021.
This increase was attributable to the acquisition of certain subsidiaries and
VIEs.



                                       3





Cost of Revenues. During the three months ended March 31, 2022, we experienced
an increase in cost of revenue of $8.79 million or 433%, in comparison to the
three months ended March 31, 2021, from approximately $2.03 million to $10.82
million. This increase was mainly due to the acquisition of certain subsidiaries
and VIEs.




Gross Profit. Our gross profit increased by $0.95 million, or 465% to $1.16
million for the three months ended March 31, 2022 from $0.21 million for the
three months ended March 31, 2021. This increase was mainly due to the
aforementioned reasons, attributable to the acquisition of certain subsidiaries
and VIEs.



Operating Expenses



Selling and Marketing Expenses. Our selling and marketing expenses increased by
$0.23 million, or 101%, to $0.45 million for the three months ended March 31,
2022 from $0.23 million for the three months ended March 31, 2021 This increase
was mainly due to our effort to expand our business.



General and Administrative Expenses. We experienced an increase in general and
administrative expense of $0.24 million from $1.56 million to approximately
$1.80 million for the three months ended March 31, 2022, compared to the three
months ended March 31, 2021. This cost increase was mainly due to the rise

in
third party service fees.



Net Loss



Our net loss decreased by $0.23 million, or 15%, to a net loss of $1.26 million
for the three months ended March 31, 2022 from $1.49 million in net loss for the
three months ended March 31, 2021. This decrease was mainly due to our effort to
expand our business.

Liquidity and Capital Resources





In assessing our liquidity, we monitor and analyze our cash-on-hand and
operating and capital expenditure commitments. Our liquidity needs meet our
working capital requirements, operating expenses, and capital expenditure
obligations. In the reporting period in the fiscal period ended March 31, 2022,
our primary sources of financing have been cash generated from operations and
private placements.



As of March 31, 2022, we had cash and cash equivalents (including restricted
cash) of $1.31 million compared to $1.13 million as of December 31, 2021. The
debt to assets ratio was 41.10% and 40.41% as of March 31, 2022 and December 31,
2021, respectively. We expect to continue to finance our operations and working
capital needs in 2022 from cash generated from operations and, if needed,
private financings. Suppose available liquidity is insufficient to meet our
operating and loan obligations as they come due. In that case, our plans include
pursuing alternative financing arrangements or reducing expenditures as
necessary to meet our cash requirements. However, there is no assurance that we
will raise additional capital or reduce discretionary spending to provide
liquidity if needed. We cannot be sure of the availability or terms of any
alternative financing arrangements.

The following table provides detailed information about our net cash flow for all financial statement periods presented in this report.

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