The board of directors of South Sea Petroleum Holdings Limited announced that on January 23, 2018, Cityhill Limited signed an agreement to establish a joint venture with Scientific Energy, Inc. Cityhill Limited and Scientific Energy, Inc. owns 50% equity interest in the joint venture respectively. The Venture Joint, with the support of blockchain technology, is to provide global trading service of real gold for customers, including purchasing, depositing, circulating and selling real gold for cash. The Contracted Parties contribute their respective experiences in blockchain technology and marketing. Scientific will assist the Joint Venture in exploring the North America and Europe markets, while Cityhill will focus on the Asian markets. Operation details of the Joint Venture will be further negotiated between the Contracted Parties. The Directors consider the terms of the agreement are fair and reasonable and in the interest of the company and its Shareholders as a whole.