Announcement for Change in Size of Proposed Issuance of Bonus Shares

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

This announcement appears for information purposes only and does not constitute an invitation or offer to acquire, purchaser or subscribe for any securities of the Company.

TK NEW ENERGY

(incorporated in the Cayman Islands with limited liability)

(Stock Code: 8326)

Reference is made to (i) the first quarterly results announcement of Tonking New Energy Group Holdings Limited (the "Company") for the three months ended 30 June 2017 and dated 11 August 2017 (the "Announcement") and (ii) the 2017 first quarterly report of the Company for the three months ended 30 June 2017 and published on the website of The Stock Exchange of Hong Kong Limited ("Stock Exchange") on 14 August 2017 ("Report"). Unless otherwise specified, terms used herein shall have the same meanings as those defined in the Announcement and Report.

It is stated in the Announcement and Report, among others, that the Board proposed to distribute three (3) bonus shares for every one (1) existing ordinary share held by the qualifying shareholders of the Company whose names appear on the register of members of the Company on Tuesday, 10 October 2017. Upon further deliberation, especially to strictly comply with the guidance letter (HKEX-GL88-16) issued by the Stock Exchange in April 2016 in relation to the issuance of bonus shares, the Board now proposes an issuance of bonus shares ("Bonus Issue") on the basis of one (1) bonus share for every one (1) existing ordinary share held by shareholders whose names appear on the register of members of the Company on Tuesday, 10 October 2017.

Save for the above, all other information contained in the Announcement and Report remains unchanged.

By Order of the Board

Executive Director, Chairman of the Board and Chief Executive Officer

Hong Kong, 16 August 2017

* for identification purpose only

As at the date of this announcement, the executive Directors are Mr. Wu Jian Nong, Ms. Shen Meng Hong, Mr. Xu Shui Sheng and Mr. Zhou Jian Ming; and the independent non-executive Directors are Mr. Yuan Jiangang, Ms. Wang Xiaoxiong and Mr. Zhou Yuan.

This announcement, for which the Directors collectively and individually accept full responsibility, includes particulars given in compliance with the GEM Listing Rules for the purpose of giving information with regard to the Company. The Directors, having made all reasonable enquiries, confirm that, to the best of their knowledge and belief, the information contained in this announcement is accurate and complete in all material respects and not misleading or deceptive, and there are no other matters the omission of which would make any statement herein or this announcement misleading.

This announcement will remain on the "Latest Company Announcements" page of the Stock Exchange's website (www.hkexnews.hk) for 7 days from the date of its posting and will also be published on the Company's website (www.tonkinggroup.com.hk).