Recently, Yunnan Chihong Zn & Ge Co., Ltd. released its 2025 annual report. The report showed that in 2025, the company's production included zinc concentrates (213,200 mt in metal content), lead concentrates (81,700 mt in metal content), zinc ingot (291,400 mt), and zinc alloy (233,400 mt).

[Mining and Metallurgical Enterprise Dynamics] According to Yunnan Chihong Zn & Ge Co., Ltd. (600497), during the Chinese New Year, while families across the country were reuniting, the company's production units nationwide remained busy. Many employees at operations such as Yongchang Lead-Zinc, Hulunbuir Chihong, Huize Mining and Smelting chose to stay at their posts, ensuring safe and stable production during the holiday at high-altitude snowy regions, underground mines thousands of meters deep, beside smelting furnaces, and project sites.

[Lead Smelter Updates] Recently, Yunnan Chihong Zn & Ge Co., Ltd. (600497) stated on an interactive platform that the company primarily focuses on the extraction, enrichment, and efficient recovery technologies of germanium resources associated with lead-zinc mines. By deepening strategic collaboration with its joint venture Chalco Qianxing (Chengdu) Technology Co., Ltd., it continues to provide stable, high-quality germanium raw material supplies. The processing of the mining license and project design optimization for the Jinxin Molybdenum Mine are progressing in an orderly manner. The Huize Mining Mine Plant has not implemented a deep expansion project; instead, it is advancing the optimization of its deep safety system, which is expected to be completed by the end of 2026.

[Lead Smelter Updates] Recently, Yunnan Chihong Zn & Ge Co., Ltd. (600497) responded to investor inquiries on an interactive platform, stating that the Huize mine is currently operating normally. After the completion of the Huize mine safety optimization project, the mine will resume its existing capacity release. The Hulunbuir Chihong rare and precious metals project has already commenced production, with an annual capacity of 380 mt of silver. The Yunnan Chihong comprehensive utilization of resources rare and precious metals project and the zinc alloy capacity expansion project are still in the preliminary planning stage, and whether these projects will ultimately proceed to construction remains uncertain.

[Lead Smelting Enterprise Dynamics] Recently, Yunnan Chihong Zn & Ge Co., Ltd. announced plans to increase capital in its wholly-owned subsidiary, Hulunbuir Chihong Mining Co., Ltd., by 3.3 billion yuan using its own funds. This capital injection will primarily be used to repay internal loans, supplement working capital, and fund projects aimed at enhancing efficiency and unlocking potential in lead and zinc smelting operations.

Recently, Chihong Industrial Development (Shanghai) Co., Ltd., a subsidiary of Yunnan Chihong Zn & Ge Co., Ltd., will conduct a public bidding sale of Yunnan Chihong Zn & Ge Co., Ltd.'s brand zinc ingots for 2025 on the Chihong Zn & Ge e-sales platform, in accordance with its production and operation arrangements. The zinc ingots (99.995) are produced in Anning, with a total quantity of 7,000 mt. The delivery date ranges from June 26, 2025, to December 31, 2025, and they comply with the GB/T470—2008 standard. In terms of the pricing model, the Chihong Zn & Ge (Anning) zinc ingots are priced based on the "monthly average net price of zinc ingots of the corresponding grade on the Shanghai Nonferrous Metals Market (SMM) from the 26th day of the previous month to the 25th day of the current month." Customers will bid on the monthly procurement volume based on the intended delivery location and the "premium/discount" (+ premium, - discount) for the delivery location (the awarded volume equals "monthly bidding volume * 6," and the bidding premium/discount is a fixed amount). The monthly settlement price for awarded customers is the "monthly average net price of zinc ingots of the corresponding grade on the Shanghai Nonferrous Metals Market ( SMM https://www.smm.cn ) for the corresponding pricing period + premium/discount." Customers participating in the bidding must meet the customer admission criteria of Yunnan Chihong Zn & Ge Co., Ltd., complete the registration on the e-sales platform, and pay a credibility deposit of 200,000 yuan (Note: Customers who have already registered and paid the 200,000 yuan credibility deposit can directly participate in the bidding). Here are the specific details: