On May 10, Huayou Cobalt disclosed the latest developments regarding its subsidiary's transfer of related rights and obligations and the acquisition of equity in Atlantic Lithium Limited. The core content of this rights and obligations transfer includes obtaining the right to acquire a 22.5% stake in Atlantic Lithium's Singapore subsidiary. It also involves securing an offtake right for no less than 50% of the products from the Ewoyaa Lithium Project and assuming related obligations for project development. If both the "Contract Novation Agreement" and the transaction to acquire 100% of Atlantic Lithium are completed, Huayou Cobalt will indirectly hold an 87% interest in the Ewoyaa Lithium Project.

[Solid-state Battery: Jitai Stock's Solid-state Battery] On July 30, 2025, Jitai Stock responded to investors' questions on the interactive platform, pointing out that the current mainstream power batteries in the market are still dominated by liquid batteries. As the next-generation battery technology, solid-state batteries are currently still in the early stages of industrialisation and have not yet achieved large-scale commercial application. The company has been closely monitoring the latest developments in solid-state battery technology and actively engaging in the R&D and validation of related adhesives, with the aim of providing high-performance material solutions when solid-state batteries enter mass production and application in the future.

[SMM Spot Magnesium Ingot Report: Magnesium Ingot Market Continues to Be in the Doldrums, Tug-of-War Between Sellers and Buyers Intensifies] SMM reported on June 17 that the domestic magnesium ingot market continued to be in the doldrums today, with mainstream transaction prices in the Fugu region ranging from 15,950 to 16,050 yuan/mt; China's FOB quotes ranged from $2,210 to $2,300/mt. Domestic ex-factory prices generally pulled back to the 16,000 yuan/mt mark. Although producers showed strong reluctance to budge on prices, there was insufficient support for transactions. Market trading sentiment was sluggish, with downstream purchases mainly driven by rigid demand, and traders cautiously waiting and watching.

With the outbreak of conflicts between Israel and Iran, there is renewed concern about the security of the Strait of Hormuz, a vital global energy artery. After Israel's attack on Iran, Iranian officials have hinted at the possibility of closing the Strait of Hormuz, a statement that once triggered a sharp spike in international crude oil prices. Why is the Strait of Hormuz crucial to the global energy market? The Strait of Hormuz is a waterway connecting the Persian Gulf and the Indian Ocean, and it is the only access point to the Persian Gulf. (Satellite image) This narrow waterway is only 29 nautical miles wide at its narrowest point, yet it carries nearly one-third of the world's seaborne crude oil shipments and one-fifth of the global liquefied natural gas (LNG) shipments. The US Energy Information Administration (EIA) refers to it as the "world's most important oil chokepoint." According to the International Energy Agency (IEA), approximately 20 million barrels of crude oil and refined products passed through the Strait of Hormuz daily in 2023, accounting for nearly 30% of the world's total oil trade. About 70% of this volume was destined for the Asian market, with major buyers including India and Japan. Despite the existence of alternative pipeline transportation options, their capacities are limited. The IEA estimates that the current oil transportation capacity diverted via land routes is only 4.2 million barrels per day, such as Saudi Arabia's "East-West Pipeline" (leading to the Red Sea) and the UAE's "Abu Dhabi Crude Oil Pipeline" (leading to Fujairah). The transportation capacity of these alternative routes accounts for only about a quarter of the normal volume carried through the Strait. The LNG market's reliance on the Strait of Hormuz is even higher. All exports from Qatar, the world's second-largest LNG exporter, and the UAE must pass through this strait. The IEA states that in the first 10 months of 2023, a total of 90 billion m³ of LNG was transported through the Strait, accounting for 20% of global LNG trade. Given that there are few viable alternative routes for Qatar and the UAE's LNG exports, any shipping disruptions would severely tighten global supply. About 80% of LNG exports are headed to Asia, while Europe receives approximately 20%, meaning that in a tight market, such disruptions would further exacerbate regional competition. How high could oil prices rise if the Strait of Hormuz is blocked? Although a full blockade of the Strait of Hormuz by Iran is still considered a low-probability event, analysts generally believe that the mere existence of this threat is enough to cause significant volatility in the energy market. Goldman Sachs has warned that in an extreme risk scenario, if the Strait of Hormuz experiences a prolonged blockade, international oil prices could surge significantly above $100 per barrel. The bank estimates that Iran's current daily crude oil production is approximately 3.6 million barrels, with daily condensate production at around 800,000 barrels, and average seaborne exports averaging 2.1 million barrels per day since the beginning of the year. Warren Patterson, Head of Commodities Strategy at ING, stated that given the latest developments, the market has begun to factor in a higher geopolitical risk premium. Patterson pointed out that even a disruption in Iran's oil exports alone would be sufficient to overturn the previously anticipated crude oil supply surplus in the market, potentially driving Brent crude oil prices up to $80 per barrel. He warned that a more severe scenario, such as a disruption in shipping through the Strait of Hormuz, could have far more profound implications. "Nearly one-third of the world's seaborne oil passes through this strategic chokepoint," Patterson said. "If there were significant disruptions to these shipments, oil prices could surge to $120 per barrel, especially since most of OPEC's spare capacity is located in the Persian Gulf region and would be difficult to mobilize in such a scenario." He added, "An escalation of the situation would also impact the European natural gas market."

On June 7, Nanjing Iron & Steel Group Co., Ltd. (NISCO) and Huoqiu County held a "15th Five-Year Plan" local government-enterprise cooperation exchange meeting at Jin'an Mining. Huo Shaobin, member of the Standing Committee of the Lu'an Municipal Party Committee and Secretary of the Huoqiu County Party Committee, and Huang Yixin, Secretary of the Party Committee and Chairman of NISCO, attended and delivered speeches. The meeting was chaired by Wei Nengwu, Deputy Secretary of the Huoqiu County Party Committee and County Magistrate. Mao Lingxia, Deputy County Magistrate of the Huoqiu County People's Government, heads of departments including the Huoqiu Economic Development Zone, the Huoqiu County National Development and Reform Commission (NDRC), the Huoqiu County Bureau of Industry and Information Technology, the Huoqiu County Bureau of Natural Resources, and Fanqiao Town, Wang Haiyong, member of the Standing Committee of the Party Committee and Secretary to the Board of Directors of CITIC Pacific Special Steel Group Co., Ltd., and Shao Renzhi, Vice President and Chief Investment Officer of NISCO and President of the New Industry Investment Group, also attended the meeting. Shang Wenhu, General Manager of Huoqiu County Limin Company, and Xu Weizhuo, Chairman and General Manager of Jin'an Mining, signed the transfer contract for the Fanqiao Iron Mine exploration right project. Jin'an Mining introduced the strategic development plan for the "15th Five-Year Plan." Huo Shaobin pointed out that the successful signing of the Fanqiao Iron Mine project is an important achievement of the joint efforts and shared vision for development between the local government and the enterprise. It will strongly promote the complementary advantages and resource sharing between the local government and the enterprise, inject strong momentum into further optimizing, strengthening, and expanding Jin'an Mining, and provide solid support for the high-quality economic and social development of Huoqiu County. All departments at various levels in the county should further strengthen safeguard measures, optimize service mechanisms, and strive to create a first-class business environment. It is necessary to improve the regular communication mechanism between the government and enterprises, implement a list-based management of services, efficiently and precisely promote the implementation of enterprise-benefiting policies, and provide solid guarantees for deepening the strategic cooperation between the local government and enterprises. Huang Yixin stated that Jin'an Mining achieved multiple historical operating indicators in 2024, opening up a new pattern of dual-main-business-driven development. The signing of the transfer contract for the Fanqiao Iron Mine exploration right has fulfilled NISCO's long-held aspiration for sustainable development in Huoqiu. He expressed heartfelt gratitude to the successive leadership teams that have supported the development of Jin'an Mining over the years. In recent years, Huoqiu's business environment has continued to improve, and the efficiency of government services has been constantly enhanced, actively addressing the concerns and difficulties of enterprises. NISCO Group and Jin'an Mining will live up to expectations, fulfill their missions, and take the lead, committed to building a world-class technology-oriented excellent enterprise and contributing new "NISCO strength" to the high-quality economic and social development of Huoqiu County. Accompanied by Huang Yixin and others, Huo Shaobin and his delegation conducted in-depth surveys and provided guidance at the Jin'an Mining Smart Center. On the same day, Jin'an Mining held the commissioning ceremony for the 9-series permanent magnet ferrite ultra-pure iron powder pre-sintered material project. Huo Shaobin, member of the Standing Committee of the Lu'an Municipal Party Committee and Secretary of the Huoqiu County Party Committee, delivered a speech, and Huang Yixin, Secretary of the Party Committee and Chairman of NISCO, announced the official commissioning of the project. Xu Weizhuo, Chairman and General Manager of Jin'an Mining, chaired the ceremony. The 9-series permanent magnet ferrite ultra-pure iron powder pre-sintered material project of Jin'an Mining is not only a vivid practice of Jin'an Mining's implementation of NISCO's "one body, three elements" large industrial ecosystem, but also an active response to the strategic deployment of the Huoqiu County Party Committee and County Government to focus on building an iron-based new material industrial cluster. This project is the first production line in China that uses ultra-pure iron powder as raw material to produce 9-series permanent magnet ferrite pre-sintered materials, filling a technological gap in this field and marking a milestone. In his speech, Huo Shaobin stated that the Jin'an Mining 9-series permanent magnet ferrite ultra-pure iron powder pre-sintered material project is a brand-new starting point and a magnificent symphony. Huoqiu County will thoroughly implement the project of "consolidating the foundation and nurturing vitality," continuously improve the work style of officials, optimize the business environment, nurture the project's healthy growth, assist Jin'an Mining in becoming bigger and stronger, and wish Nanjing Iron & Steel Group Co., Ltd. (NISCO) prosperous development and continuous innovation. Huang Yixin expressed gratitude to the leaders and guests who witnessed the commissioning of the Jin'an Mining 9-series permanent magnet ferrite ultra-pure iron powder pre-sintered material project and paid tribute to the participating construction units. He also introduced the development of NISCO and CITIC Pacific Special Steel Group Co., Ltd., as well as the latest developments in the mutually empowering development of Jin'an Mining's dual main businesses. He stated that Jin'an Mining will strive to become a world-class new materials company, making new contributions to Huoqiu's economic transformation and high-quality development. After the ceremony, the attendees jointly toured the production line of the 9-series permanent magnet ferrite ultra-pure iron powder pre-sintered material project. On June 6, the Board of Directors of Jin'an Mining held its 2025 annual meeting. Huang Yixin, Secretary of the Party Committee and Chairman of NISCO, Shao Renzhi, Vice President and Chief Investment Officer of NISCO and President of New Industry Investment Group, as well as directors, supervisors, and members of the management team of Jin'an Mining attended the meeting, which was chaired by Xu Weizhuo, Chairman and General Manager of Jin'an Mining. The meeting focused on hearing reports on Jin'an Mining's "15th Five-Year Plan Strategic Planning Scheme," "2024 Annual Financial Final Accounts Report," and "2025 Annual Financial Budget Report." Huang Yixin stated that this year's Jin'an Mining Board of Directors meeting is a triple celebration: obtaining the exploration rights for the Fanqiao Iron Mine, the official commissioning of the 9-series permanent magnet ferrite ultra-pure iron powder pre-sintered material project, and Jin'an Mining achieving multiple historical milestones in 2024. Jin'an Mining's victory is a comprehensive one, which has also inspired the confidence of all officials and employees of Jin'an to dare to fight and win. Reviewing the past, Jin'an Mining has achieved six "leading the way and setting an example." First, leading the way and setting an example in innovation, breakthroughs, and creating history in production and operation; second, leading the way and setting an example in Party building and corporate culture construction; third, leading the way and setting an example in strategic guidance, planning, and implementation; fourth, leading the way and setting an example in incremental sustainable development; fifth, leading the way and setting an example in overall organizational and team building; sixth, leading the way and setting an example in the construction of a safe, happy, and green mine. For future development, Jin'an Mining must adhere to "five unwavering principles." First, it must unwaveringly achieve this year's profitability targets. Second, it must unwaveringly adhere to the strategy of developing iron-based new materials, while also firming up its determination to go public in the future. Third, it must unwaveringly promote the Fanqiao Mine to generate profits as soon as possible. Fourth, it must unwaveringly build a modern mine system. Fifth, it must unwaveringly advance the construction of the Party, corporate culture, and talent team development. Shao Renzhi expressed his congratulations to Jin'an Mining for acquiring the Fanqiao Iron Mine, which is a remarkable achievement for Jin'an. He emphasized the need to accelerate the pace of progress and achieve results as soon as possible. Since the last board meeting, Jin'an Mining's strategic positioning of "resources + new materials" has become more resolute and clearer. It must seize the development opportunities in new materials and live up to the resource endowment of "ginseng iron." The road ahead is long, and we must tread it steadily and securely. First, we must clearly plan the strategies and paths for what we want to accomplish during the "15th Five-Year Plan" period. Second, we must advance strategic research on new materials, build a talented team suited to development, and coordinate the synergistic development of several sectors. Third, we must accelerate the construction of digital and intelligent mines. Fourth, we must firmly grasp and implement safety work, maintaining a cautious attitude at all times. Safety must always be kept in mind, and there can be no room for slackness.

SMM News on June 16: Metal Market: As of the daytime close, domestic market base metals showed mixed performance. SHFE copper, SHFE lead, and SHFE tin all rose, with SHFE copper up 0.19% to lead the gains, while SHFE zinc fell 0.5% to lead the losses. The % changes of the remaining metals fluctuated slightly. The main alumina contract fell 0.73%, while the main casting aluminum contract rose 0.31%. In addition, the main lithium carbonate contract fell 0.7%, the main silicon metal contract rose 0.41%, the main polysilicon contract rose 1.93%, and the main European container shipping contract fell 4.04%. The ferrous metals series rose collectively. Rebar rose 0.98%, HRC rose 1.07%. In the coking coal and coke segment, coking coal rose 2.84%, and coke rose 1.9%. In the overseas market, as of 15:03, overseas market base metals generally rose, with only LME aluminum and LME tin falling. LME tin fell 0.24%, LME aluminum fell 0.04%, and LME zinc rose 0.53%. The remaining metals all rose slightly. In the precious metals segment, as of 15:03, COMEX gold fell 0.47%, and COMEX silver rose 0.48%. Domestically, SHFE gold fell 0.08%, and SHFE silver rose 0.45%. Market conditions as of 15:03 today 》Click to view SMM Market Dashboard Macro Front Domestic Aspect: [National Bureau of Statistics (NBS): Industrial Added Value Above Designated Size Grew 5.8% in May, with the National Economy Generally Stable and Making Steady Progress] The NBS showed that in May, the industrial added value above designated size actually increased by 5.8% YoY. On a MoM basis, the industrial added value above designated size increased by 0.61% compared to the previous month. From January to May, the industrial added value above designated size increased by 6.3% YoY. By industry, in May, 35 out of 41 major industry categories maintained YoY growth in added value. Among them, the coal mining and washing industry grew by 5.5%, the oil and natural gas extraction industry grew by 5.3%, the agricultural and sideline food processing industry grew by 7.6%, the liquor, beverage, and refined tea manufacturing industry grew by 4.1%, the textile industry grew by 0.6%, the chemical raw material and chemical product manufacturing industry grew by 5.9%, the non-metallic mineral products industry fell by 0.6%, the ferrous metal smelting and rolling processing industry grew by 4.8%, the non-ferrous metal smelting and rolling processing industry grew by 8.1%, the general equipment manufacturing industry grew by 6.3%, the special equipment manufacturing industry grew by 2.3%, the automobile manufacturing industry grew by 11.6%, the railway, shipbuilding, aerospace, and other transportation equipment manufacturing industry grew by 14.6%, the electrical machinery and equipment manufacturing industry grew by 11.0%, the computer, communication, and other electronic equipment manufacturing industry grew by 10.2%, and the electric power, heat production, and supply industry grew by 2.0%. Overall, in May, as the combined effects of policies continued to unfold, the effects of stabilizing the economy and promoting development became evident. The national economy maintained a generally stable development trend with steady progress, fully demonstrating the resilience and vitality of China's economy. However, it should also be noted that there are many external uncertainties and destabilizing factors, and the endogenous momentum for expanding domestic demand still needs to be strengthened. The foundation for sustained economic rebound and improvement still needs to be consolidated. 》Click to view details [NBS: The real estate market continues to move towards stabilization and recovery] Fu Linghui, spokesperson for the National Bureau of Statistics (NBS) and director of the NBS's Department of Comprehensive Statistics of National Economy, stated at a press conference held by the State Council Information Office that since the beginning of this year, China has implemented more proactive macro policies, increased counter-cyclical adjustments, and accelerated the implementation of major national strategies and the development of security capabilities in key areas ("two major" policies) as well as the program of large-scale equipment upgrades and consumer goods trade-ins ("two new" policies). These efforts have effectively enhanced the vitality of consumption, driven production growth, and promoted transformation and upgrading, fully demonstrating the important role of macro policies in stabilizing economic operations. In the next stage, China has sufficient reserves in its policy toolbox, and macro policies have room for maneuver. They can be dynamically adjusted and actively responded to according to changes in the situation, and will continue to safeguard the stable operation of the economy. Fu Linghui stated that since the beginning of this year, with the accelerated implementation of various policies to stabilize the real estate market, the market has continued to move towards stabilization and recovery. Judging from the situation in May, the operation of the real estate market was generally stable. The YoY decline in housing prices in 70 large and medium-sized cities continued to narrow, and the inventory of commercial housing continued to decrease. From the perspective of market transactions, under the influence of various policies to stabilize the real estate market, real estate sales remained basically stable. From January to May, the sales area and sales volume of newly-built commercial housing decreased by 2.9% and 3.8% YoY respectively, basically flat with the figures from January to April. Market transactions in some first-tier and second-tier cities were relatively active, with the sales area and sales volume of commercial housing maintaining growth. From the perspective of market prices, the YoY decline in newly-built commercial residential housing continued to narrow. From the perspective of commercial housing inventory, the area of commercial housing pending sale in May decreased by 7.15 million m² compared to the end of April, marking a decrease for three consecutive months. Fu Linghui emphasized that overall, the policies to promote the stabilization and recovery of the real estate market have continued to show effects, and the operation of the real estate market was generally stable in May. However, it should be noted that the real estate market is still in the process of adjustment. Market confidence still needs to be continuously restored, and the supply-demand relationship in the market still needs to be improved. Continuous efforts are still needed to promote the stabilization and recovery of the real estate market. 》Click to view details ► On June 16, the central parity rate of the RMB against the US dollar in the inter-bank foreign exchange market was 7.1789 yuan per US dollar. US dollar: As of 15:03, the US dollar index fell by 0.08% to 98.04. This week marks a "super central bank week," with attention focused on the US Fed's statements regarding inflation and monetary policy in the second half of the year. The University of Michigan's US consumer sentiment index for June rose to 60.5, compared with a forecast of 53.5. Consumers' 12-month inflation expectations fell to 5.1%. Long-term inflation expectations declined to 4.1%. As Sino-US trade tensions eased, US consumer confidence improved for the first time in six months, though households remained concerned about the trajectory of the economy. Despite widespread expectations that the US Fed would keep interest rates stable, the market eagerly anticipated signals of possible interest rate cuts in the coming months. Macro: Today, data such as the eurozone's total reserve assets in May, the US New York Fed's manufacturing index for June, and the US New York Fed's manufacturing index for the next six months' expectations in June will be released. In addition, the US New York Fed's manufacturing index for the next six months' expectations in June. Crude oil: As of 15:03, oil prices in both markets rose simultaneously, with US oil up 0.74% and Brent oil up 0.55%. On Friday, prices surged 7% as renewed tensions in the Middle East heightened fears that geopolitical conflicts could spread across the region and severely disrupt oil exports from the Middle East. It is understood that the latest developments have heightened concerns about potential disruptions to the Strait of Hormuz, a vital shipping lane. Approximately one-fifth of global oil consumption, or around 18-19 million barrels per day of oil, condensate, and fuel oil, passes through the Strait of Hormuz. Most of the crude oil and refined product exports from OPEC members Saudi Arabia, the UAE, Kuwait, Iraq, and Iran transit through the Strait of Hormuz, with few viable alternative routes. Toshitaka Tazawa, an analyst at Fujitomi Securities, said, "Buying is driven by the ongoing conflict between Israel and Iran, with no signs of resolution in sight. However, as seen on Friday, there has been some selling due to concerns about overreaction." Tazawa added that the market is monitoring potential disruptions to Iran's oil production from Israeli strikes on energy facilities, while heightened concerns about disruptions to traffic through the Strait of Hormuz could significantly boost oil prices. Iran, a member of the Organization of the Petroleum Exporting Countries (OPEC), currently produces around 3.3 million barrels of oil per day and exports over 2 million barrels of crude oil and fuel. So far, Israeli attacks on Iran's oil and natural gas infrastructure have not affected production or exports from the region. However, concerns persist that Israel could destroy Iran's oil facilities, depriving it of a major source of revenue and driving up oil prices. Analysts and OPEC observers say that the idle oil production capacity that OPEC and its allies, including Russia, have increased to offset any disruptions is roughly equivalent to Iran's production. (Wenhua Comprehensive) SMM Daily Review ► Inventory buildup of high-grade NPI continues, short-term market focus may dip again [NPI Daily Review] ► [SMM MHP Daily Review] On June 16, MHP prices in Indonesia edged lower ► [SMM Nickel Sulphate Daily Review] On June 16, nickel salt prices remained stable