Zambia’s mining sector is embarking on a significant expansion phase as major international producers scale up capital expenditure to align with government ambitions of increasing national copper output toward 1 million MT per year. However, according to foreign media reports, industry analysts warn that the country's long-term production targets depend heavily on whether supporting grid and transport infrastructure can expand alongside mine capacity. The primary operational constraint remains electricity availability across the Copperbelt. With over 83% of Zambia's 3,985 MW national power base dependent on hydropower assets like Kafue Gorge and Kariba North, recent drought-driven water level drops have exposed severe energy vulnerabilities across the mining sector. Unscheduled grid fluctuations and emergency load-shedding pose acute operational risks to energy-intensive processing operations, where power interruptions cause severe thermal shock to copper smelter brick linings, resulting in physical equipment damage and prolonged operational shutdowns. To mitigate these disruptions, mining companies are increasingly investing in off-grid renewable energy projects, utility-scale solar PV capacity, and regional power imports. Beyond energy, sustained production growth will require capital investments in rail logistics networks, water infrastructure, and local supplier technical capacity.

According to foreign media reports, Panama’s government is evaluating the creation of a state-owned enterprise (SOE) to pave the way for restarting First Quantum Minerals’ Cobre Panamá copper mine. Under the proposed public-private partnership, the Panamanian state would hold a 35% to 40% equity stake, while First Quantum would retain operational control with the remaining 60% to 65%. Alternatively, officials are considering a direct leasing structure where the state maintains sole ownership of the underlying concession in exchange for royalty and tax revenues. Cobre Panamá has remained idle since late 2023 following a Supreme Court ruling that invalidated its operator contract, alongside subsequent legislation banning new private mining concessions. Establishing an SOE provides a constitutional mechanism for President José Raúl Mulino’s administration to resume mining operations without issuing new private permits. Disagreements have cooled as First Quantum suspended its $20 billion international arbitration claim and received permission to sell stockpiled copper concentrates, restart its power plant, and conduct an environmental audit that scored an 88% compliance rating. A final government decision is expected before the end of the year.

Lion Energy has advanced its Bula Karang-1 exploration campaign in Indonesia after completing a farm-out transaction, securing project funding, finalising drilling contracts, and commencing site construction. The company has confirmed the use of Silver City Drilling's 900HP SCD-20 drilling rig, which has been mobilised from East Java and is expected to drill a deviated well extending around 1,000 m offshore to test a seismically identified carbonate reef target at a depth of approximately 550 m below sea level. A successful outcome could establish a new oil production hub within the East Seram PSC and unlock additional nearby exploration prospects.

Kazakh coal transshipment through Russian Baltic and Southern ports reached 6.7 million mt in the first half of 2026, up 34% year-on-year from the same period last year. The increase was supported by rail cooperation agreements signed between Russian Railways (RZD) and Kazakhstan Temir Zholy (KTZ) in April 2025 to expand coal deliveries to Russian ports. Growth was also aided by the EU's July 2025 decision to exempt transactions involving certain Russian ports from sanctions when used for the transit of Kazakh coal.

[SMM PGM Express] Valterra Platinum and Umicore’s Metal Deposition Solutions (MDS) have launched a multi-year R&D and commercialisation partnership aimed at expanding platinum group metal (PGM) applications in industrial electroplating. The collaboration will focus initially on high-speed platinum electroplating technologies for the electronics sector, including connector applications, where platinum could offer a durable and cost-effective alternative to gold. With industrial gold demand exceeding 9.5 million ounces annually, the partnership highlights the potential for platinum to capture new demand opportunities in high-value applications. Under the agreement, Valterra Platinum will provide funding over an initial three-year period, while Umicore MDS will contribute R&D expertise in materials chemistry, surface technologies and industrial-scale process development to advance solutions from laboratory research towards commercial readiness. The initiative forms part of broader efforts by PGM producers to diversify demand beyond traditional markets and create new industrial uses for platinum. Growing adoption of advanced electronics and the search for more efficient precious metal alternatives could support future demand growth. The partnership also reflects continued efforts across the PGM sector to address long-term market challenges by developing innovative applications that improve platinum’s competitiveness and expand its role in emerging technologies.

On July 27, Chifeng Gold shares rose. As of the close on July 27, the stock was up 4.52% at 38.14 yuan per share. In terms of news: Chifeng Gold disclosed its H1 2026 preliminary earnings after market close on July 14, showing that the company estimates net profit attributable to shareholders of the publicly listed firm for H1 2026 to be between RMB 1,700 million and RMB 1,780 million. Compared with RMB 1,106.9 million in the same period last year, this represents an increase of RMB 593.1 million to RMB 673.1 million, up 54% to 61% YoY. It estimates net profit attributable to shareholders of the publicly listed firm after deducting non-recurring gains and losses for H1 2026 to be between RMB 1,710 million and RMB 1,790 million, compared with RMB 1,111.91 million in the year-ago period, an increase of RMB 598.09 million to RMB 678.09 million, up 54% to 61% YoY. Regarding the main reasons for the performance change in the period, Chifeng Gold said the sharp YoY growth in both net profit metrics was primarily driven by a significant rise in gold prices relative to the same period last year, with the average gold selling price up about 43% YoY, alongside the company's continuous strengthening of production organization and operational management, which boosted results. Regarding its main business, Chifeng Gold described in its 2025 annual report: The company belongs to the nonferrous metal mining and beneficiation industry, with principal products including precious metals such as gold and nonferrous metals like copper cathode. Its core business is gold mining, mineral processing and sales, while also engaging in polymetallic mining and comprehensive resource recovery. The company operates six gold mines and one polymetallic mine globally, with a footprint covering China, Southeast Asia and West Africa. Among them, domestic subsidiaries Jilong Mining, Wulong Mining, Huatai Mining and Jintai Mining focus on gold mining and beneficiation; Hanfeng Mining focuses on zinc, lead, copper and molybdenum polymetallic mining; the controlled subsidiary Laos Vientiane Mining is engaged in gold mining and copper mining and smelting; and the controlled subsidiary Ghana Wassa focuses on gold mining. In addition, the controlled subsidiary Guangyuan Technology specializes in comprehensive resource recovery, focusing on the dismantling of waste electrical and electronic products and other environmental protection business. A review of Gold 99's price trend in H1 2026 shows: The average price of Gold 99 on June 30 this year was 866.2 yuan/g, down 110.79 yuan/g from 976.99 yuan/g on December 31, 2025, a decline of 11.34% in H1 2026. The daily average price of Gold 99 in H1 2026 was 1,037.71 yuan/g, up 315.43 yuan/g from 722.28 yuan/g in H1 2025, an increase of 43.67%. Gold price movements have been extremely sharp since the start of 2026. On January 29, COMEX gold hit an all-time high of $5,626.8 per ounce, but subsequently, pressured by factors such as heightened expectations for US Fed interest rate hikes, it fell to an intra-year low of $3,955.4 per ounce on June 30. Recently, easing US-Iran tensions have alleviated market concerns about inflation and interest rates staying high for longer, leading to a gold rebound. As of 19:12 on July 27, COMEX gold had risen 0.74% to $4,101.4 per ounce, with a year-to-date loss of 5.53%. Regarding the outlook for precious metals, views from some institutions are as follows: Teves Joni, gold strategist at UBS, remains positive on gold’s medium and long-term outlook. In her commentary, she noted that gold prices have risen since the start of this week, with gold stocks in Mainland China and Hong Kong gaining around 20% cumulatively over three days, a positive signal. "We think sentiment in gold is starting to improve and continue to expect gold prices to rebound from current levels before year-end," she said. The UBS global team stays upbeat about gold's medium-term picture and forecasts that gold will reach $4,675 per ounce by end-2026 and $4,800 per ounce by end-2027. Key events to watch ahead, she added, are the policy tone from the US Fed at the late-July FOMC meeting and further developments in the Middle East situation. (Jinshi Data App) Analysts at ANZ Research said in a report that physical gold demand and central bank buying are supporting the gold market. They added that while gold faces near-term headwinds from expectations of further US Fed tightening and a firm US dollar, investment positioning in gold looks thin after months of ETF outflows, suggesting limited room for further declines. The high interest-rate environment typically weighs on non-yielding assets like gold. (Zhitoong Finance) Goldman Sachs said that despite pressure from the US Fed’s tightening expectations, central bank buying is expected to provide a floor for gold. Demand remains strong, with the bank estimating that central banks purchased 81 mt in May, and the three-month average stood at 67 mt, well above the average of 17 mt before 2022. Goldman analysts noted, "We believe the trend of central banks adding gold will persist for years as they diversify reserves to hedge geopolitical and financial risks." The bank forecasts monthly average purchases of 50 mt this year and 40 mt next year. (Jinshi Data APP) Kim Soojin, analyst at MUFG, said, "Recent price action suggests the market is placing more weight on the likelihood of U.S. rates staying higher for longer, rather than gold’s traditional safe-haven demand. This leaves gold vulnerable to stress unless geopolitical risks translate into a broader deterioration in financial market sentiment." (Jinshi Data APP) Fidelity International said it plans to rebuild its gold position, which was trimmed earlier this year, at the right opportunity, believing that gold’s long-term drivers remain robust. Samson Ian, multi-asset portfolio manager at Fidelity International, recently said, "We plan to add back to gold, it’s just a matter of timing." He reduced gold allocation to neutral between January and February this year, when the multi-year bull run in gold ended. Samson expects gold to re-enter a bull market sometime in 2027, and only a scenario in which "governments return to fiscal discipline and central banks genuinely commit to bringing inflation back down" would undermine the case for a renewed bull market. "I don’t think we’re in that world right now," he added. Samson also said that sustained central bank gold buying, a key driver of the previous gold bull market, will continue to support prices. Last Thursday, Bank of America technical strategists warned that gold’s pullback this year may have room to go much further, potentially resembling the devastating bear markets that followed the massive gold rallies in 1980 and 2011. They proposed a phased buying strategy, suggesting full allocation only when gold falls to the $3,450-$3,250 range. In a technical research note, BofA analysts pointed out that gold has gathered a series of bearish signals, with rising risks of a sustained drop: a death cross pattern, elevated net long open interest, a warning top candlestick, a TD Sequential exhaustion signal, and an RSI reading of 90 at the recent peak―a level consistent with the gold tops in 1980 and 2011. UBP lowered its year-end gold target to $4,800 per ounce, and while it remains bullish on gold in the long term, it is not adding to positions for now. Its gold allocation stands at a neutral roughly 5%, down from an overweight position earlier this year, according to Gupta Paras, head of discretionary portfolio management for Asia at UBP, in an interview. Gupta said the previous overweight position "posed the biggest risk to our portfolio." UBP wants to see Middle East ceasefire agreements maintained, along with greater clarity on inflation and interest rate trends, before increasing its position. Gupta said that for investors with no gold exposure, a dip below $4,000 per ounce would be a highly attractive entry point. (Zhitoong Finance)

On July 27, shares of China Northern Rare Earth rose, closing up 1.15% at 39.48 yuan per share. In other news, the investor relations activity record for June 2026, announced by China Northern Rare Earth on July 21, showed: Q: What is the progress of the green smelting upgrade and transformation project? What benefits will the project bring to the company upon completion? China Northern Rare Earth responded: The company has invested in and constructed the new-generation rare earth green mining, beneficiation and smelting upgrade and transformation project. Phase I has already been put into production, with the production line fully connected; for Phase II, the main structure of the main process building has been completed, and equipment installation is underway. The project adopts industry-leading new processes, technologies and equipment to build a green, intelligent, intensive and high-end rare earth raw material industrial base. By creating a complete automated production line for rare earth smelting and adopting various intelligent equipment systems, the project enhances the intelligent level of green rare earth smelting equipment, enabling high-quality, high-efficiency, low-consumption and flexible intelligent production. It continuously improves the comprehensive utilization level of Bayan Obo resources, actively fosters a higher-quality, more efficient, better-structured, lower-carbon and safer industrial development landscape, effectively achieves the safe and sustainable development of the industry chain and supply chain, and further strengthens the competitive advantage of China's rare earth industry. Upon completion, the project is expected to reduce acid and alkali unit consumption by over 20%, reduce fresh water usage by 30%, and save approximately 15% of energy, effectively raising the level of intensive, efficient, low-carbon and environmentally sound utilization of rare earth resources. It will significantly promote the sustainable, high-quality development of the rare earth industry and downstream application fields, make positive contributions to regional economic and social development, and deliver favorable social benefits. Q: How large are the medium-heavy rare earth reserves in the Bayan Obo mine? China Northern Rare Earth responded: The total medium-heavy rare earth reserves in the Bayan Obo mine are very substantial. In light of changes in the global rare earth resource supply landscape, the company is committed to the research and application of all rare earth elements and categories. It has recently increased investments in medium-heavy rare earths, continuously pursuing technological innovation and boosting R&D spending to provide downstream clients with cost-effective products or solutions. Q: What is the company's sales model for rare earth products? How are prices determined? China Northern Rare Earth responded: The company's products are mainly divided into rare earth raw material products, rare earth new material products, and rare earth end-use application products. Among these, rare earth raw material products include rare earth salts, rare earth oxides and rare earth metals, which serve as the main production raw materials for downstream rare earth new material and new material product processing enterprises. Rare earth new material products include rare earth magnetic materials, polishing materials, hydrogen storage materials, catalytic materials, and rare earth alloys. The company's rare earth end-use application products primarily consist of rare earth permanent magnet high-efficiency energy-saving motors, solid-state hydrogen storage cylinders, and hydrogen-powered two-wheelers. The company generally adopts sales models such as long-term agreements and retail, with long-term agreements accounting for over 50%. Its selling prices are set based on market demand, market price fluctuations, and actual transactions, with metal prices also referencing those from the Baotou Rare Earth Products Exchange. Question: How does the company view future rare earth product prices? What are the downstream applications of rare earth? China Northern Rare Earth responded: Against the backdrop of global carbon neutrality, the vigorous growth of new energy industries and technological innovation has brought new development opportunities for rare earth as a key element of new quality productive forces. Rare earth, recognized as a critical mineral factor globally, has become a vital pillar for future industries. Rare earth product prices are mainly influenced by a combination of factors such as market supply, demand, and market expectations. In the short term, due to the pace of industry supply and demand and downstream procurement cycles, rare earth prices are expected to remain range-bound and fluctuate. In the medium term, the supply pattern in the rare earth industry will remain orderly and controllable, with prices generally running steadily. In the long term, as incremental demand from new energy, high-end equipment, humanoid robots, and other sectors continues to be released and steadily develop, rare earth prices will receive strong support. Against the broader backdrop of carbon neutrality, rare earth connects with manufacturing upgrades, technological innovation, global industry chain adjustments, and national development strategies. The long-term development of the rare earth industry is stable and positive. With the advancement of carbon peak and carbon neutrality, the core demand for rare earth is shifting towards green low-carbon new energy and high-end manufacturing. High-performance rare earth permanent magnets are used in new energy vehicle drive motors, new energy ship power systems, electric aircraft, eVTOL, etc. Some MLCC (multilayer ceramic capacitors) also add trace amounts of rare earth oxides for doping modification, driving continuous growth in rare earth demand. Question: What are the company's plans for extending its industry chain? Will it further expand into downstream end-use applications? China Northern Rare Earth responded: After years of development, the company has taken the lead in the industry to become an integrated, group-level publicly listed firm that combines rare earth smelting and separation, functional materials, application products, scientific research, and trade. It has formed an industrial structure based on rare earth resources, centered on smelting and separation, focused on new materials, and oriented towards expanding into end-use applications. Relying on an innovation-driven development strategy, it continuously promotes industrial structure adjustment, transformation and upgrading, achieving integrated development across the upstream, midstream, and downstream of rare earth, and building an industry-leading competitive advantage across the entire industry chain. The company has deployed six major industries: magnetic materials, polishing materials, energy storage materials, catalytic additives, high-purity metals and alloys, and optical functional materials. It has: (1) established the rare earth permanent magnet material–permanent magnet motor industry chain, continuously enhancing the production capacity of permanent magnet motors; (2) established the rare earth hydrogen storage material–solid-state hydrogen storage industry chain, focusing on solid-state hydrogen storage applications such as hydrogen fuel two-wheelers, solid-state hydrogen storage forklifts, and hydrogen refueling stations, to promote industrial application; (3) established the rare earth alloy–intermediate alloys of rare earth iron, rare earth aluminum-magnesium industry chain, constructing a demonstration line for large-scale production of high-purity rare earth metals and targets, driving breakthroughs in applications of rare earth aluminum-magnesium alloys in advanced rail transit and lightweight profiles; (4) consolidated and expanded the leading position of the rare earth polishing materials industry in and outside China, breaking through production technologies for high-end products such as high-performance rare earth polishing powders and polishing for high-grade glass substrates, and breaking foreign monopolies; (5) established the rare earth catalytic material–exhaust purification functional device industry chain, focusing on industrial exhaust gas treatment, automotive exhaust gas purification, volatile organic compound (VOC) treatment, and petrochemicals to achieve industrialization; and (6) expanded the application fields of rare earth optical functional materials, strengthening the commercialization and promotion of rare earth multi-color reflective thermal insulation coatings, rare earth infrared radiation materials, and rare earth infrared heat storage and temperature-rise materials. For example: to address the poor thermal insulation of architectural glass, the company developed a rare-earth nano thermal-barrier coating that significantly reduces air-conditioning energy consumption; to mitigate heat accumulation on building exteriors and metal surfaces, the company developed a rare-earth multi-colour reflective thermal-insulation coating containing over 25% lanthanum-cerium compounds, effectively alleviating the heat-island effect; leveraging the unique photofunctional properties of light rare earths, the company developed polyester-based rare-earth functional fibres that enable smart thermal regulation such as heat storage, thermal insulation and UV shielding. Closely following market demand, the company continuously increases R&D investment, optimises product structure and performance, and meets the differentiated needs of downstream clients. Q: How is the company progressing in the utilisation of rare-earth secondary resources? China Northern Rare Earth responds: In the current context of green and low-carbon development, the prospects for rare-earth secondary resource utilisation are broad. The Rare Earth Regulations explicitly encourage and support enterprises in adopting advanced and applicable technologies and processes to conduct comprehensive utilisation of rare-earth secondary resources. Meanwhile, the continuously climbing demand for rare earths in fields such as NEVs, wind power and consumer electronics is also providing more resources for rare-earth secondary resource utilisation. For a long time, the company has been consistently focusing on secondary resource recycling and recovery. Regarding the return of scrap after the sale of Pr-Nd alloy, since 2022 the company has included a provision when signing supply agreements with downstream magnetic material enterprises: NdFeB enterprises using the company’s Pr-Nd alloy must return the production scrap generated in their own manufacturing processes to the company for resource recycling and recovery in accordance with market principles. At present, the company has established a circular loop spanning from raw ore to metal, magnetic material, and the recycling of scrap generated from magnetic material production. The company has made deep deployments in both the north and south. In the south, its controlled subsidiary Xinfeng Xinli has completed the main plant construction for its Phase-I NdFeB scrap recycling and utilisation project, and on-site equipment is undergoing orderly installation and commissioning; its rare-earth oxide comprehensive utilisation technological transformation project has received approval from the Department of Industry and Information Technology of Jiangxi Province. In the north, its controlled subsidiary Jinmeng Rare Earth has completed the “NdFeB Scrap Recycling Automated Production Line” project and the automation upgrade and renovation of the rare-earth concentrates separation line; both lines have commenced production, with notable capacity release. The company actively deploys and develops the rare-earth secondary resource utilisation industry, builds a 10kt-scale resource recycling capacity, achieves full-element rare-earth recycling and recovery through effective utilisation of secondary resources, and enhances the economic value of rare-earth elements. Q: What are the future development trends for polishing materials? China Northern Rare Earth responds: The global polishing fluid market is maintaining a steady growth trend. Demand for high-end semiconductor polishing materials, such as those for AI chips and memory-wafer capacity expansion, continues to rise. Going forward, high-end, refined and green development will become the main theme. The localisation rate of specialised polishing fluids for China’s high-end integrated circuits will increase significantly, while demand for polishing in conventional optics and panels will grow at a moderate pace. The company ranks first in the industry in both production and sales volume and market share in the rare earth polishing materials sector, with its three polishing powder production enterprises covering high-end, mid-end, and low-end segments. In the rare earth polishing materials field, the company has multiple advantages in scale, technology, and upstream-downstream industry chain integration, enabling it to quickly respond to demand from various downstream application fields, achieve steady growth in production and sales, and continuously increase the share of high-value products, holding a leading position in the industry. The company is deeply involved in national strategic scientific and technological breakthroughs, has led the formulation of multiple national and industry standards, completed national-level scientific research projects such as the “863 Program” and “Torch Program,” holds 4 invention patents and 6 utility model patents, and its core technical indicators have reached internationally advanced levels. With self-developed cutting-edge technology, its products are renowned in and outside China for uniform particle size, high polishing efficiency, and strong suspension, and are widely used in manufacturing fields such as liquid crystals, hard disk glass substrates, curved and flat cover glass for mobile phones, crystal and rhinestone ornaments, traditional optical and precision optical components, semiconductor photomasks, and integrated circuits. Q: What is the proportion of externally purchased ore in the company’s raw material supply? China Northern Rare Earth responded: The rare earth raw materials required for the company’s production mainly come from the Baiyun Obo mine, the world’s largest co-existing ore containing rare earths and other elements. The company’s proportion of externally purchased ore is very small and is dynamically adjusted based on production line conditions, market prices, downstream client demand, and other factors. China Northern Rare Earth’s semi-annual performance forecast shows: According to preliminary estimates by the company’s financial department, net profit attributable to shareholders of the parent company in H1 2026 is expected to be RMB1.98 billion to RMB2.06 billion, an increase of RMB1.05 billion to RMB1.13 billion compared with the same period last year (statutory disclosed data), up 112.74% to 121.33% YoY. Net profit attributable to shareholders of the parent company after deducting non-recurring gains and losses in H1 2026 is expected to be RMB1.99 billion to RMB2.07 billion, an increase of RMB1.093 billion to RMB1.173 billion compared with the same period last year (statutory disclosed data), up 121.90% to 130.82% YoY. The main reasons for the expected year-on-year increase in performance: In H1 2026, the company served the national rare earth resource strategy and fully implemented the requirements for security management and control of the rare earth industry chain. Affected by factors such as constrained raw material supply, multi-point release and sustained growth of downstream demand, rare earth product prices showed an overall strengthening trend and consolidated. Focusing on the annual production and operation targets, the company planned holistically and implemented comprehensive measures, strengthened overall budget management, coordinated cost reduction and efficiency improvement, scientifically arranged production scheduling, intensified marketing operations, deepened reform and innovation, enhanced group management and risk prevention and control, advanced the deep integration of professional management, lean management, and 5S management at a high quality, promoted the construction of key projects, accelerated the development of new quality productive forces through management and scientific research innovation, and provided solid support and assurance for achieving good operating results with strong industry chain value creation capability and core competitiveness. The Company scientifically refined production organization and operations, and the production of rare earth smelting and separation products, rare earth metal products, and rare earth new materials all reached record highs for the same period; the Company’s subsidiary, Inner Mongolia Northern Rare Earth Magnetic Materials Co., Ltd., achieved revenue of approximately 9.5 billion yuan in H1, up about 107% YoY, maintaining growth for three consecutive years; its subsidiary Inner Mongolia Xi'ao Ke Hydrogen Storage Alloy Co., Ltd. officially put into operation the first batch of 1,000 hydrogen-powered two-wheelers in Baotou, with cumulative safe driving mileage reaching 170,000 km, achieving notable demonstration results. The Company persisted in benchmarking against advanced internal and external practices to tap internal potential, strengthened lean management, and significantly improved multiple economic and technical indicators. Based on precise measures for each business segment: the smelting and separation segment overcame new production cost changes brought by rising prices of raw and auxiliary materials, effectively managed cost fluctuations, scientifically organized production scheduling, and ensured supply to meet new product demand; the rare earth metal segment took the reinforcement of lean production concepts as a starting point, used digital and intelligent means to further strengthen on-site process operation management, and drove new breakthroughs in economic and technical indicators such as quality and material ratios; the rare earth new materials and applications segment fully leveraged the advantages of new capacity, precisely aligned with client needs, and achieved new progress in driving sales through production. Deepening industry chain synergy and coordination, while ensuring stable product supply, it solidified the foundation of downstream client cooperation. The Company closely followed market demand, strengthened marketing management, optimized sales structures, client credit evaluations, and product account period management, adjusted and shortened account periods by category, secured the fundamental base with long-term agreement orders, and met differentiated market demand through retail. Sales of rare earth metals and magnetic materials steadily increased, achieving full coverage of top-tier players in magnetic materials; sales of lanthanum-cerium products increased YoY, further digesting historical inventory; polishing material sales increased YoY; developed 5 new pieces of equipment and 20 customized and specialized new products, continuously expanding product application scenarios. The Company efficiently advanced key project construction, continuously enhancing its intelligent and informatization level. The first phase of the rare earth green smelting upgrade and transformation project has been put into operation, with all production lines fully connected, and the second phase construction progressing in an orderly manner; industry chain projects such as mergers and acquisitions, joint ventures, and capacity expansion for rare earth metals, magnetic material alloys, magnets, and secondary resource utilization are accelerating their implementation. The secondary resource utilization project achieved volume growth and quality-efficiency improvements; the Company's digital and intelligent transformation pace quickened, with its digital and intelligent level continuously improving. Regarding the 2026 business plan, China Northern Rare Earth announced in its 2025 annual report that: 2026 is the opening year of the "15th Five-Year Plan", and is an important year for the Company to advance high-quality development and accelerate building itself into a world-class rare earth leader. The company will adhere to the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, focus on forging a strong sense of community for the Chinese nation, fully implement the guiding principles of the 20th National Congress of the Communist Party of China and all plenary sessions of the 20th Central Committee, and carry out the important speeches and instructions of General Secretary Xi Jinping on Inner Mongolia and the rare earth industry, as well as the decisions and deployments of higher authorities including the Inner Mongolia Autonomous Region and Baotou City. It will uphold the general principle of pursuing progress while ensuring stability, fully, accurately and comprehensively apply the new development philosophy, bravely fulfill its responsibilities and missions, steadily improve operational quality and efficiency, build an industrial system covering all elements and categories, promote the deep integration of technological and industrial innovation, accelerate the pace of deepening reforms, enhance modern governance capabilities, continuously strengthen core functions and improve core competitiveness, speed up the development into a world-leading rare earth enterprise, ensure a good start and solid first steps for the "15th Five-Year Plan" period, and make new and greater contributions to the construction of the "Two Rare Earth Bases." Main production and operation targets for 2026 (these targets are solely planned objectives; whether they can ultimately be achieved is uncertain and does not constitute a substantive commitment to investors; investors and relevant parties should maintain sufficient risk awareness and understand the differences among plans, forecasts, and commitments): achieve operating revenue of over 44 billion yuan and total profit of over 3.5 billion yuan. On the premise of meeting operational targets, employee income will be linked to corporate economic benefits and labor productivity in the same direction. A review of the SMM Pr-Nd oxide price trend in H1 shows that the average price of Pr-Nd oxide on June 30 was 742,500 yuan/mt, up 136,000 yuan/mt from 606,500 yuan/mt on December 31, 2025, representing an H1 increase of 22.42%. The average price of Pr-Nd oxide in H1 this year was 740,530.17 yuan/mt, compared with an average of 430,952.99 yuan/mt in H1 2025, a YoY rise of 309,577.18 yuan/mt, or 71.84%. According to SMM quotes, on July 27, the average price of Pr-Nd oxide was 765,000 yuan/mt, up 0.99% from the previous trading day. For the rare earth market outlook, in the short term, amid a stalemate in the tug-of-war between upstream and downstream, Pr-Nd product prices are expected to move sideways within a narrow range, with limited room for significant upward or downward movement. Supporting factors come from the supply side — recently some raw ore separation enterprises have suspended operations, production at scrap recycling enterprises remains persistently low, and overall oxide supply is relatively tight, forming bottom support for prices. Pressuring factors come from the demand side, as new orders for magnetic material enterprises are unlikely to recover quickly in the short term, buyers have low acceptance of high prices, and the market lacks sustained upward momentum. For heavy rare earths, after experiencing adjustments this week, dysprosium and terbium are expected to gradually stabilize as major players step in to purchase. From a medium-term perspective, most industry participants hold expectations for a demand recovery in the traditional peak season at the end of Q3, and coupled with the likely improvement in new export orders, the rare earth price center still has the potential to edge upward steadily after a period of consolidation. However, in the short term, close attention must be paid to the pace of downstream restocking and the purchasing moves of top-tier players. Recommended reading:

[Magnesium ingot offers tick up slightly, but sluggish deals indicate the uptrend is unlikely to sustain] The magnesium ingot market held up well today, with suppliers holding prices firm to around 16,000 yuan/mt. However, demand remained mediocre, and purchases both in and outside China were cautious. Only small volumes of essential demand were followed, and transactions failed to pick up notably.

[Turkey] Dragged by weak export activity, domestic HRC sales pressure in Turkey intensified this week, with mainstream mills' offers dipping further to 585-590 USD/tonne EXW. EU quota limits kept Turkish HRC export trading subdued, and, facing fierce competition from low-priced Chinese and Russian material overseas, Turkish HRC export offers fell to 580 USD/tonne FOB. On imports, low-priced Vietnamese material diverted last week amid EU quota adjustments flooded into Turkey, sharply squeezing the trading space for Chinese resources.

According to Tata Steel, UK sites become unsustainable after the new tariff quotas applied for raising the amount of some types of steel that could be imported. Actually, the tariff quotas will minimize the steel from India, China, etc. However, because of the new tariff quotas, the Vietnam galvanized steel’s quotas are tripled. Tata spokeperson already tell that UK can be unsustainable due to the quotas that can flooding UK field.