SMM, June 12: This week, prices across the cobalt products complex continued their downward trend. Refined cobalt fell by 16,500 yuan/mt in a single week, while in the cobalt salt segment, spot quotes declined to varying degrees across the board except for cobalt sulphate, which held stable temporarily. Weak downstream demand was a key factor behind the relentless slide in prices for products along the cobalt industry chain... SMM has compiled this week's price changes for cobalt products as follows: : SMM spot price data showed that refined cobalt spot quotes moved lower this week. As of June 12, spot refined cobalt was quoted at 385,000-412,000 yuan/mt, with an average of 398,500 yuan/mt, down 16,500 yuan/mt from 415,000 yuan/mt on June 5, a decline of 3.98%. According to SMM, the price decline this week was driven by two main factors: first, during mid-week, ex-China price reporting platforms slashed the low-end price for cobalt intermediate products, weakening market sentiment and dragging down refined cobalt prices; second, this triggered forced stop-loss liquidation by some funds, further accelerating the magnitude of the pullback. From a supply-demand perspective, on the supply side, EXW prices from mainstream smelters held at 422,000 yuan/mt. After the rapid drop in refined cobalt prices, most traders suspended quoting, with only a small number of hedging traders selling limited cargoes at a slight premium to futures. On the demand side, the persistent downtrend suppressed downstream purchase willingness, with alloy and magnetic material enterprises mostly choosing to hold off on purchases and stay on the sidelines, in a "rush to buy amid continuous price rise and hold back amid price downturn" mentality. In the short term, the market is likely to remain in a volatile state under pressure; a stabilization in refined cobalt prices still depends on a return to stability in other cobalt products, particularly cobalt salts. For the raw material cobalt intermediate product, SMM spot price data showed that spot quotes for cobalt intermediate products edged down $0.1/lb this week to $24.9-25.5/lb, with an average of $25.2/lb, down 0.4% from June 5. On the supply side, quotes from mainstream miners and traders remained in the $25.5-26/lb range. Small volumes of lower-quality material changed hands at sub-$25/lb levels during the week, but the impact on mainstream prices was relatively limited given the significant quality discount and limited trading volume. In terms of shipments, the approval of Q1 2026 quotas continued to progress slowly due to complicated procedures. Coupled with tight local logistics in the DRC and the lower priority assigned to cobalt raw material shipments, the arrival of bulk cargoes at ports was further delayed, with current estimates pointing to a mass port arrival around August . In the short term, demand-side support remained weak, and prices may mainly move sideways. For the market to stabilize and strengthen going forward, it still depends on downstream demand recovery and the restoration of cobalt salt prices. Cobalt salt market ( and ): : According to SMM spot quotes, cobalt sulphate spot prices remained stable this week. As of June 12, cobalt sulphate spot quotes held steady at 88,000-92,000 yuan/mt, with an average of 90,000 yuan/mt, unchanged from June 5. In the spot market, according to SMM, the cobalt sulphate market atmosphere was sluggish this week, with the tug-of-war between upstream and downstream continuing and prices staying generally stable. On the supply side, mainstream smelters continued to hold prices firm, with the quotation range maintained at 88,000-92,000 yuan/mt. Some recycling smelters and traders, affected by cash flow pressures, lowered offers on small volumes of low-priced cargoes to 84,000-85,000 yuan/mt. On the demand side, the continued gradual price decline suppressed downstream purchase willingness, with some enterprises' target prices at only 81,000-82,000 yuan/mt, a large gap from sellers' offers that made actual transactions difficult. In the short term, cobalt sulphate prices are likely to remain in the doldrums, with market stabilization and recovery still awaiting the substantial release of concentrated downstream restocking demand. market: According to SMM spot quotes, cobalt chloride spot prices stabilized this week after falling 100 yuan/mt on June 11. As of June 12, cobalt chloride spot quotes ranged from 110,000 to 115,000 yuan/mt, with an average of 112,500 yuan/mt, a decline of 0.09% from June 5. In the spot market, according to SMM, the cobalt chloride market was overall sluggish this week. On the supply side, as the mid-year period approached, some enterprises continued to offer discounts to sell in response to performance and cash flow pressures, but downstream purchasing capacity was limited, and price cuts did not result in substantial volume increases. The market remained trapped in a passive volume discount situation. Top-tier players maintained their stance of holding prices firm, unwilling to sell at low prices, which provided bottom support for prices. On the demand side, end-user orders were weak, overall downstream stockpiling motivation was insufficient, and purchases remained wait-and-see. Overall, June cobalt chloride prices continued on a gradual weakening trend, with further downside in the short term. market: According to SMM spot quotes, the Co3O4 spot price fell by 1,500 yuan/mt on the last trading day of this week, to a range of 341,000-350,000 yuan/mt, with an average of 345,500 yuan/mt, a decline of 0.43% from 347,000 yuan/mt on June 5. Meanwhile, the Co3O4 spot market remained sluggish. From the supply-demand perspective, on the supply side, enterprises generally struggled to hold their offers, continuously selling at lower prices. However, driven by a mentality of “rush to buy amid continuous price rise and hold back amid price downturn,” successive price cuts intensified downstream wait-and-see sentiment, further suppressing purchase willingness. On the demand side, LCO producers still focused on customer-supplied materials and long-term contract deliveries, while spot demand continued to shrink, and the weak end-user market had begun to slow cargo pick-up under long-term contracts. In the short term, a market turnaround is unlikely, and against the backdrop of loosening cost support and inelastic demand, SMM expects the Co3O4 price center to continue shifting downward. In news, on corporate developments, according to Webstock Inc., on Thursday, June 11, Madagascar’s Ambatovy Mining announced that it had restarted production following a cyclone disaster in February and plans to produce 2,500 mt of nickel in June. Ambatovy added that cobalt production this month is expected to be around 250 mt. It is reported that the Ambatovy mine produces nickel briquettes and cobalt briquettes. In 2025, the mine’s nickel production was approximately 29,000 mt, and cobalt production about 2,700 mt. Tengyuan Cobalt, when responding to investor inquiries in early June, mentioned that as of the end of Q1 2026, the company already had 60,000 mt of copper product capacity and 31,500 mt in metal content of cobalt product capacity. GEM, during an investor survey on June 10, was asked “whether there is any quality difference between critical metals such as nickel, cobalt, and lithium extracted through the recycling system and those from virgin ore.” In response, GEM stated that after deep purification, the purity and performance indicators of critical metals such as nickel, cobalt, and lithium are fully consistent with the requirements of battery material production, and there is no quality difference. At the same time, the metal enrichment degree (grade) in “urban mines” such as power batteries is usually higher than that in natural mines, offering significant advantages in resource value and utilization efficiency. It is worth noting that at the , SMM Vice President Wang Cong mentioned when discussing cobalt resources that for the past several years, the DRC had always been the core supplier of global cobalt resources, but since last year's policy adjustments, Indonesia's share of cobalt production has increased significantly. Looking ahead over the next decade, the market share of cobalt contained in Indonesian MHP is expected to continue expanding, and the global cobalt supply landscape is evolving from a single-center structure centered on the DRC to a dual-center structure with both the DRC and Indonesia.

This week, ferrous metals experienced divergent and volatile movements. At the start of the week, the four major stock indices all closed lower. Coking coal futures showed strong performance, with the most-traded contract 2609 hitting a high of 1,486.5 yuan/mt, while ore and steel futures trended weaker. Subsequently, hit by news about Shaanxi authorities ensuring coal supply for enterprises, coupled with persistently weak steel consumption, supply-demand imbalances gradually built up, leading to a sharp decline in coking coal and coke futures. In the latter half of the week, on the one hand, news of iron ore shipments and tightening market liquidity drove a stronger performance in its futures; on the other hand, the escalation of coking coal supply tightness once again pushed up coking coal, coke, and hot-rolled coil and rebar futures prices. In the spot market, the sixth round of coke price increases was implemented mid-week......

1. Thailand & South Korea Markets: Prices climb steadily, bolstered by upbeat expectations for long-term contract premiums CIF quotations and transaction prices of aluminum ingots in Thailand and South Korea moved higher overall this week. The backwardation of LME spot aluminum against the three-month contract narrowed notably. Market optimism over higher Q3 QMJP long-term contract prices continued to build. Sellers lifted spot quotes amid rising costs, pushing transaction prices up accordingly during the week. End-product manufacturers in Southeast Asia and South Korea have extensively adopted Chinese exported aluminum products as raw material substitutes, curbing import demand for primary aluminum ingots. Most downstream players only conduct sporadic restocking based on immediate needs, with little willingness for large-scale inventory buildup. The market has therefore seen a trend of strong prices amid sluggish trading activity . 2. Japan Market: Tight spot supply drives sharp premium hikes; buyers become more price-tolerant Japan’s MJP spot premiums kept climbing this week, mainly driven by acute domestic spot shortages. The Middle East, Japan’s major source of imported aluminum ingots, has delivered lower shipments year-on-year due to geopolitical tensions, shipping disruptions and constrained delivery schedules. No other producing regions can make up the supply gap on a meaningful scale, keeping domestic tradable spot inventories at persistently low levels. Faced with tight supply, Japanese end-users have softened their price stance and grown more receptive to spot cargoes with steep premiums. Meanwhile, bullish expectations for Q3 long-term contract premiums have spilled over to the spot market. The combined factors have pushed Japan’s spot premiums to sharply elevated levels.

Korean company PKC announced that it has made its first shipment of 20 tonnes of phosphorus trichloride (PCl₃) produced at its Saemangeum Plant 1. The shipment was supplied as a paid sample for approval to a global top-tier fine chemical materials company specializing in high-performance antioxidants. The customer plans to use the material as a test feedstock in its antioxidant production process and begin full-scale quality verification. PKC’s phosphorus trichloride (PCl₃) and phosphorus pentachloride (PCl₅), which are being mass-produced at Saemangeum Plant 1, are key raw materials used in secondary battery electrolytes and fine chemical products.

[SMM Analysis] Stainless Steel Off-Season Demand Combined with Macro Turbulence: Prices and Costs Pulled Back in Tandem, Narrowing Steel Mill Profits This week, stainless steel prices and production costs pulled back in tandem, slightly narrowing steel mill profit margins. Using 304 cold-rolled coil as the calculation benchmark, the profit margin based on current raw material costs was 2.23%, while the profit margin based on inventory raw material costs was 1.31%. On the nickel-based raw material cost side, high-grade NPI prices continued to pull back this week. Dragged down by the decline in SHFE nickel prices during the week, coupled with the heightened cost advantage of stainless steel scrap, expected production schedules at stainless steel mills dropped, reinforcing a strong desire to bargain down prices. High-priced transactions encountered resistance, keeping high-grade NPI prices in the doldrums. As of this Friday, mainstream 10%-12% grade high-grade NPI rose by 0.5 yuan per nickel unit, closing at 1,144 yuan per nickel unit. In the stainless steel scrap market, prices remained largely stable this week. The pullback in high-grade NPI prices caused the raw material side to weaken, making it difficult to drive prices upward. However, a rebound in stainless steel futures and limited declines in finished product spot prices provided a counterbalancing force that supported prices. The industry has now entered the off-season for consumption, with steel mill production schedules and profits both sliding. Combined with rising uncertainty in the macro environment, bearish risks are gradually accumulating, and prices are expected to face downward pressure going forward. As of this Friday, mainstream 304 off-cuts in the Shanghai region gained 100 yuan/mt, with the latest quotation at approximately 10,450 yuan/mt. On the chrome-based raw material cost side, high-carbon ferrochrome prices edged down this week. Chrome ore port inventories remained at historically high levels, and prices gradually pulled back, weakening the cost support for high-carbon ferrochrome. Additionally, ferrochrome producers still had profit margins at present, and production declines……

From June 3 to June 5, the Indonesia Critical Minerals 2026 was held at the Pullman Jakarta Central Park in Jakarta, Indonesia. The conference was organized by Shanghai Metals Market (SMM) and co-organized by the Indonesia Nickel Miners Association (APNI) , the Ministry of Foreign Affairs of the Republic of Indonesia , the National Economic Council of Indonesia , and MMR , with a strategic partnership established with the Jakarta Futures Exchange . The conference featured six dedicated forums: the main forum, the nickel and cobalt forum, the tin forum, the coal & energy transition forum, the aluminum forum, and the sub-forum, bringing together 3,500+ attendees from 45 countries and regions worldwide, with 120+ speakers sharing their insights on market prices, supply-demand patterns, industry policies, low-carbon development, and ESG construction, etc. Additionally, SMM has also meticulously arranged two rounds of panel discussions: Senior Executives' Roadmaps to Overcome Resource, Cost, Technology & ESG Challenges The "Green Premium" Myth vs. Reality: Who Will Pay for Decarbonization in the Critical Minerals Supply Chain? Conference Background In recent years, global nickel and cobalt raw material supply has frequently encountered various disruptions: Indonesia significantly lowered its nickel ore mining quota to 260–270 million mt, tightening nickel resource release at the source; the DRC continuously reduced cobalt ore export quotas, leading to a marked contraction in tradable cobalt raw materials worldwide. Multiple supply variables continued to roil nickel and cobalt commodity futures. Meanwhile, Indonesia is not only the core hub of the global nickel industry chain but also a key production area for global new cobalt supply at this stage. Its industrial control policies, commissioning pace of capacity, and industry chain layout changes directly shape the evolution of the global nickel-cobalt supply-demand pattern. Currently, the global nickel and cobalt industry is at a critical development stage featuring supply-demand restructuring, policy innovation, and value reassessment. To accurately forecast the nickel and cobalt market trends in 2026, deeply analyze the latest industrial control details in Indonesia, and help the upstream and downstream of the industry chain break down collaboration barriers, the Nickel and Cobalt Forum was launched. The forum brought together global mines, smelters, trading firms, downstream end-users, and investment and financing institutions to conduct in-depth discussions on key topics such as market supply and demand trends, policies and regulations, production technology iteration, and cross-border industrial cooperation, jointly exploring new growth drivers for high-quality industry development. Click to view the conference photo gallery June 4: Keynote Speeches Keynote Speech: Mining Regulatory Outlook: RKAB Quota Planning and Indonesia's Next-Phase Downstream Mineral Expansion Path Guest Speaker: Totoh Abdul Fatah, Secretary General of the Directorate General of Mineral and Coal, Ministry of Energy and Mineral Resources Totoh Abdul Fatah noted that RKAB is the key policy instrument for Indonesia to regulate mineral output, coordinate the orderly rollout of industries, and align with the nation's downstream industrialization priorities. Indonesia is endowed with exceptional mineral and coal resources, with significant reserves and capacity in several key strategic commodities including nickel, cobalt, copper, tin, bauxite, gold and silver, and iron ore. Leveraging these unique resource advantages, Indonesia holds a critical strategic position in the global mineral supply chain, and its value is especially prominent in the energy transition wave, providing strong support for the development of power batteries, renewable energy equipment, and high-end manufacturing. The next phase of downstream mineral development is not about curbing growth, but about improving development quality, clarifying development direction, strengthening regulatory management, and reinforcing the sustainability of growth. Future smelter layout must match ore supply capability, be aligned with resource conservation, and coordinate multiple factors including energy infrastructure readiness, environmental protection access standards, and domestic industry value addition. In light of these considerations, the Indonesian government is promoting an industrial logic shift from pure capacity expansion to strategic optimization of resource allocation, ensuring that mineral resources are precisely directed to industry segments that can maximize national economic benefits. Indonesia's downstream mineral industrialization has made concrete progress. Currently, 14 smelters are in operation, primarily producing products such as nickel oxide, pig iron, and copper cathode. Covering both existing operating plants and new projects under construction, the entire industry chain has attracted a total realized investment of $7.849 billion. Breakdown: nickel sector investment of $2.535 billion, aluminum sector $2.181 billion, iron ore projects $47 million, and copper sector $3.084 billion. This is continuously improving the supporting system of the domestic mineral industry chain. This progress demonstrates that Indonesia's downstream mineral policy has achieved tangible results. However, challenges remain for the industry: not only must new smelting projects be completed and commissioned on schedule, but they also require stable supporting supply to achieve efficient operations, green and low-carbon production, and deep integration into the domestic industry chain value system. Indonesia's development direction is very clear: the downstream transformation of minerals will continue to advance, and during the implementation process, policy enforcement constraints and top-level strategic guidance will be further strengthened. The RKAB management system and ore source allocation control rules are key to building a robust and more resilient industrial ecosystem. Future smelting project planning needs to coordinate four key dimensions: sustainable resource development, supply-demand market equilibrium, ESG compliance implementation, and enhancement of national value added. Indonesia has always been open to quality investment, especially quality investment, relying on foreign capital to achieve technology transfer and localization, expand local employment, and support long-term economic growth. In other words, Indonesia's industrial development not only pursues growth, but is committed to achieving high-quality growth that is compliant, sustainable, and globally competitive. Keynote Speech: Nickel at a Crossroads：A Five-Year Outlook on Global Nickel — Navigating Policy, Supply, and Demand Shifts Speaker: Thomas Feng, Head of Industry Research, Shanghai Metals Market Feng projects that the global primary nickel market will show a supply deficit in 2026, continue the oversupply trend in 2027, and shift to a tight balance in 2029. Regarding refined nickel prices, on the cost side, global sulfur supply and demand will face a persistent deficit in the next 2–3 years. In the case of short-term strait blockades, sulfur prices remain high, strengthening the cost support for the sulfur-MHP-refined nickel chain. From a macro perspective, the U.S.-Israel-Iran conflict has triggered wild swings in energy prices, pushing up inflation expectations. In the short term, global commodity prices will face considerable fluctuations. In the long term, global geopolitical uncertainty may become the new normal in the future, increasing the volatility of refined nickel prices. Nickel Ore Upstream Repricing: Indonesia's Benchmark Price Raise, Quota Tightening, and Increased Dependence on the Philippines Indonesia Nickel Ore RKAB Quotas: Tight Balance Emerges as the 2026 Main Theme According to SMM analysis, following the Indonesian Ministry of Energy and Mineral Resources' (ESDM) official denial of market rumors that RKAB production quotas would be raised across the board by 25%–30%, the government will handle supplementary quotas under strict case-by-case reviews starting from H2 2026, evaluating each miner's compliance, capacity, and resource reserves. At its core, this constitutes a routine and orderly optimisation of the existing 260–270 million wmt quota cap, paving the way for a more stable and sustainable market environment. Supply RKAB Approval Progress: As of April, Indonesia's cumulative approved RKAB quotas stand at 240 million wmt. SMM expects that, under expectations of continued nickel ore supply tightening, supplementary quotas around mid-year 2026 will be approximately 15%. Philippine Import Driver: SMM expects that this year, Indonesia's nickel ore imports from the Philippines will rise from approximately 15 million in 2025 to 22 million. Tightness in the domestic trade nickel ore supply will accelerate supplementation through imports from the Philippines. Demand Affected by the tight sulphur supply, MHP output has fallen short of earlier expectations. As a result, Indonesia's nickel ore demand for full-year 2026 is expected to be reduced to 303 million wmt. In 2026, actual nickel ore production will remain constrained by factors such as the rainy season and the pace of RKAB quota approvals, leaving overall output below theoretical supply levels. Panel Discussion: Upstream Opportunities & Challenges for Nickel Mine Owners Moderator: Enzo Brooklyn, Senior Nickel Analyst, SMM Panelists: Luca Maiotti, Policy Analyst, Organisation for Economic Co-operation and Development (OECD) Aldo Namora, President Director, PT Ceria Metalindo Prima Jerome Baudelet, CEO, Eramet Indonesia Patrick Lim, Country Head, HyperStrong Indonesia Keynote Speech: Achieving Energy Efficiency and Operational Success: The MMD Approach at Mah Moe Speaker: Fuad Budidarma Pratama, General Manager, MMD Mining Machinery Indonesia Keynote Speech: Global Nickel Market Outlook Speaker: Ricardo Ferreira, Director of Market Research and Statistics, International Nickel Study Group (INSG) Ricardo Ferreira noted that global primary nickel production is estimated to have declined by approximately 4% YoY, measured across the full chain from raw ore mining to finished primary nickel products. Most of this decrease originated from Indonesia, while expectations also pointed to a pullback in Chinese nickel output. According to the monthly bulletin released earlier, global primary nickel already edged down by about 1% in Q1, with Indonesia down roughly 3% and China down about 1%. Keynote Speech: New Refining Technologies for Laterite Nickel and Spent Batteries Speaker: Dr. Chunwei Liu, Managing Director of Resource Extraction, Botree Recycling Technologies Distribution of Laterite Nickel Ore Resources Laterite nickel ore accounts for 55% of global nickel resources and is the main source of nickel for industrial production worldwide. With the continuous development and promotion of high-nickel batteries, market demand for nickel—and consequently for laterite nickel ore processing—has grown significantly. Geographic concentration: Mainly distributed in tropical countries within 30° north and south of the equator. Three core regions: Southeast Asia: Indonesia, the Philippines (major laterite nickel ore producing areas). Americas: Cuba, Brazil. Oceania: Australia, New Caledonia. Panel Discussion: Nickel Price Volatility, Product Spreads, and Policy Shifts: What Will Define the Market in the next 5 years? Moderator: Slupek Kamila, Secretary-General, INSG Panelists: Jim Lennon, Analyst, Macquarie Septian Hario Seto, Member, National Economic Council Republic of Indonesia Denis Sharypin, Strategic Marketing Director, Norilsk Nickel Edric Koh, Head of Corporate Sales, Asia, London Metal Exchange Mark Selby, CEO & Director, Canada Nickel Company Keynote Speech: Korean Battery Supply Chain Strategy and Indonesia's Role Speaker: James (IKHWAN) Choi, Country Manager, Korea Office, SMM Korea Office Keynote Speech: Retreat or Evolve? The Counter-Attack of High-Nickel Batteries under the LFP Siege: Solid State, 4680, and the "Range Anxiety" Premium Speaker: Jared Zhu, Head of Consulting, Renewable Energy & Non-ferrous Metals, Shanghai Metals Market Jared noted that LFP batteries have steadily increased their market share in power battery and energy storage markets in recent years. With the rapid development of emerging sectors such as humanoid robots, industrial robots, and electric vertical take-off and landing vehicles (eVTOL), ternary batteries, leveraging their performance advantages, are more competitive than LFP batteries. Solid-state batteries are regarded by the industry as a must-win field for future competition, but it is worth noting that this new technology, capable of rewriting industry rules, still has a long development cycle before full commercialization. Positioning in the LFP Era LFP Accelerates Replacement of Ni-Co-Mn in Energy Storage and EVs, Leading in Scale and Growth SMM forecasts the global share of EV power battery types from 2026 to 2027, expecting LFP batteries to account for around 68% in 2026, with that ratio rising to about 70% in 2027. For ESS battery types, from 2022 to 2025, the share of LFP batteries in global ESS batteries continued to rise, and in 2026, it is expected to increase to around 99%. Keynote Speech: QMAG - Market Leader of Calcined Magnesia for Nickel/Cobalt MHP Production Speaker: Christoph Beyer, Managing Director of Queensland Magnesia (QMAG) Dr. Keynote Speech: Cobalt in Focus: Powering the Next Chapter of Critical Minerals Speaker: Dinah McLeod, Director General, Cobalt Institute June 5: Nickel and Cobalt Forum Keynote Speeches Keynote Speech: Balancing Risk and Reward: Investing in Indonesia's Nickel and Cobalt Value Chain Speaker: Izzie Huo, Senior Research Fellow, Shanghai Metals Market Panel Discussion: Too Much Nickel? Balancing Oversupply Risks with Long-Term Investment in Indonesia Moderator: Jean Tang, Commercial Director, Shanghai Metals Market Panelists: Ali Safdar, Managing Director & Partner, BCG (Boston Consulting Group) Arif Perdana Kusumah, Chairman, Forum Industri Nikel Indonesia (FINI) Ditya Maharhani Harninda, Senior Vice President Corporate Banking 2, PT Bank Negara Indonesia Tbk (Persero) Keynote Speech: Valve Solutions for Severe Service in HPAL Speaker: Changsong Deng, President of International Business Division, ANTIWEAR Keynote Speech: Breaking the Import Dependency: Economics and Feasibility of Pyrite-based Acid Production for Indonesia's HPAL Supply Chain Speaker: Bede Beresford Evans, President Director, PT Sumbawa Timur Mining Keynote Speech: Key Technology and Economic Analysis of AI Power Microgrid Solutions in Mining Speaker: Frank Qi, CEO, Ai Power (Suzhou) Technology Co., Ltd. Keynote Speech: Value of Analytical Solutions in Mining Processes Speaker: Toh Tiong Yen, Sales Manager, Malvern Panalytical Keynote Speech: New Caledonia's Nickel Landscape Speaker: Gabriel Bensimon, Special Advisor to the President of the Government on Nickel and Mining-Related Matters, The Gouvernment of New Caledonia Keynote Speech: Global Flow of Nickel from Mining to End-Use Speaker: Dr. Steukers Veronique, President, Nickel Institute Primary nickel production is now dominated by Indonesia. In 2025, Indonesia produced around 50% of the world's primary nickel, compared to just 6% a decade earlier. Primary nickel production in the rest of the world declined. In 2025, primary nickel production in the rest of the world, excluding Indonesia and China, accounted for just over 20% of the global total, down from 65% a decade earlier. Indonesia and China are the core driving forces shaping the global nickel supply chain landscape. From the perspective of nickel product circulation structure, NPI, backed by Indonesia's capacity advantage, firmly dominates the circulation mainstream; in terms of global nickel raw material supply by grade, Class 2 nickel accounts for approximately 58%, Class 1 nickel for just under 30%, and nickel chemical products for the remaining around 13%. Panel Discussion: Meet the future of ESG: Standard, Challenges and Opportunities in Mining and Processing Moderator: Katz Benjamin, Policy Analyst, OECD Panelists: Dr. Chris Schlekat, Executive Director of NIPERA, Nickel Institute Ning Wang, Manager, Sustainable Development Department, China Chamber of Commerce of Metals, Minerals & Chemicals Importers & Exporters Yumo Li, Head of ESG Office in Tsingshan Board, Tsingshan Holding Group Vinícius Mendes Ferreira, Executive Advisor for Nickel Downstreaming, PT Vale Indonesia Fan Li, Sustainability and ESG Services Manager, dss+ Tom Fairlie, Senior Sustainability Manager, Cobalt Institute

From June 3 to June 5, the Indonesia Critical Minerals 2026 was held at the Pullman Jakarta Central Park in Jakarta, Indonesia. The conference was organized by Shanghai Metals Market (SMM) and co-organized by the Indonesia Nickel Miners Association (APNI) , the Ministry of Foreign Affairs of the Republic of Indonesia , the National Economic Council of Indonesia , and MMR , with a strategic partnership established with the Jakarta Futures Exchange . The conference featured six dedicated forums: the main forum, the nickel and cobalt forum, the tin forum, the coal & energy transition forum, the aluminum forum, and the sub-forum, bringing together 3,500+ attendees from 45 countries and regions worldwide, with 120+ speakers sharing their insights on market prices, supply-demand patterns, industry policies, low-carbon development, and ESG construction, etc. Conference Background In the process of global industrial upgrading, the strategic value of critical metals has become increasingly prominent, and Southeast Asia has gradually emerged as a highly dynamic segment of the global mining landscape. As a major regional mineral producer, Indonesia has successively introduced multiple industrial policies for critical metals such as nickel, tin, aluminum, and copper, adjusting and optimizing areas including mining quotas, pricing mechanisms, tax policies, export management, and domestic market obligation since 2026. These efforts are guided by the goals of improving the regulatory system, enhancing industrial added value, and optimizing resource revenues, and have had a significant impact on the global metal supply chain and market dynamics. As Indonesia’s premier flagship event for the mineral industry, this conference focuses on supply chain security of critical minerals including nickel, cobalt and tin, and adopts a dual-driven model of mining and energy. It commits to promoting Indonesia’s industrial upgrading from raw material export to high-value industrial chain development, while providing solid resource support and practical cooperation paradigms for regional and global energy transition. 》Click to view the photo gallery of the conference June 3: Main Forum Opening Ceremony Adam Fan, Chairman, Shanghai Metals Market Nanan Soekarna, Chairman, APNI Arif Havas Oegroseno, Vice Minister, Ministry of Foreign Affairs Ciyong Zou, Deputy to the Director General and Managing Director of the Directorate of Technical Cooperation and Sustainable Industrial Development, UNIDO (United Nations Industrial Development Organization) Sherly Tjoanda, Governor of North Maluku, North Maluku Government Todotua Pasaribu, Vice Minister, Ministry of Investement and Downstream Industry of Indonesia Drum Performance & Dance Show Opening Address Speaker: Adam Fan, Chairman of SMM Adam stated that this year marks the 4th year of the Indonesia Critical Minerals Conference. This flagship industry event is dedicated to building a global platform connecting Indonesia with the world. Empowering mineral resources through technology, the conference links producers and consumers to facilitate industrial chain and business cooperation. Boasting a record-high attendance, this year’s event gathers 3,500+ participants and 120+ speakers. The growing participation of global countries, enterprises and industry professionals demonstrates rising international trust and confidence in Indonesia’s critical mineral ecosystem. As cross-border collaboration is essential for building a robust global critical minerals supply chain, the conference strives to enhance supply chain transparency, interconnectivity and in-depth global industrial cooperation by pooling industry insights and resources. Speaker: Nanan Soekarna, Chairman of APNI Nanan Soekarna stated in his remarks that the 4th Indonesia Critical Minerals was the largest to date in terms of attendance, demonstrating the global industry’s full confidence in Indonesia’s minerals industry, cross-border cooperation models, and Indonesia’s roadmap for sustainable mining development, and he extended his sincere gratitude to all participating partners. He noted that the core of development in the critical minerals sector has shifted from a simple contest of resources and capacity to the transformation of the sustainable value of natural resources, balancing diverse economic, social, and environmental benefits. By deepening downstream industry chain expansion, Indonesia aims both to enhance industrial value-added and to build an international industrial brand and strengthen credibility in the global market. In the future, the core of global mining competition will not lie in resource reserves, but in transparent, responsible, and sustainable resource governance capabilities. Relying on global partners, Indonesia will uphold the philosophy of sustainable mining development and, through high-quality cooperation and shared value principles, work together to build the future of the critical minerals industry that balances ecology, benefits, and long-term development. Speaker: Arif Havas Oegroseno, Vice Minister, Ministry of Foreign Affairs Arif Havas Oegroseno mentioned that critical minerals are increasingly becoming a focal point of global geopolitical competition, with elements such as energy, minerals, and trade and economic rules being instrumentalized from time to time. Leveraging its domestic resource endowments, Indonesia is vigorously advancing downstream deep processing of minerals; this strategy is not limited to industrial upgrading, but is also a comprehensive development initiative that boosts employment, consolidates science and technology innovation capabilities, enhances industry chain resilience, and delivers inclusive gains from green development. In response to procurement demands from multiple parties, Indonesia adheres to a diversified cooperation approach by expanding a diverse range of procurement partners and promoting deeper participation by resource countries in technology R&D and industry chain value-added, thereby avoiding the risks of dependence on a single partnership. He also noted that for the future governance of critical minerals, ESG should truly become a competitive advantage for enterprises rather than a trade barrier, with its original purpose being to optimize environmental management, improve social responsibility, and empower enterprises to enhance quality and efficiency. In the face of a new round of industrial transformation, critical minerals serve as the core raw materials for energy transition, the digital economy, and the development of high-tech industries. Based on its resource endowment, Indonesia is determined to transform from a mineral resource producer into a reliable partner in the global industry chain and a co-builder of industry rules. It invites global investors, industry chain producers, and resource-producing countries to join hands, uphold the spirit of partnership, reject unreasonable additional conditions, and jointly build a new global pattern for critical minerals that is inclusive and universally beneficial. Keynote Speech: Investing in Critical Minerals Downstreaming: Unlocking the Full Value of Indonesia's Resources Guest Speaker: Todotua Pasaribu, Vice Minister, Ministery of Investment and Downstream Industry of Indonesia Pasaribu Todotua stated that against the backdrop of climbing global demand for critical minerals and concentrated resource origins, the strategic attributes of this category continue to stand out. Indonesia, leveraging its resource endowment, vigorously promotes the downstream transformation of the entire industry chain, which is a core national policy to boost the economy and optimize supply chain structures. Under the president's policy deployment, Indonesia has designated mineral deep processing as a pillar of industrial upgrading. The authorities have delineated 28 categories of strategic minerals across eight major sectors and estimated potential investment in related tracks at approximately $618 billion, which is expected to create 3 million new jobs annually upon implementation. The country has set investment attraction targets from 2024 to 2029, accompanied by annual implementation plans. The 2026 target is clear, and investment implementation progress in the first quarter has been steady. In recent years, downstream industry investment has accounted for nearly 30% of national fixed asset investment, becoming a key driver to boost the economy and helping the country sprint toward the 8% economic growth target by 2029. He introduced that Indonesia has already established downstream layouts in multiple critical mineral tracks, including nickel, tin, aluminum, copper, PV raw materials, and semiconductor raw materials. The nickel industry has extended from stainless steel production to the entire power battery industry chain, while the tin, aluminum, and copper sectors continue to expand into deep processing, electronic materials, and other high-value-added categories, synchronously deploying supporting industry chains for PV and semiconductors. To solidify the conditions for industrial implementation, Indonesia has optimized the business environment in three aspects: accelerating approval processes, providing infrastructure support, and offering policy incentives. It has shortened project approval cycles, improved supporting facilities for hydropower, ports, and transportation, and implemented supportive measures such as tax reductions and tariff preferences, continuously attracting global capital and technological cooperation. This drives the country's transformation from a raw material exporter to a high-value-added product manufacturer, relying on multi-party collaboration to convert local mineral resources into sustainable industrial benefits. Guest Speaker: Ciyong Zou, Deputy to the Director General and Managing Director of the Directorate of Technical Cooperation and Sustainable Industrial Development, UNIDO (United Nations Industrial Development Organization) Zou Ciyong said global demand for critical minerals continues to rise along with the rapid development of clean energy and digital industries, and the role of resource countries in ensuring stable mineral supply is becoming increasingly critical. Indonesia's transformation path from raw material extraction to deep processing can provide reference for resource countries in the Global South. Currently, mining development still faces multiple challenges such as environmental protection, carbon emissions, and livelihood supporting facilities. Sustainable development has become an imperative for the industry, which needs to balance economic benefits, green development and social inclusion. Leveraging its multilateral platform advantages, UNIDO empowers its member states in multiple dimensions, including industrial policy, technology transfer, investment and financing, and capacity building, promotes the establishment of a Global Green Mining Cooperation Alliance, and has implemented a demonstration project of the Indonesia Nickel Industry Eco-Industrial Park, using the project as a model to explore a sustainable development path for global mining. He pointed out that the long-term development of the critical minerals industry cannot be separated from in-depth international cooperation, and it is necessary to establish transparent public-private partnerships, build resilient supply chains, and uniformly implement common industry standards. Indonesia intends to join forces with partners from all sectors to tap the development potential of the industry, while insisting on placing environmental protection and sustainability at the forefront of industrial development. In the future, UNIDO will continue to engage with governments, industries and capital from multiple parties, working together to achieve coordinated economic, social and environmental benefits from mineral resources. Keynote Speeches Keynote Speech: Beyond Volume: How North Maluku Can Lead Indonesia’s Next Phase of Sustainable Downstream Growth? Guest Speaker: Sherly Tjoanda, Governor of North Maluku Province Sherly Tjoanda elaborated on how North Maluku can lead Indonesia's next phase of sustainable downstream development from the perspectives of geographical location, transportation advantages, skilled talent reserves, and the fact that North Maluku's nickel ore is high-grade ore. Keynote Speech: Two Decades of Critical Minerals: 2016-2036 - How Supply Structures Shape Market Dynamics Guest Speaker: Shirley Wang, VP, Shanghai Metals Market The Rule —Why resource-rich nations must process, not just mine A 1931 Question: Mine Today, or Wait? Hotelling gave mining a theoretical anchor. It was elegant — and incomplete. A rational resource-based country should ensure the rate of price increase is exactly equal to the return on investment (Interest rate) Four Reasons the Real World Departs from the Formula Substitution, policy shifts, demand surprises, and costs — each bends the expected path The Quiet Force Behind All of This Ore grades decline everywhere. Building downstream is not ambition. It is adaptation. Shirley analyzed this by comparing ore grades for nickel, tin, copper, alumina, and others for the years 2016, 2026, and 2036. ► Strategic Insight: Why Low-Grade Ore Is Changing the Rules • Continuously declining grades are forcing industrial upgrading and iteration. Deteriorating raw ore quality is driving mines and smelters to optimize production, increasing the utilization of low-grade ore, the application of new processes, and the recycling of secondary resources. • Pricing power is gradually shifting from trading markets to resource-rich governments. As high-grade mineral deposits are depleted, the impact of short-term supply and demand on prices weakens, and the pace at which resource-rich nations release supply becomes the core variable. Industry Mainline: Commonalities in Two Decades of Development Across Five Metals Nickel: Where One Country Anchors the Market Indonesia influences marginal incremental nickel supply, and the commissioning pace of its domestic industry dominates global nickel price movements. The analysis incorporated the global distribution of nickel mine capacity. Cost Structures Are Moving Apart RKEF costs face the steepest climb. Scale mattered yesterday. Cost discipline matters tomorrow. The Ore Base Is Quietly Shifting Looking at changes in the global nickel production cost structure, the primary low-cost raw material was high-grade primary nickel ore before 2015. From 2016 to 2026, the share of low-grade ore and laterite nickel ore mining has been climbing steadily. Currently, laterite nickel ore stands as the most cost-competitive raw material. As laterite nickel ore grades decline, future nickel production based on sulphide ore may increase. Keynote Speech: Indonesia's Green Nickel: From Us To The Next Generation Guest Speaker: Joseph Hong, President Commissioner, Neo Energy Keynote Speech: AI is NOT optional! Guest Speaker: Adam Fan, Chairman of SMM Adam noted that AI has become an essential requirement for the digital upgrade of the commodity industry. Leveraging a new AI technology system, SMM integrates macro and micro data, market intelligence, and industrial information through full-process intelligent processing, and with human-machine collaboration automatically generates in-depth industry reports — surpassing traditional manual approaches comprehensively in terms of timeliness, coverage, personalization, and depth of analysis. SMM has now deployed a mature industry AI solution: leveraging SMM’s massive database and customized AI capabilities, enterprises can enable intelligent inquiries, interactive reviews, and dynamic strategy simulations, accurately serving transaction analysis, production planning, and inventory strategies for non-ferrous metals such as cobalt, nickel, and copper. SMM AI Data Services offer a three-tier progressive intelligent solution for the metals industry: Instant Inquiry → Xiao Jin (Metrix): access real-time price trends and market insights, with data sourced from a premium subscription-grade database and insights calibrated by senior analysts; In-depth Research → Deep Report: a chapter-by-chapter analysis by product and region, featuring traceable charts and citations, and continuously updated as market conditions evolve; System Integration → MCP Data Services: covering over 200,000 real-time data indicators and more than 60 products across the entire industry chain, a single integration embeds the service into the enterprise AI framework. Keynote Speech: Indonesia's Post-Election Economy: Can the Country Sustain 5–6% Growth Amid Fiscal Pressures, Weak Export Prices and Heavy Industrial Power Subsidies? Speaker: Andre Simangunsong, Head of Mandiri Institute, Office of Chief Economist, Bank Mandiri Andre Simangunsong said Indonesia’s GDP grew by 5.6% in Q1 2026, with a full-year baseline forecast of 5.2%. The strong Q1 growth was primarily driven by a low base effect from delayed fiscal spending in 2025 and the front-loading of this year’s fiscal disbursements. The full year faces uncertainties from rising crude oil prices, geopolitical fluctuations, and a widening fiscal deficit. The 2026 fiscal budget is approximately IDR 2,000 trillion, focusing on eight key areas such as education and food security; 19 major industrial projects have already commenced, with nickel smelting and industry chain parks accelerating establishment, propelling the mineral sector’s transformation from raw resource exports to high-value-added deep processing. Indonesia has revised nickel ore royalty rules, introducing progressive royalty rates, promoting the upgrade of nickel products from nickel pig iron (NPI) to MHP and nickel sulphate, and laying out hydrometallurgical processing for low-grade ores; the outlook for the tin industry is positive. The banking sector’s loan-to-deposit ratio remains stable at 85%, and Bank Mandiri is advancing digital transformation and ESG-compliant lending to empower downstream industry projects. By combining industrial, fiscal, and financial strengths, Indonesia is expected to maintain a growth range of 5%–6% in the medium and long term. CXO Panel: Senior Executives' Roadmaps to Overcome Resource, Cost, Technology & ESG Challenges Moderator: Laksmi Kusumawati, Director of Downstream Planning and International Economic Cooperation, Ministry of National Development Planning/Bappenas Panelists: Bernardus Irmanto, President Director, PT Vale Indonesia Alex Sun, Chief Sustainability Officer and Vice President, Integrated Energy Service and Carbon Management, Envision Group Marvin R. Reinhart, Portfolio Management Department Head, Indonesia Battery Corporation Ilhamsyah Mahendra, Production & Commercial Director, PT Timah Tbk Keynote Speech: Breaking the Diesel Dependency: Reliable, Affordable Energy for Island Mines Speaker: Mr. Fred Ge, C&I BESS Technical Solution Manager in Asia-Pacific, Sungrow Panel Discussion: The "Green Premium" Myth vs. Reality: Who Will Pay for Decarbonization in the Critical Minerals Supply Chain? Moderator： MARCO KAMIYA， UNIDO Representative, Regional Office in Jakarta for Indonesia, Timor Leste and the Philippines UNIDO (United Nations Industrial Development Organization) Panelists: Ary Sudijanto, Deputy for Climate Change Control and Carbon Economic Value Governance, Ministry of Environment, Government of Indonesia Antti Koulumies, CEO, Terrafame Anna Stancher, Senior Project Manager, Responsible Minerals Initiative Yumo Li, Head of ESG Office in Tsingshan Board, Tsingshan Holding Group Lihui Sun, Vice President, Chief Sustainability Officer, Huayou Cobalt Cocktail Party We extend our sincere gratitude to the global logistics leader Access World for its exclusive sponsorship of the cocktail party at this conference. Founded in 1933, Access World has grown from a family business into an international logistics organization operating in 25 countries, with a strategically located network of ports and warehousing facilities in prime locations, ensuring the efficient daily handling and flow of goods. As an end-to-end logistics service provider, Access World has long been committed to simplifying global supply chains and enhancing the efficiency of commodity circulation. It is worth noting that this marks the second consecutive year Access World has generously sponsored the cocktail dinner at the Indonesia Mining Conference & Critical Minerals Conference. For this steadfast commitment and dedication to deeply cultivating the industry and continuously empowering industry exchanges, the organizing committee and all attendees express our deep respect and gratitude. Check-in & Networking

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