Chihong Zinc & Germanium stated on its investor interaction platform that the company, together with Chinalco Group, Aluminum Corporation of China (Chalco), Yunnan Copper, and Chalco Capital, jointly established Chalco Qianxing to create a rare metals industry chain extension platform. Chalco Qianxing's daily operations will strictly adhere to the basic principle of "equal shares, equal rights, and equal responsibilities." All investors will enjoy equal dividend rights according to their respective shareholding ratios, and will also enjoy priority subscription rights for corresponding proportions of capital increases in accordance with laws and regulations. Leveraging strategic synergy and resource complementarity with Chalco Qianxing, the company can sustainably consolidate its core competitive position in the upstream of the germanium industry chain. Simultaneously, by holding a 20% stake in Chalco Qianxing, the company can sustainably share in the operating income and equity appreciation of Chalco Group's various rare metals extending to high-value-added downstream sectors, and accelerate its entry into other strategic metals besides germanium, leveraging and sharing the advantages of group-based operations and the synergistic advantages of different rare metal materials industries.

SMM News, July 20: To deepen industry exchanges, facilitate information channels, and jointly explore development trends and market dynamics in the lead and zinc industry, on July 20, Geng Zhiyao, Senior Analyst for Copper, Lead and Zinc at SMM Information & Technology Co., Ltd. (SMM), Li Hanyu, Senior Analyst for Zinc, and Dai Junxiu, Senior Business Manager, headed to Mengzi Mining and Metallurgy Co., Ltd. for a visit and discussions, and were warmly received by the company’s leaders. During the meeting, the two sides held in-depth and pragmatic discussions on comprehensive market topics across the lead and zinc industry, focusing on core issues such as the global zinc ore supply-demand pattern, the operational logic of mine TCs, supply-demand fundamentals and price trends of zinc ingots and lead ingots, social inventory changes, and import-export flows. At the same time, they communicated in detail and exchanged views on SMM’s metal pricing methodology, spot pricing models for lead and zinc, industry index applications and platform empowerment, enterprises’ raw material procurement status, production operation pace, and overseas market layout plans, further consolidating industry consensus and breaking down information barriers. This visit effectively narrowed the cooperation gap between SMM and Mengzi Mining and Metallurgy, strengthening the foundation of mutual trust. In the future, the two sides will continue to deepen regular exchanges and cooperation, leveraging their respective resources and professional strengths to precisely meet industry needs, share industry data and research results, support stable corporate operations and high-quality industry development, and achieve mutual benefit, win-win outcomes, and coordinated development. About Mengzi Mining and Metallurgy Co., Ltd. Mengzi Mining and Metallurgy Co., Ltd., founded on June 9, 1996, with registered address at No. 66 Tianma Road, Mengzi City, Honghe Prefecture, Yunnan Province, and a registered capital of 51.11 million yuan, is a private mining and metallurgy enterprise integrating resource exploration, mining, beneficiation, and smelting, with a primary focus on comprehensive resource recovery and utilization. With over 20 years of deep engagement in the industry, the company has achieved cumulative operating revenue of nearly 35 billion yuan and paid taxes totaling 3.5 billion yuan. It is a core pillar enterprise in Mengzi City and a key backbone non-public enterprise in Yunnan Province. The company has a well-established industrial layout and complete business portfolio, comprising one main mine, two auxiliary mines, three beneficiation plants, and one smelting branch, along with a wholly owned subsidiary for technology development and multiple wholly owned subsidiaries in trade and supply chain. It has an independent geological exploration team and holds mining rights covering nearly several hundred square kilometers across Honghe, Wenshan, and Lincang prefectures in Yunnan. The main mine, Bainiushan Silver Polymetallic Mine, has proven abundant resources, laying a solid foundation for development. The company’s main products include lead ingots, zinc ingots, antimony ingots, silver ingots, and sulphuric acid, with comprehensive recovery of various valuable metals such as tin, copper, antimony, bismuth, cadmium, iron, sulphur, and gold. The company's operations mainly span the upstream and midstream segments of the lead-zinc industry, with an industry chain encompassing mining, mineral processing, smelting, and trading. It has a sound trade management system and a professional trading team, implementing a major client sales strategy primarily covering procurement and sales. Most of its collaborative suppliers are large state-owned enterprises, publicly listed firms, and industry leaders. Mengzi Mining and Metallurgy Co., Ltd. has six subsidiaries, including three wholly owned subsidiaries and one joint-stock subsidiary, which are mainly engaged in trading and technology businesses. Leveraging its solid industrial strength and robust technological innovation capabilities, the company has garnered numerous prestigious accolades. In 2025, it ranked 41st on the "Yunnan Top 100 Non-Public Enterprises" list, 62nd on the "Yunnan Top 100 Enterprises" list, and 26th on the "Yunnan Top 100 High-Tech Enterprises" list. In 2024, it was awarded the Second Prize of the National Science and Technology Progress Award jointly by the Central Committee of the Communist Party of China and the State Council. It is a renowned local enterprise, a pillar enterprise in Mengzi City, a Yunnan Provincial Green Factory, a National High-Tech Enterprise, and its overall efficiency ranks among the top 5 in the industry. Within Yunnan's lead-zinc smelting sector, the company's actual lead and zinc metal capacity is second only to Yunnan Chihong Zn & Ge Co., Ltd. 1. Lead and Zinc Smelting (1) Zinc Smelting The smelter was completed and put into operation at the end of 2006, with a design scale of 49,000 mt of zinc ingot and 50 mt of indium ingot per year, and comprehensive recovery of valuable metals such as sulphuric acid, silver, copper, and cadmium. Currently, the main products and production capacities of the company's zinc smelting segment are: Main products: 80,000 mt of zinc ingot, 135,000 mt of 98% sulphuric acid (with an actual capacity of up to 170,000 mt), and 80 mt of indium ingot. By-products: 900 mt of copper sulphate, 400 mt of cadmium ingot, 4,000 mt of lead metal from lead-rich wet-process sludge (of which 3,000 mt is self-produced, and 1,000 mt comes from low-grade zinc oxide from the comprehensive plant), and 10 mt of silver metal from silver-rich wet-process sludge. (2) Lead Smelting The company's lead smelting segment, which enables comprehensive recovery of valuable metals such as silver, antimony, and copper, began construction in 2012 and was completed and commissioned in March 2014. The equipment is currently in good condition, and all permits related to safety, environmental protection, occupational health, and fire safety are valid and meet all relevant national requirements. The production capacity for the main products of the company's lead smelting segment is: 60,000 mt of lead ingot, 100 mt of silver ingot, 3,500 mt of antimony ingot, 60,000 mt of sulphuric acid, 1,000 mt of lead matte (copper metal), and 5,000 mt of zinc oxide metal. 2. Lead-Zinc Ore Mining and Processing The Mengzi Mining and Metallurgy mine is located at Bainiuchang Village Committee, Laozhai Township, Mengzi City, Honghe Prefecture, Yunnan Province (referred to as the Bainiuchang Mine). The mining area extends from Niuzuodi River in the north to Yutang Village in the south, and from Miwei Village in the west to Awei Village in the east, covering a mining and exploration rights area of 30 km². The mine is 60 km from downtown Mengzi and 9 km from the Mengzi–Wenshan third-class highway, ensuring convenient transportation. Roads within the mining area connect to the beneficiation plant, villages, and various adits, facilitating smooth access. Since the development of the Bainiuchang mine, essential industrial sites and auxiliary facilities have been gradually established to meet production and daily living needs. These include the mine headquarters, surface facilities and living quarters for Work Areas 1, 2, 3, and 4, the Baiyang No. 8 waste dump, No. 1 and No. 4 waste dumps, and surface material and equipment warehouses. An internal and external road transport system has been developed, providing direct access to all adits. The mining area comprises five ore blocks—Baiyang, Duimenshan, Chuanxindong, Awei, and Miwei—stretching approximately 5 km east–west and 5 km north–south. To date, the company holds three mining rights certificates and four exploration rights certificates for the mine. The Bainiuchang mine (the following are separate ore blocks within the same mining property) 3. Hazardous Waste Processing The enterprise has obtained a hazardous waste operating permit, with an annual treatment capacity of 98,000 mt. It can reprocess slag generated from its own smelting operations. Yunnan Province currently has a total of 69 Comprehensive Operation Permits under the Yunnan Province Hazardous Waste Operation Permit system, of which approximately 15 cover lead- and zinc-related hazardous waste. The company is the largest processor of hazardous waste materials for publicly listed state-owned enterprises such as Yunnan Copper Zinc, Yunnan Chihong Zn & Ge Co., Ltd., and Luoping Zinc & Electricity. 4. Sales and Trading The company operates a well-established trade management system supported by a professional trading team, implementing a key account sales strategy. It primarily handles procurement and sales, with most of its supplier partnerships formed with large state-owned enterprises, publicly listed firms, and industry leaders. Among its downstream clients, Xiamen Xiangyu Logistics Group Co., Ltd. is a state-owned enterprise, a Fortune Global 500 publicly listed firm, and one of China’s largest lead ingot traders. It mainly purchases zinc ingots from the mining and smelting company, with ingot trading accounting for over 70% of its total purchase and sales volume. Honghe Prefecture Hongtou Industrial Co., Ltd. is a state-controlled enterprise under Honghe Prefecture Development and Investment Holding Group Co., Ltd. It is a diversified company engaged in domestic and international trade in goods and technologies, materials supply and distribution, project investment and construction management, and new energy development and construction. It is a strategic trade partner introduced by the company. SMM Contact: Geng Zhiyao Tel: 13818541149

On June 26, at the hosted by SMM Information & Technology Co., Ltd. (SMM) with title sponsorship from Guangxi Yusheng Germanium High-Tech Co., Ltd., Ou Haiguang, Chairman of Lianzhou Tuosheng New Energy Co., Ltd., Qingyuan, Guangdong, shared “The Development and Application of Selenium.” I. Global Selenium Market Overview The global selenium market exhibits a combination of steady overall growth and rapid structural upgrading. Global Selenium Market Characteristics The global selenium market presents the dual characteristic of “steady overall volume and structural upgrading.” Growth in traditional sectors is slowing, while high-value-added niche segments show strong potential. ► Overall Market: Moderate Growth It introduced the global selenium market size in 2025 and future compound annual growth rate, among other aspects. ► High-End Market: Rapid Expansion High-purity selenium used in electronics, semiconductors, and solid-state batteries is the core growth driver. The global high-purity selenium market reached $1.8 billion in 2023 and is expected to exceed $3.5 billion by 2030, with a strong CAGR of 10%. Selenium is a key material supporting the development of high-tech industries It is a fundamental material for developing new materials, new devices, and new consumer goods (pharmaceuticals, agriculture, food). Demand for selenium from military, new energy, and medical & health sectors is increasing daily. Ultra-high-purity rare and scattered metals have been designated as key national strategic emerging industries under the “Strategic Research on New Materials Powering the Nation by 2035” (2020). High-purity selenium was included by the National Development and Reform Commission (NDRC) in the “Catalogue for the Guidance of Key Products and Services in Strategic Emerging Industries” issued in Announcement No. 1 (2017). The EU identified selenium as a critical raw material for strategic low-carbon energy technologies (2020). Price Trend Review and Forecast First, it reviewed the selenium price trend in recent years. ► Future Trend Forecast, 2026-2027 The global economic slowdown is weighing on the profitability and operating rates of traditional selenium-consuming industries such as glass, ceramics, and pigments, causing prices of ordinary industrial-grade selenium products to continue falling under pressure. However, high-purity, customized high-end selenium products used in PV, electronics, and other sectors are seeing price support due to high technical barriers and scarce supply, with the market showing a clear divergence in price trends. ► Market Insight: Supply-Demand Pattern Driving Divergence As demand growth in traditional sectors such as PV glass slows, prices of basic products are heavily influenced by capacity. However, the technological barriers in high-value-added fields such as infrared, electronics, and solid-state batteries will support the price resilience of high-end selenium products, making them the core growth driver for future corporate profits. II. In-Depth Analysis of China’s Selenium Industry China is the global center for selenium production and supply, and its industry development trends have a decisive impact on the global market. Production and Supply: The World’s Core Producing Region China is the global center for selenium production and supply, accounting for nearly half of the world’s output, which continues to grow steadily. ► Production Scale and Growth: In 2025, China’s primary selenium production reached 2,030 mt (up 12% YoY), accounting for nearly half of the global total. The growth momentum came from the expansion of domestic copper smelters and their increased focus on the comprehensive recovery of rare and precious metals. ► Core Producing Region Distribution: Influenced by the layout of the copper smelting industry, China’s selenium is primarily produced in four provinces: Yunnan, Jiangxi, Anhui, and Hubei. The high degree of synergy between resources and the processing industry has formed a stable supply chain cluster. ► Industry Leader Landscape: Top-tier players such as Jiangxi Copper Corporation, Tongling Nonferrous Metals, Yunnan Copper, and China Daye Non-Ferrous Metals dominate production and are actively extending their reach into downstream deep processing, continuously refining their industry chain layout. ► Future Production Forecast: Production is expected to maintain an upward trend: it is projected to reach 2,165 mt in 2026 and further increase to 2,340 mt in 2027, continuously solidifying its core global supply position. Consumption Structure and Trends: Replacing Old Growth Drivers with New Ones ► Changes in China’s selenium consumption structure are a microcosm of global trends, with emerging applications rapidly on the rise. ● Metallurgy (32%): A traditional mainstay field, with relatively stable demand. ● Flat Glass (24%): Driven directly by the rapid development of the PV industry, maintaining solid growth. ● Agricultural and Livestock Health (21%): A beneficiary of the upgrade in health consumption, it has become an important growth point. ● Ceramics and Chemicals (13%): A traditional, low-end application affected by environmental protection policies and alternative technologies, with demand continuing to shrink. ★ Electronics, Infrared, and PV (8%): The fastest-growing segment and the core new momentum driving the industry’s long-term development. Trade Pattern: From Net Importer to Near-Balance China’s selenium trade pattern has undergone a historic transformation, gradually achieving self-sufficiency and control over its resource supply and demand. ► Historic Transformation: Reshaping the Supply-Demand Pattern In the past, as the world’s major selenium consumer, China was in a state of net imports for a long time. In recent years, thanks to the steady growth of domestic primary selenium smelting capacity and significant advances in recovery technologies for secondary resources like copper and selenium scrap, China’s reliance on selenium from outside China has dropped sharply, achieving a fundamental optimization of its trade structure. ► Key Milestone: 2025 Trade Data In 2025, China's selenium trade achieved a historic breakthrough: both imports and exports totaled 728 mt, remaining basically flat. This data marks China's successful shift away from a passive "resource-importing" model, achieving basic self-sufficiency in selenium supply and demonstrating strong risk resilience. ► Future Trend: Moving Toward Net Exporter Status Driven by both production growth and technological strengths, China is expected to continue expanding its selenium resource production scale and technology exports in the coming years. Leveraging its complete industry chain support and cost advantages, China is poised to gradually complete its transformation from a "net importer" to a "net exporter," further enhancing its discourse power in global selenium trade. ► Policy Support: Export Promotion, Brand Certification & Subsidies To support domestic superior resource products in international competition, the nation continues to implement industrial support policies. 1. High-purity selenium and selenium compound targets are included in the new materials export credit insurance support categories. 2. Key equipment imports for high-purity selenium compound synthesis and monocrystalline production are exempted from customs duties and import-stage VAT. This policy effectively strengthens the competitiveness of Chinese selenium products in the international market, providing strong policy support for the industry's "going global" strategy. III. High-Growth Track Analysis Amid broadly steady market growth, which sub-sectors are experiencing explosive expansion? This chapter focuses on three high-growth tracks: nano-selenium, high-purity selenium, and indium selenide. ► Track 1: Nano-Selenium Biomedicine and Healthy Agriculture — One of the fastest-growing sectors in the selenium industry Core Strengths: High bioavailability | Low toxicity It addresses the pain point of balancing effectiveness and safety in traditional selenium agents, offering dual value in nutrition and pharmaceuticals. Sharing also included market size forecasts, diverse application scenarios, and national policy support. ► Track 2: High-Purity Selenium (Semiconductors and PV) • Positioning as a critical basic material: High-purity selenium (purity ≥5N) is a strategic critical material underpinning the development of semiconductor chip manufacturing and PV solar cell industries, holding an irreplaceable position in the advanced manufacturing supply chain. Current Industry Status: Overall market demand is growing rapidly, but exhibits a significant "structural supply-demand mismatch," characterized by low-end overcapacity coexisting with a shortage of high-end products. • Market Demand and Structural Issues Demand Growth: China's total market demand is projected to maintain a 16.8% average annual compound growth rate from 2026 to 2030, indicating enormous potential. Polarization: Relatively surplus capacity in 5N low-end products; severe shortage of 6N and above high-end products, with import dependency reaching as high as 71%. • Technology Barriers and Localisation Substitution Opportunities Core Barriers: The preparation of 6N high-purity selenium involves complex processes, primarily relying on "zone melting" and "chemical vapor transport (CVT)" technologies, posing extremely high technical thresholds. Policy Driver: The National IC Fund has provided targeted capital injection to support breakthroughs, with a clear industrial goal of achieving over 60% localisation rate for high-end high-purity selenium by 2027. ► Track 3: Indium Selenide (Infrared Detection and Advanced Optoelectronics) • Material Overview Indium selenide (In₂Se₃) is a new-type layered semiconductor material with excellent optoelectronic properties. With its unique band structure, high carrier mobility, and good flexibility, it holds tremendous application potential in cutting-edge fields such as infrared detection, flexible optoelectronic devices, and new-type PV, making it a current hot topic in semiconductor material R&D. • Market Size Forecast Chinese market size in 2025: 382 million yuan; expected to reach 429 million yuan in 2026; up 12.3% YoY. • Competitive Landscape: Highly Concentrated Industry barriers are high, with a prominent head effect: the top three enterprises command approximately 68.3% market share. • Core Application Scenarios 01 Infrared focal plane detectors, widely used in security surveillance and industrial temperature measurement, represent the primary downstream demand. 02 Energy and new energy: Used as a buffer layer in CIGS (copper indium gallium selenide) thin-film solar cells, serving as an important raw material for the PV industry. 03 Flexible electronic devices: Leveraging advantages of layered structure, high-performance flexible displays and wearable device sensors can be developed. IV. Cutting-Edge Technologies and Future Trends Technological innovation is the fundamental driving force behind industrial development. Breakthroughs in Cutting-Edge Technologies: Antimony Selenide Sulfide Solar Cells Core Technical Advantages: The material combines excellent photoelectric conversion properties with outstanding chemical stability, featuring low production costs and strong process compatibility, thereby solving the trade-off between performance and stability in traditional PV materials. Industrial Application Prospects: Viewed as a highly promising next-generation PV technology direction, it not only broadens the selection of PV materials but also opens up a completely new path for high-value application of "selenium" resources in the new energy field. Industrial Development Trends 01. Technology-driven high value-addition | The core of industrial competition is shifting from resource acquisition to technological innovation, where technical barriers will become the fundamental foundation for enterprises to thrive. 2. Deep Localisation Substitution | Driven by national strategic support and market demand, the localisation process of key materials will continue to accelerate. 3. The "Materials-as-a-Service" Model Emerges | Upstream producers are no longer limited to mere product supply but are deeply integrated with downstream clients, providing customised solutions. 4. Green, Low-carbon, and Circular Economy | Stricter environmental protection policies are forcing industry upgrades, and green production processes and efficient resource recycling technologies will become increasingly important. 5. Strategic Recommendations Based on the above analysis, it provides some specific strategic recommendations for industry participants and investors. Whether enterprises or investors, in the current complex and volatile market environment, all need clear strategic guidance to seize opportunities and avoid risks. ► Recommendations for Enterprises 1. Focus on High-Growth Sectors: Decisively allocate resources toward high-value-added areas such as nano-selenium and 6N high-purity selenium, and avoid homogeneous competition with low profits. 2. Strengthen Technology R&D and Cooperation: Establish an independent R&D system to maintain core competitiveness, while actively engaging in industry-university-research cooperation with universities and research institutes. 3. Build Industry Chain Synergy: Extend toward upstream raw material sources to ensure stable supply, and expand toward downstream application ends to deeply integrate core clients, enhancing risk resistance capabilities. 4. Enhance Quality and Brand: Establish and strictly enforce a high-standard quality control system, cultivate a high-end, professional brand image, and compete with premium quality and pricing. ► Recommendations for Investors 1. Focus on Technologically Leading Enterprises: Prioritize investment in enterprises with independent intellectual property rights in core technologies to build competitive barriers. 2. Seek Enterprises with Strong Downstream Integration: Choose enterprises that have established long-term and stable cooperation with downstream key clients to ensure robust operational performance. 3. Allocate to Entire Industry Chain Enterprises: Focus on enterprises with a complete industry chain layout from mineral resources to end-use applications to enhance risk resistance capabilities. 4. Beware of Market Fluctuation Risks: Fully assess the impact of periodic selenium price fluctuations on enterprise costs and profits, and implement risk hedging. Furthermore, it also provides an introduction to Lianzhou Tuosheng New Energy Co., Ltd.

When asked, "What are the technological content and barriers of the company's rolled copper foil? Who are the domestic and international competitors? Which companies are downstream clients?" North Copper responded on the investor interaction platform on June 25: The technological content and barriers of the company's rolled copper foil are reflected in: 1. The long process flow of rolled copper foil, involving disciplines such as smelting, rolling, metal heat treatment, and electrochemistry, requires continuous trial production to accumulate a process database. This represents a long-term experiential barrier that cannot be quickly reverse-engineered. 2. Capital and hardware thresholds, with extremely high equipment investment, high barriers for equipment installation, commissioning, and operation, and severe limitations on product width and ultra-thin gauge. 3. Barriers in rolling and forming processes, which are also the highest thresholds—covering product thickness, sheet flatness, internal structure, and mechanical properties, as well as the synergistic barriers of dozens of interconnected processing steps. The consistency control across the entire process is far more demanding than the single-step electrodeposition process for copper cathode foil. Regarding the statement, "The CCL construction portion of the company's 50,000 mt high-performance rolled copper foil and 2 million m² copper clad laminate (CCL) project has not yet commenced due to insufficient relevant technology and talent reserves, out of prudence. Next, the company will decide on the CCL investment and construction plan based on thorough market surveys and scientific validation," North Copper responded on the investor interaction platform on June 25: The CCL construction portion of the company's 50,000 mt high-performance rolled copper foil and 2 million m² CCL project has not yet commenced due to insufficient relevant technology and talent reserves, out of prudence. Next, the company will decide on the CCL investment and construction plan based on thorough market surveys and scientific validation. North Copper responded on the investor interaction platform on June 25: The company seizes market opportunities, closely monitors downstream market demand, focuses on R&D for mid-to-high-end copper strip products and structural adjustments for rolled copper foil products, and is committed to filling gaps in its process lines and reaching its capacity standard, striving to turn losses into profits as soon as possible. Regarding the question, "When will the company's semi-annual report performance forecast announcement be released?", North Copper responded on the investor interaction platform on June 25: The company has scheduled the disclosure of its 2026 semi-annual report for August 27. If the conditions for a performance forecast are met, the company will release the announcement within the stipulated time. When asked, "After the implementation of the 'Regulations on the Implementation of the Mineral Resources Law of the People's Republic of China', has the related work on applying for the mining permit for the newly added copper ore at the Tongkuangyu Mine been accelerated? Could you discuss the company's near-term plans? If progress goes smoothly, based on the ore's copper grade and after deducting relevant costs, how much profit is this expected to bring to the company?" North Copper responded on the investor interaction platform on June 24: The detailed survey of deep-seated replacement resources at the Tongkuangyu Mine is a project to add reserves outside the current mining right's boundary at depth (elevation range: 80m to -325m), which is conducive to increasing the company's copper resource reserves and extending the mine's service life. Given that the replacement resources identified by the detailed survey have reached a large scale, according to reserve review and filing requirements, the exploration level must be achieved for resource reserve filing and for initiating the transition from exploration to mining. As the mine's production level shifts downward, the company will conduct further exploration work for deep-seated replacement resources at the next production level. The company currently has no relevant deep exploration plans. Regarding the question, "As a third-generation core substrate material for IC lead frames, could you briefly introduce the production and latest order status of your company's 5,000 mt chromium zirconium copper alloy product?", North Copper responded on the investor interaction platform on June 23: Our company has completed the casting ingot product for C18150 (chromium zirconium copper alloy); the subsequent copper strip process is currently under trial production. There are no orders at present. On June 17, North Copper stated on the interaction platform in response to an investor's question that the company has not yet established a cooperative relationship with NVIDIA. On June 17, North Copper stated on the interaction platform in response to an investor's question that the company has a comprehensive market cap management system, consistently centering market cap management on enhancing intrinsic value. Through methods such as focusing on core business growth, optimizing governance structures, strengthening information disclosure, and implementing shareholder return plans, it is committed to achieving long-term alignment between the company's value and its market performance. Should there be arrangements such as share buybacks or capital increase plans, the company will promptly issue relevant announcements. On June 15, North Copper stated on the interaction platform in response to an investor's question that, relying on scientific research breakthroughs at the Shanxi Provincial Key Laboratory of New Copper-based Materials, the company's copper strip and foil product structure is undergoing further adjustment and optimization. All production and operation activities are proceeding in an orderly manner, and product orders are growing steadily. On June 4, North Copper stated on the interaction platform in response to an investor's question that the company's management places high importance on extending the industry chain and has made positive progress in deep copper processing. During the 15th Five-Year Plan period, the company will rely on its existing copper strip and foil production lines to achieve new breakthroughs in scientific research, product structure adjustment, and capacity enhancement, thereby empowering the company's high-quality development. Performance: North Copper's previously released 2026 Q1 report showed that in Q1, the company achieved operating revenue of 10.044 billion yuan, up 46.89% YoY; net profit attributable to shareholders of the parent company was 615 million yuan, with a YoY increase reaching 65.74%. Regarding the reasons for the increase in operating revenue, North Copper stated in its Q1 report that it was mainly due to an increase in product sales volume and rising prices. Additionally, North Copper's 2025 annual performance report showed that the company achieved operating revenue of 27.916 billion yuan in 2025, up 15.80% YoY; net profit attributable to the parent company was 791 million yuan, up 29.01% YoY. 2025 main product production: copper cathode produced was 300,300 mt, sulphuric acid 766,000 mt, gold ingots 6.4 mt, and silver ingots 68.5 mt. In its 2025 annual report, North Copper described: The company's main business is the mining, beneficiation, smelting, and rolling processing of copper metal. Currently, its captive mine has an annual ore processing capacity of 9 million mt and self-produced copper content of 43,000 mt. Its copper smelting capacity is 320,000 mt, along with gold ingots 10.8 mt, silver ingots 170 mt, and sulphuric acid 1.22 million mt, while it also comprehensively recovers valuable metals like platinum, palladium, selenium, and bismuth. Deep copper processing products include high-performance copper and copper alloy strips, rolled copper foil, etc., of which copper alloy strip capacity is 25,000 mt/year and rolled copper foil capacity is 5,000 mt/year. The company already possesses an integrated industry chain from mining, beneficiation, and smelting to rolling processing. The company's 'Zhongtiaoshan' brand Grade A copper is registered on the Shanghai Futures Exchange and the Shanghai International Energy Exchange, and its 'Zhongtiaoshan' brand gold and silver ingots are registered on the Shanghai Futures Exchange. The mineral exploration situation disclosed in North Copper's 2025 annual report showed that the company completed the detailed survey project of deep-seated replacement resources at the Tongkuangyu Copper Mine (below 80m elevation), with primary completed workloads: prospecting roadway 140.6m, 12 drill chambers/2,823.6m³, 12 drill holes (including 3 hydrogeological holes), drilling footage 7,268.62m, 1:2000 special hydrogeological, engineering geological, and environmental geological survey 6㎢, geophysical logging 2,065.61m, and pumping tests for 3 holes; 8,091 samples analyzed and tested, 46 rock/mineral test groups, 99 small-weight samples, 20 copper phase analysis samples, 10 complete chemical analysis samples, and 12 complete water quality analysis samples. On February 20, 2025, the Shanxi Mining Association organized the completion of supervision and field acceptance work for the resource detailed survey project, issuing supervision and field acceptance reports. In early March, the company completed the compilation of the 'Special Hydrogeological, Engineering Geological and Environmental Geological Detailed Survey Report for the Deep Part of the Tongkuangyu Mine'. On March 17, the Shanxi Mining Association organized an expert review which was passed. In May, the company completed the compilation of the 'Detailed Survey Report on Deep-seated Replacement Resources at the Tongkuangyu Copper Mine in Yuanqu County, Shanxi Province' (hereinafter referred to as the report). On May 23, the Shanxi Mining Association organized an expert review which was passed, and an review opinion was issued. According to the report, as of December 31, 2024, within the 80m to -325m elevation range of the Tongkuangyu mining area, cumulative identified industrial orebody (No. 5) resources amounted to 103.718 million mt of copper ore with an average grade of 0.84% and a metal content of 869,600 mt. Associated gold metal content was 8,930 kg at an avg. grade of 0.09g/t; associated molybdenum metal content was 3,727 mt at an avg. grade of 0.011%. Low-grade copper ore resources amounted to 34.625 million mt with an avg. grade of 0.25% and a metal content of 88,200 mt. The scale of discovered resources reached large-size, marking a significant prospecting achievement and providing a solid resource guarantee for the company's industry chain layout. Regarding the company's copper ore resource reserves, North Copper announced in its annual report, As of year-end 2025, the Tongkuangyu Mine had retained copper ore resources above 80m elevation of 204.664 million mt, with a copper metal content of 1.2501 million mt. Additionally, below 80m elevation at the base of the Tongkuangyu Mine's current mining right, the cumulative identified industrial orebody (No. 5) copper ore resources was 103.718 million mt, with an average grade of 0.84% and a metal content of 869,600 mt. For the 2026 production and operation plan, North Copper mentioned in its 2025 annual report: Main product production: copper cathode 300,000 mt, sulphuric acid 800,000 mt, gold ingots 6 mt, silver ingots 60 mt, to maximize economic benefits. A research report from Huaxi Securities on June 14 pointed out: In the medium and long term, copper, as a key metal for energy transition, possesses strategic allocation value under the policy guidance of the 15th Five-Year Plan. On the supply side, entering 2026, major mines globally have continued to experience strikes and production halts this year, keeping the supply profile relatively tight. From a macro perspective, the probability of a US Fed interest rate cut during the year still exists. In the long term, the macro environment supports copper prices, and the US dollar is expected to continue depreciating, supporting a positive outlook on copper prices. Furthermore, strong supply-demand fundamentals support copper prices. China's macro policies are expected to continue exerting force, and stimulus measures in sectors like electric power infrastructure, NEVs, and home appliance consumption could further expand. Beneficiary stocks: [Zijin Mining], [CMOC], [JCHX], [Jiangxi Copper Corporation], [Western Mining Co., Ltd.], [North Copper], [Tongling Nonferrous Metals], [Yunnan Copper].

Domestic Selenium Market Remains Weakly Stable Amid Seasonal Lull and Increased Supply

The investor relations activity record of Yunnan Copper for May 26–27, 2026 shows: 1 What is the company's planned copper concentrate production from captive mines this year, and what is the approximate cost level of the mining enterprises? According to the company's 2026 financial budget and production plan, full-year self-produced copper concentrates are expected to contain 69,800 mt of copper metal content. The company's current mining enterprises mainly include Diqing Nonferrous, Liangshan Mining, Yuxi Mining, and Diqing Mining. Due to differences in resource endowment and the life cycle stage of each mine, cost levels vary, with Diqing Nonferrous, Liangshan Mining, and Yuxi Mining having relatively lower costs. Meanwhile, the company strives to maintain overall cost stability through measures such as lean operations and increasing mining volumes. 2 What is the progress of the Hongnipo copper mine construction project of Liangshan Mining? The Hongnipo copper mine is currently under construction, with cumulative verified resource reserves of 16.06 million mt of ore, an average copper grade of 1.42%, and copper metal content of 592,900 mt. The project is progressing in an orderly manner as planned and is expected to be completed and ready for commissioning in 2026. 3 Will the mine resources under the company's major shareholder be injected into the publicly listed firm? Asset injection involves complex systematic work that requires comprehensive consideration of development strategy, asset conditions, regulatory requirements, and shareholder interests. The company will continue to focus on and strive to enhance the quality of the publicly listed firm, and if there are any new relevant arrangements, it will strictly follow prescribed decision-making and disclosure procedures. 4 Has the company set a target for resource self-sufficiency rate? The company regards improving resource self-sufficiency rate as an important long-term strategic task, relying primarily on three paths: commissioning of projects under construction, tapping potential of existing mines, and external resource acquisitions. Regarding projects under construction, the company successfully completed the acquisition of 40% equity in Liangshan Mining in December 2025, and the Hongnipo project is expected to be completed and ready for commissioning in 2026. Regarding tapping potential of existing mines, the company leverages its major mines to continuously intensify deep and peripheral exploration efforts, steadily advancing resource succession and reserve additions. Regarding external resource acquisitions, while managing existing mines and smelters well, the company actively monitors quality mineral resource projects and prudently conducts field trips and evaluations based on strategic positioning and market demand. 5 What proportion can the company's copper smelting TC long-term contracts approximately reach? The company follows the principles of marketization and maximization of comprehensive benefits in externally purchasing raw materials. As one of the larger copper concentrate purchasers in China, the company has long maintained good, stable, long-term cooperative relationships with major suppliers, and actively negotiates with copper concentrate suppliers to stabilize long-term contract supply and ensure orderly production. 6 What were the company's sulphuric acid selling price and production in Q1 2026? According to the company's 2026 production plan, planned annual sulphuric acid production is 5.76 million mt. In Q1 2026, sulphuric acid production progressed in an orderly manner as planned. Price side, as a by-product of copper smelting, sulphuric acid selling prices are influenced by multiple factors including regional market supply and demand, transportation conditions, and industry prosperity. Since the beginning of this year, driven by robust downstream demand and tight supply in some producing areas, sulphuric acid selling prices have stayed high. The company seized market opportunities, reasonably arranged production and sales, and made positive contributions to operating performance. Meanwhile, the company will continue to monitor price changes and dynamically optimize production and sales pace. 7 Does the company have further cost reduction plans? The company's mining and smelting enterprises continuously pursue lean cost reduction to build low-cost competitive advantages. For example, the company is comprehensively advancing the "Three-Year Cost Reduction 3.0" initiative, continuously promoting cost reduction and efficiency improvement, and lowering unit production costs through technological upgrades, process optimization, and improved management efficiency. 8 What major capital expenditures are expected in the future? The company's future major capital expenditures will primarily focus on the following strategic directions: first, resource acquisition—continuously strengthening exploration and acquisition of quality copper mineral resources in and outside China to enhance resource security capabilities; second, intelligent manufacturing—advancing automation, digitalization, and intelligent upgrades of mines and smelting plants to improve production efficiency and safety levels; third, green and low-carbon development—increasing investment in environmental protection, energy conservation, and other areas to promote sustainable development. Performance side: Yunnan Copper's Q1 2026 report disclosed on April 24 showed that the company achieved total operating revenue of 52.959 billion yuan, up 49.62% YoY; net profit attributable to the parent was 675 million yuan, up 7.93% YoY. Regarding the reasons for the increase in operating revenue, Yunnan Copper stated that it was mainly due to higher product prices compared to the same period last year and increased sales volumes compared to the same period last year. Yunnan Copper's 2025 annual report showed that in 2025, the company firmly established market entity awareness, strengthened its lean operations system, and solidly carried out production organization, cost control, indicator optimization, marketing value creation, and other work, with main product production reaching record highs and key technical and economic indicators continuously optimized. Full-year production included copper cathode of 1.6411 million mt, gold of 26.04 mt, silver of 735.38 mt, and sulphuric acid of 6.189 million mt, with copper cathode, gold, and silver production all reaching record highs. Full-year operating revenue reached 79.542 billion yuan and net profit attributable to the parent was 1.301 billion yuan, with operating efficiency steadily improving. Cost and technical indicators were continuously optimized, with mine concentrate copper content and smelting copper cathode unit full cost outperforming annual cost reduction targets. Key technical indicators for smelting and mining remained stable with improvement. In 2025, the copper smelting total recovery rate exceeded the target by 0.07 percentage points, and slag flotation tailings copper content was optimized by 0.01 percentage points versus the target, both reaching industry-leading levels. Yunnan Copper announced that in 2025, the company's concentrate copper content production, on a consolidated statement basis, was 69,400 mt, up 26.64% YoY from 2024, mainly because the company issued shares to acquire 40% equity in Liangshan Mining held by Yunnan Copper Group during 2025, and Liangshan Mining was included in the consolidated statements as of December 31, 2025, with its full-year production included in the statistics. Regarding the company's main businesses, Yunnan Copper introduced in its 2025 annual report: The company's main businesses cover copper exploration, mining and beneficiation, smelting, extraction of precious metals and rare scattered metals, sulphur chemicals, and trading. It is an important copper, gold, silver, and sulphur chemical production site in China. The company has established a relatively complete industry chain in copper and related nonferrous metals and is a copper enterprise with deep industry heritage. Main products include copper cathode, gold, silver, industrial sulphuric acid, and rare and scattered metal products such as molybdenum, platinum, palladium, selenium, and tellurium. The company's main products are all produced according to international standardization organization standards, operating effectively under the international ISO9001 quality management system to ensure strict quality control. The company's main product, copper cathode, is widely used in electrical, light industry, machinery manufacturing, construction, national defense, and other fields; gold and silver are used in finance, jewelry, electronic materials, etc.; industrial sulphuric acid is used as raw material for chemical products and in other sectors of the national economy. The company's "Tiefeng" brand copper cathode is registered on the Shanghai Futures Exchange and the London Metal Exchange; "Tiefeng" brand gold is registered on the Shanghai Gold Exchange (SGE) and the Shanghai Futures Exchange; "Tiefeng" brand silver is registered on the Shanghai Gold Exchange (SGE), the Shanghai Futures Exchange, and the London Bullion Market Association. Regarding the company's future development outlook, Yunnan Copper introduced in its 2025 annual report: Yunnan Copper adheres to the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, fully implements the spirit of the 20th National Congress of the Communist Party of China and its successive plenary sessions, and upholds and strengthens the Party's overall leadership. The company actively serves major national strategies, adheres to promoting high-quality development as the theme, fully, accurately, and comprehensively implements the new development philosophy, continuously enhances core functions and improves core competitiveness, and better plays its role in scientific and technological innovation, industrial control, and security support in building a modern industrial system and constructing a new development pattern. The company emphasizes "two guarantees" (important mineral resource guarantee and important metal material guarantee), "two innovations" (scientific and technological innovation and management innovation), "two constructions" (strengthening Party building, especially cadre team building), and "three unwavering commitments" (unwavering in accelerating structural adjustment, unwavering in deepening enterprise reform, and unwavering in international operations and increasing "going global" efforts). The company focuses on "digital-intelligent transformation, expanding resources, refining mines, optimizing smelting, solidifying recycled (copper), and detailing rare scattered (metals)," accelerating the construction of a world-class excellent copper company, and continuously opening new prospects for Yunnan Copper's high-quality development. Guosen Securities' research report commenting on Yunnan Copper on April 11 showed: Quality asset consolidation. Production side, the company's copper ore production was close to 70,000 mt, with major mines maintaining stable production. Copper smelting side, after Southwest Copper reached full production, the company's 2025 copper cathode production was 1.64 million mt, up 440,000 mt or 36% YoY. During the reporting period, the company purchased 40% equity in Liangshan Mining through share issuance to its major shareholder, achieving consolidation. Liangshan Mining is a quality asset, with its mines featuring open-pit mining, abundant reserves, higher grade than the publicly listed firm's existing copper mines, and lower costs than the publicly listed firm's existing copper mines. In H2 2025, profitability of major subsidiaries generally declined. Although copper, gold, and silver prices rose significantly in H2 2025, the company's mining operations saw profit decline QoQ. Smelting operations also declined significantly in H2 2025, which was related to the sharp drop in copper concentrate TCs. As sulphuric acid prices are expected to stay high, the company's smelting business profitability is expected to improve. Gross profit by product side, the company produces over 6 million mt of sulphuric acid annually. Benefiting from sulphuric acid price increases, sulphuric acid business gross profit in 2025 was 2.03 billion yuan, up 1.5 billion yuan YoY, representing a performance highlight. Since early 2026, sulphuric acid prices have continued to rise, and this is expected to further boost earnings. Leveraging the copper industry's high-prosperity cycle in recent years, the company's asset quality has improved, and during the reporting period it achieved consolidation of Liangshan Mining, a quality asset. As the sole copper publicly listed platform under Chalco Group, injection of other quality assets from the major shareholder is anticipated. Although the copper smelting business is under pressure in the short term, the government has issued policies to strictly control new copper smelting capacity, and the company benefits from global copper smelting capacity rationalization, with a favorable long-term industry landscape. Maintain "Outperform" rating.

On April 21, a delegation from SMM Information & Technology Co., Ltd. (SMM), comprising Ye Jianhua, Director and Supervisor of SMM's Industry Research Department, Feng Chundi, Expert of SMM's Industry Research Institute, and Wu Tao, SMM's Overseas Marketing Manager for Copper and Tin, visited Lualaba Copper Smelter S.A. (LCS) for a field trip and exchange. The delegation received a warm and thoughtful reception from the leadership of LCS. During the exchange, relevant heads of LCS provided a detailed introduction to the project's construction history, smelting process routes, current capacity operations, and overall business planning. SMM, drawing on global non-ferrous market trends, shared insights on copper-cobalt raw material supply and demand, the smelting and processing landscape, price fluctuation trends, and industry policy developments. Both parties engaged in in-depth discussions on practical topics including pyrometallurgy production management outside China, raw material supply assurance, environmental protection operations and maintenance, cost control, and industry outlook assessment. They also exchanged experiences and ideas on overseas smelter operations management, risk prevention, and medium and long-term development planning. This field trip and exchange was pragmatic and efficient, effectively enhancing mutual understanding and laying a solid foundation for ongoing industry information sharing and long-term exchange and cooperation. Introduction to Lualaba Copper Smelter S.A. (LCS) Lualaba Copper Smelter S.A. (LCS) is a modern non-ferrous metal smelting enterprise jointly invested and constructed by China Nonferrous Metal Mining (Group) Co., Ltd. and Chalco Yunnan Copper Group, located in Kolwezi, Lualaba Province, DRC. Construction commenced in March 2018, and Phase I was completed and successfully put into operation in October 2019. It is the first large-scale pyrometallurgy copper-cobalt smelter in the DRC and serves as a key strategic pillar of China Nonferrous Metal Mining Group's resource development and industrial deployment in Africa. With copper concentrates smelting as its core business, LCS's main products include blister copper, sulphuric acid, and liquid sulfur dioxide, with an annual capacity of 150,000 mt of blister copper and 300,000 mt of sulphuric acid. As an important participant in the Belt and Road Initiative, LCS has consistently upheld the development philosophy of "serving the nation through resources and pursuing win-win cooperation," actively fulfilling its social responsibilities, promoting local employment and industrial development, and striving to build an internationally competitive copper smelter while continuously enhancing the influence of Chinese mining enterprises in the global non-ferrous metals industry. The conference is scheduled to be held on September 15–16, 2026 in Lusaka, Zambia. You are cordially invited to participate! Contact Person : Wu Tao: 18270916376 jennywu@smm.cn

On April 14, a delegation from SMM Information & Technology Co., Ltd. (SMM), including Ye Jianhua, Director and Supervisor of SMM's Industry Research Department, Feng Chundi, Expert at SMM's Industry Research Institute, and Wu Tao, SMM's Copper and Tin Overseas Marketing Manager, visited Chambishi Copper Smelter Limited (CCS) for exchange and survey. The delegation received warm hospitality from CCS's leadership. During the visit, both parties engaged in pragmatic communication based on their respective core businesses. Leveraging its core strengths in non-ferrous metal price index R&D, industry chain big data monitoring, copper market analysis and forecasting, in-depth industry research, and global non-ferrous resource connectivity, SMM shared insights on international copper market operating logic and price trend analysis with the enterprise, in the context of the current global copper smelting supply-demand pattern, raw material procurement landscape, and TC fluctuation trends. As a core copper smelting producer outside China, CCS provided a detailed introduction to its production and operation status, smelting process advantages, capacity release pace, raw material procurement, and product exports layout, and elaborated on the practical experience of ex-China copper smelters in production management, cost control, green production, and localized operations. Meanwhile, both parties exchanged views on common industry topics including development pain points of the copper smelting industry outside China, raw material supply security, finished product circulation and trade, industry policy changes, and low-carbon smelting development trends. They also reached preliminary consensus on future directions such as industry chain information sharing, market data exchange, joint market analysis, and industry resource coordination, laying a solid foundation for deepening regular exchanges and promoting high-quality collaborative development of the copper smelting industry chain. Introduction to Chambishi Copper Smelter Limited (CCS) Chambishi Copper Smelter Limited (CCS) is the first large-scale modern pyrometallurgy copper smelting enterprise invested by China overseas, entirely self-designed and constructed. Located in the Zambia-China Economic and Trade Cooperation Zone, the company has 170 Chinese staff and 1,600 Zambian employees. The company has always focused on its vision of "building an internationally first-class smelting enterprise with enduring prosperity," upheld the corporate spirit of "self-transcendence, continuous breakthroughs, and pursuit of excellence," benchmarked against first-class standards with meticulous craftsmanship, and continuously strengthened and optimized enterprise management, with its comprehensive competitiveness steadily improving. As of the end of 2024, the company had produced over 3.3 million mt of copper products and 8.7 million mt of sulphuric acid, with cumulative sales revenue of approximately $21 billion, effectively driving local economic development in Zambia and becoming a shining pearl along the Belt and Road! Enterprise History and Development Achievements (Pursuing Excellence, Benchmarking Against the Best and Forging Ahead) To extend the industry chain and retain more added value locally, in 2006, China Nonferrous Metal Mining (Group) Co., Ltd. cooperated with Yunnan Copper to introduce the advanced ISA copper smelting process to Zambia, with shareholding ratios of 60% and 40% respectively. From the design stage, the Company drew on successful experience in China and incorporated the characteristics of Zambian raw materials to re-optimize and re-innovate the key processes and technologies of the ISASMELT process, strengthening system integration. This resulted in multiple innovative achievements, including "Integration Innovation and Application of ISASMELT Furnace" and "Comprehensive Automated Control System," which were awarded the First Prize for Scientific and Technological Progress by China Nonferrous Metals Industry Association (CNIA) in 2010. The ISASMELT furnace campaign life broke world records multiple times, with the second campaign reaching 218 weeks and the third campaign reaching 244 weeks, establishing an international benchmark. In 2021 and 2022, the Company's copper production exceeded the designed capacity of 250,000 mt for two consecutive years, making history. In 2024, production further surpassed 260,000 mt, setting a new historical record. In September 2013, the Company was honored with the title of Advanced Collective of Central State-Owned Enterprises. In July 2021, it was successfully selected as a Benchmarking Enterprise under the administration of the State-owned Assets Supervision and Administration Commission of the State Council (SASAC). Process Flow (Dedicated and Professional, Striving for Excellence to Drive Development) The Company adopts the internationally advanced and mature process of "oxygen-enriched top-blown submerged bath smelting, electric furnace settling and separation, PS converter blowing, and anode furnace pyrometallurgy refining" to produce copper anode, and employs the "double-conversion double-absorption" process to produce sulphuric acid. Adhering to the concept of sustainable development, the Company has built a slag flotation recovery system with a daily processing capacity of 1,500 mt of furnace slag, and a bismuth recovery system with a daily processing capacity of 6 mt of flue dust, continuing to recover metals such as copper, cobalt, and bismuth from smelting slag and flue dust. Social Responsibility (Cooperation and Sharing, Giving Back to Society with Strong Responsibility) The Company actively practices its core values of "Dedication, Cooperation, and Sharing," consistently focusing on its core business of copper pyrometallurgy smelting, engaging in extensive cooperation with upstream and downstream clients, and sharing development achievements with employees and local communities. Since its establishment, the Company has cumulatively paid over $300 million in various taxes and fees in Zambia, created over 5,000 employment opportunities, and cooperated with more than 300 local suppliers, contributing to Zambia's green, harmonious, and shared development. The Company actively fulfills its social responsibilities by increasing investment in social welfare programs for local communities in Zambia, covering infrastructure, education, healthcare, and sanitation. These efforts include sponsoring the renovation of clinics in Kalulushi, supporting the Bushifire Orphanage, donating the construction of classrooms at Buyantashi School, Luato Market, Kankuko Bridge, Chibuluma Community Tennis Court, Chimfunshi Chimpanzee Rescue Center, and Modern Stars Football Club, among others. With a cumulative investment of over $4 million, the Company has earned high praise from local government and warm welcome from the public, establishing a strong corporate image. The Company actively promotes employee localization and continuously achieves skills transfer. The company invested over 5 million Kwacha, and externally carried out technical and non-technical training programs in electric welding, electrical power, pneumatics, technical control, management supervision, and equipment maintenance through the China-Zambia Vocational and Technical College, the TEVETA Fund, and other channels. Internally, through mentorship programs and other approaches, the company conducted business training in masonry, fitting, and other skills. The localization rate of the company's employees reached over 92%, the skills of local employees were significantly enhanced, and technical expertise was exported to the DRC. Vision and Outlook (Staying True to Our Original Aspiration, Building Tomorrow with a Shared Destiny) Innovation-driven development knows no bounds. Over the past decade and more, the company has upheld a sense of survival crisis and market competition awareness, adhered to innovation-driven development, and achieved high-quality growth. In 2021, the company's information technology infrastructure was completed and successfully put into use, with a commitment to building an automated, digitalized, and intelligent factory. In August 2023, the company's anode furnace pyrometallurgy refining system technical renovation project was completed and put into operation. In November 2024, the company's three-year action plan for technology-empowered safety and environmental protection was officially finalized, focusing on technology empowerment and fostering new quality productive forces, propelling the company's high-quality development to a new level. Through collaborative development, benchmarking against first-class standards, technological innovation, and increased production and efficiency, the company continues to advance toward its corporate vision of "becoming an evergreen, world-class smelter." The conference is scheduled to be held on September 15–16, 2026 in Lusaka, Zambia. You are cordially invited to participate! Conference Contact : Wu Tao: 18270916376 jennywu@smm.cn

Spring tides surge, ushering in a new chapter. In Q1, driven by the sustained improvement of the macro economy, China's non-ferrous metals industry, guided by the principle of stability with simultaneous gains in quality and efficiency, delivered an impressive report card of a "good start" — from steady recovery in industrial investment to sustained growth in market demand, from strengthening price resilience to an overall surge in enterprise profitability, and from continuous optimization of industrial structure to accelerating technological innovation. Steady Growth in the Non-ferrous Metals Industry On April 16, the National Bureau of Statistics (NBS) released Q1 macro economic data. In Q1, China's GDP grew 5.0% YoY, up 0.5 percentage points from Q4 last year, reaching the upper end of the full-year growth target range of 4.5%–5.0%, achieving a solid start for the economy. Among the data, industrial value added of enterprises above designated size grew 6.1% YoY. Among the three major sectors, mining grew 6% YoY; manufacturing grew 6.4% YoY, with high-tech manufacturing up 12.5% YoY; and the production and supply of electricity, heat, gas, and water grew 4.3% YoY. Among major industries' value added, non-ferrous metal smelting and rolling processing grew 2.5%. In Q1, China's production of ten major non-ferrous metals totaled approximately 20.53 million mt, up 3.6% YoY, including aluminum production of approximately 11.41 million mt, up 3.1% YoY. The non-ferrous metals industry achieved steady growth. The recently released monthly prosperity index report for the non-ferrous metals industry showed that in March, China's non-ferrous metals industry prosperity index stood at 38, up 2.8 points MoM, displaying a steady upward trend, with the industry overall exhibiting characteristics of stable production, steady investment, and sustained growth in profitability. Capacity utilization side, in Q1, the capacity utilization rate of non-ferrous metal smelting and rolling processing remained flat YoY and was slightly above the national average for industrial enterprises above designated size. The national capacity utilization rate for industrial enterprises above designated size was 73.6%, down 1.3% from Q4 last year and down 0.5% YoY. Among them, the mining industry's capacity utilization rate was 72.1, down 2.5% YoY; the capacity utilization rate of non-ferrous metal smelting and rolling processing was 77.2%, down 0.3% YoY. Notably, investment side, in March, investment in China's non-ferrous metal smelting and rolling processing turned from a 9.2% YoY decline in the previous two months to a 3.7% YoY increase, shifting from negative to positive and achieving a notable rebound. Market side, as China's macro economy maintained steady progress, the manufacturing PMI returned to expansion territory, industrial production grew steadily, and monetary policy remained prudent, providing support for the non-ferrous metals market. Aluminum prices in particular continued to strengthen, supported by costs and demand, with SHFE aluminum futures reaching a high of 25,965 yuan/mt. In addition, gold, cobalt, and lithium prices saw remarkable rebounds. Overall, amid a macro environment of stable supply and growing demand, the non-ferrous metals industry exhibited a steady and positive development trend. Profitability side, driven by the combined effects of high-level price fluctuations in major metal varieties and steady growth in market demand, industry profitability continued the steady growth momentum from the end of last year. In January–February, overall industry profitability improved significantly, with industrial enterprises above designated size achieving revenue of 1,713.17 billion yuan, up 28.3% YoY, and total profits of 123.16 billion yuan, up 133.5% YoY, with profitability steadily strengthening. Steady Growth in Publicly Listed Firms' Performance Driven by demand growth and industrial structure optimization, in Q1, the non-ferrous metals sector on A-shares delivered significant performance growth, with publicly listed firms in the non-ferrous industry generally reporting substantial profit increases. As of now, among non-ferrous metals companies on A-shares that have disclosed Q1 earnings forecasts, over 90% reported positive results, with nearly half posting YoY net profit growth exceeding 100%. Leading enterprises delivered particularly impressive results. Aluminum Corporation of China is expected to achieve Q1 net profit of approximately 5.302–5.585 billion yuan, up 50%–58% YoY, setting a record high for the same period. Yunnan Copper, benefiting from rising copper prices and the recovery of smelting TC, reported a Q1 earnings increase with net profit up approximately 45% YoY. CATL achieved Q1 revenue of 129.131 billion yuan, up 52.45% YoY, and net profit attributable to shareholders of approximately 20.738 billion yuan, up 48.52% YoY. Zijin Mining is expected to achieve net profit attributable to shareholders of 17–20 billion yuan, up 65%–97% YoY, with both volume and price of its two core products — copper and gold — rising, highlighting the advantages of its global resource deployment. CMOC, driven by rising prices of copper, cobalt, rare earths, and other products, is expected to achieve Q1 net profit of 7.5–9 billion yuan, up 90%–128% YoY. Shenhuo Co., benefiting from rising aluminum prices and declining raw material costs, is expected to achieve Q1 net profit of 2.25 billion yuan, up 217.68% YoY. Huayou Cobalt is expected to achieve Q1 net profit of 2.497 billion yuan, up 99.45% YoY, driven by robust demand for new energy battery materials and rising volumes and prices of nickel, cobalt, and lithium. Boosted by international gold prices hitting record highs, gold stocks saw explosive performance, with Western Gold expected to achieve Q1 net profit of 450–560 million yuan, up over 11 times YoY. In Q1, with stable supply and better-than-expected demand, the non-ferrous sector was broadly favored. International gold prices broke through $2,400/oz, the average SHFE copper price exceeded 100,000 yuan/mt, and prices of aluminum, tin, tungsten, rare earths, and other metals rose significantly YoY. The supply-demand pattern continued to improve — globally, new mine capacity was limited and ore grade at aging mines declined, keeping supply tight. Demand side, emerging markets such as AI computing power, NEVs, energy storage, and ultra-high voltage saw robust demand, while traditional infrastructure and real estate demand gradually recovered, driving sustained growth in the non-ferrous metals consumer market. Production cost and efficiency improvement side, enterprises advanced industry chain integration, green smelting for cost reduction, and refined management, significantly enhancing profitability. Notably, in this round of the non-ferrous sector's sharp rise, beyond traditional leading varieties such as copper, aluminum, and gold, minor metals including rare earths, tungsten, and antimony also delivered eye-catching performance. Additionally, the new energy revolution and changes in the geopolitical environment drove significant growth in demand for metals such as lithium and cobalt, boosting demand for strategic materials including non-ferrous metals and steel. Analysts believe that against the backdrop of intensifying global resource competition and the accelerating development of new energy and the digital economy, the non-ferrous metals industry, as a strategic raw material sector, is expected to see sustained and steady improvement in industry prosperity. Steady Breakthroughs in Technological Innovation Technological innovation is the core driving force and key pillar for the sustained and stable development of China's non-ferrous metals industry, and a vital engine for driving the industry's transformation toward high-end, intelligent, and green development. Through continuously deepening scientific research and innovation and persistent, solid efforts, China's non-ferrous metals industry has achieved fruitful results in technological innovation. Recently, a research team at the Institute of Metal Research, Chinese Academy of Sciences, successfully developed a "super copper foil" that enables smartphones, computers, and EVs to generate less heat, charge faster, and operate more safely during high-current charging. In daily life, electric current generates heat when passing through resistance — the higher the charging power, the hotter electronic devices become. This phenomenon is caused by the inconspicuous copper foil inside electronic devices. This wafer-thin "copper sheet" serves as both a conduit for electric current and a carrier of heat. However, for a long time, copper foil has faced an insurmountable challenge — high strength means poor conductivity; good conductivity means thermal stability cannot keep up. These three properties form an "impossible triangle," where improving one comes at the expense of the others. The "super copper foil" newly developed by the research team at the Institute of Metal Research, Chinese Academy of Sciences, has cracked this "impossible triangle" — maximizing strength, conductivity, and thermal stability simultaneously. First, strength surged. Ordinary industrial copper foil has a tensile strength of approximately 300–600 MPa, while the newly developed "super copper foil" achieves a tensile strength of 900 MPa, roughly twice as strong as conventional copper foil. Second, conductivity remained intact. Despite the significant increase in strength, the "super copper foil" maintains an electrical conductivity of 90% of high-purity copper. Compared with traditional copper alloys of similar strength, the "super copper foil" offers approximately twice the conductivity, truly achieving both strength and conductivity. Furthermore, the "super copper foil" also excels in thermal stability — after being stored for six months under normal conditions, its performance showed no degradation, making it suitable for long-term use in electronic products, batteries, and other applications. When manufacturing the "super copper foil," the research team added a trace amount of organic additive to the electroplating solution, causing numerous 3nm-sized "micro-locks" to form inside the copper foil. These "micro-locks" act like countless microscopic nails, firmly locking the gaps between copper crystal grains, naturally boosting the foil's strength significantly. These "micro-locks" bond seamlessly with the surrounding copper, so electrons passing through encounter virtually no obstacles, resulting in almost no loss of electrical conductivity. It can be said that copper foil serves as both the "nerves" of electronic devices and the "blood vessels" of the new energy industry. This "super copper foil" is already capable of continuous production under industrial conditions, opening new pathways for upgrading and iterating various devices including smartphones, AI chips, and EVs. The successful breakthrough of this technology holds significant strategic importance for the independent and controllable development of China's electronic information and new energy industries. Additionally, small-scale technological transformations and on-the-job innovations in production workshops also yielded remarkable results, becoming an important lever for quality and efficiency improvement in Q1. Baiyin Group's smelting system focused on maintaining continuous and stable production, rationally allocating raw material structures and dynamically adjusting process workloads in response to changes in raw materials and market conditions, achieving new highs in product quality while maintaining stable output. Dianzhong Non-ferrous Metals Co., Ltd., a subsidiary of China Copper, focused on comprehensive utilization of resources, successfully converting sulfur slag into a profit-generating "rich ore," forging a path that achieves both green, low-carbon development and economic benefits. The key technology for collaborative disposal and resource recovery of typical solid waste from copper, lead, and zinc, led by Kunming Institute of Metallurgy Research, won the first prize of the Environmental Technology Progress Award from the China Association of Environmental Protection Industry, thanks to its advanced technical capabilities and significant environmental benefits, providing a practical and feasible technical pathway for the industry's green transformation and making the conversion of solid waste into valuable resources a reality. In the production workshop of Luoyang Copper Processing Co., Ltd., the world's widest copper plate cold and hot rolling mill — the 3500mm copper and copper alloy wide-thick plate cold and hot rolling mill — completed its first trial rolling successfully, marking a major breakthrough for China in the field of high-end copper and copper alloy wide-thick plate rolling equipment. Spring heralds a new journey, with steady momentum and rising quality. In Q1, China's non-ferrous metals industry advanced steadily with gains in both volume and efficiency, demonstrating operational resilience; publicly listed firms maintained sound operations with continuously improving profitability, building a solid foundation for development with strong performance; innovative achievements in key material breakthroughs, green low-carbon smelting, and digital-intelligent transformation continued to materialize, injecting strong momentum into industrial upgrading and firmly establishing a high-quality start for the 15th Five-Year Plan period. Standing at a new starting point, the entire industry will build on stability, pursue progress to enhance quality, continue to deepen the industry chain, strengthen the innovation chain, and elevate the value chain. In Q2, the industry will seize the momentum and forge ahead, advancing the non-ferrous metals industry toward high-end, intelligent, and green development with more solid steps, and delivering an even more impressive non-ferrous metals report card for achieving stable growth and promoting transformation throughout the year.

In 2025, the zinc industry embraced a new phase of comprehensive development. Domestically, resource security continued to strengthen, smelting technology achieved breakthroughs and upgrades, and policies precisely supported green transformation and stable growth. Overseas, ore supply steadily increased, supply chain structures underwent profound adjustments, and global market inventory and trade systems were simultaneously optimized. The domestic and overseas industry chains worked in synergy, driving mutual progress. The industry as a whole demonstrated a new development pattern characterized by quality improvement in the resource sector, upgrades in the smelting sector, policy support, and revitalization in the market sector.