Company Overview - Zhaojin Mining has approximately 39.19 million ounces of gold mineral resources and about 15.79 million ounces of recoverable gold reserves as of December 31, 2021[8]. - The company is recognized as one of China's leading gold producers and the largest gold refining enterprise in the country[8]. - Zhaojin Mining aims to continuously increase gold reserves and production while actively participating in the integration and development of gold resources domestically and internationally[8]. - The company was established on April 16, 2004, and listed on the Hong Kong Stock Exchange on December 8, 2006[8]. - Zhaojin Mining's operations are primarily located in Zhaoyuan City, which accounts for approximately 10% of China's total remaining gold resources[8]. - The company has multiple subsidiaries and joint ventures across major gold-producing regions in China as of December 31, 2021[8]. - Zhaojin Mining's development philosophy emphasizes sustainable growth and delivering excellent performance to shareholders and society[8]. Financial Performance - The company's total revenue for 2021 was approximately RMB 6,859,446,000, a decrease of about 10.32% compared to RMB 7,648,587,000 in 2020[17]. - The net profit for 2021 was approximately RMB 191,033,000, representing a significant decline of about 84.53% from RMB 1,234,798,000 in 2020[17]. - Earnings per share attributable to ordinary shareholders were RMB 0.01, a decline of approximately 96.80% from RMB 0.32 in 2020[17]. - The gross profit was approximately RMB 2,692,077,000, representing a decrease of about 25.53% from RMB 3,615,171,000 in 2020, with a gross margin of approximately 39.25%[34]. - Other income and gains decreased by approximately 30.84% to RMB 557,978,000 from RMB 806,759,000 in 2020[34]. - The company's net profit attributable to shareholders was approximately RMB 33,697,000, a significant decrease of about 96.80% from RMB 1,052,163,000 in 2020[36]. Production and Operations - The total gold production for the year was 23,657.20 kg (approximately 760,596.10 ounces), a decrease of about 33.58% compared to the previous year[16]. - The copper production for 2021 was 7,216 tons, down approximately 38.12% year-on-year[17]. - The company aims to achieve a total gold production of 27,978.34 kg (approximately 89.95 million ounces) in 2022, with 14,722.53 kg (approximately 47.33 million ounces) coming from mining[43]. - In 2021, the total gold ore consumption was 4,613,989 tons with an average grade of 2.43 g/t, resulting in a total metal amount of approximately 106.93 tons[26]. - The total copper ore consumption in 2021 was 125,346 tons with an average grade of 1.42%, yielding a total metal amount of approximately 29.86 kt[27]. Technological Advancements - The company reported a commitment to technological advancement and management innovation to enhance its competitive advantages in gold production[8]. - The company implemented 42 technical innovation projects and applied for 87 patents, with 125 patents granted throughout the year[20]. - The company is recognized as a national high-tech enterprise, reflecting its commitment to innovation in the gold industry[8]. Corporate Governance - The company has a strong focus on internal audits, human resources, and management, with experienced personnel in key positions[54][55]. - The board of directors consists of 11 members, including 3 executive directors, 4 non-executive directors, and 4 independent non-executive directors[134]. - The independent non-executive directors account for 36% of the board, meeting the listing rules requirements[135]. - The company emphasizes the importance of corporate governance as a shared responsibility among directors, including policy formulation and compliance monitoring[162]. Social Responsibility - The company engaged in social responsibility initiatives, providing over RMB 6 million in donations and support for 110 households in poverty alleviation efforts[20]. - The company has maintained a good relationship with customers throughout the year, with no reported strikes or workplace accidents[75]. - The company respects the interests of employees, shareholders, government, and community, ensuring employee welfare and community benefits[177]. Future Outlook - The company has provided a positive outlook for the next fiscal year, projecting a revenue growth of 12% to 15% based on current market trends[48]. - The company will invest RMB 933 million in infrastructure and technological upgrades in 2022[43]. - A total of RMB 40 million is allocated for technological innovation projects, with 35 projects planned for the year[43]. - The company aims to add 26 tons of new gold resources and 1,000 tons of new copper resources through geological exploration investments of RMB 124 million in 2022[44]. Shareholder Information - The company has a total of 6,896 employees as of December 31, 2021, and invested RMB 2.7864 million in employee training during the year[77]. - The company has established an employee stock ownership plan to enhance corporate governance and retain talent[88]. - The major shareholders' interests in the company's issued share capital were disclosed, with specific percentages noted[83]. Risk Management - The company has committed to a risk management strategy to ensure stable development and safety in production[44]. - The company has established a framework for ongoing transactions with its controlling shareholder, ensuring compliance with regulatory requirements[100]. - The company has a board of directors consisting of four non-executive directors and four independent non-executive directors, accounting for approximately 72.73% of the total board members[141].

Financial Performance - The company achieved revenue of approximately RMB 3,486,564,000 for the six months ended June 30, 2021, representing an increase of about 11.32% compared to RMB 3,131,980,000 in the same period last year [11]. - Net profit for the period was approximately RMB 95,443,000, a decrease of about 79.08% from RMB 456,168,000 in the same period last year [12]. - The profit attributable to equity holders of the parent company was approximately RMB 18,163,000, down about 95.60% from RMB 412,392,000 in the same period last year [13]. - Basic and diluted earnings per share were approximately RMB 0.006, a decrease of about 95.38% compared to RMB 0.13 in the same period last year [14]. - Gross profit for the period was approximately RMB 1,179,467,000, down about 13.06% from RMB 1,356,700,000 in the same period last year, with a gross margin decrease from approximately 43.32% to 33.83% [24]. - Other income and gains were approximately RMB 264,220,000, a decrease of about 28.68% from RMB 370,459,000 in the same period last year, mainly due to reduced fair value gains [25]. Production and Operations - Total gold production was approximately 13,549.79 kg (about 435,635.55 ounces), a decrease of about 11.03% year-on-year, with mined gold down by 32.67% [12]. - The total copper production was approximately 3,720 tons, a decrease of about 21.88% compared to the previous year [12]. - The company completed geological exploration investments of RMB 33,564,000 in the first half of the year, resulting in an additional gold metal amount of 18.26 tons and copper metal amount of 502.65 tons [16]. - The company faced significant pressure but managed to maintain operations and development amidst challenges, focusing on pandemic prevention and safety management [15]. Costs and Expenses - The comprehensive gold production cost was approximately RMB 242.98 per gram, an increase of about 45.16% from RMB 167.39 per gram in the same period last year [22]. - Sales costs for the period were approximately RMB 2,307,097,000, an increase of about 29.96% from RMB 1,775,280,000 in the same period last year, attributed to a higher proportion of purchased gold concentrate [23]. Assets and Liabilities - The total assets of the group as of June 30, 2021, were approximately RMB 40,302,103,000, reflecting a 1.54% increase from RMB 39,689,617,000 as of December 31, 2020 [31]. - The total liabilities as of June 30, 2021, were approximately RMB 23,400,601,000, an increase of about 3.39% from RMB 22,632,646,000 as of December 31, 2020 [33]. - The net asset value as of June 30, 2021, was approximately RMB 16,901,502,000, a decrease of about 0.91% from RMB 17,056,971,000 as of December 31, 2020 [32]. Shareholder Information - The total number of shareholders as of June 30, 2021, is 1,415, comprising 2 domestic shareholders and 1,413 overseas H-share shareholders [45]. - The major shareholder, Shanghai Jinyuan Tourism Mall (Group) Co., Ltd., holds 742,000,000 shares, representing 22.69% of the issued H shares [49]. - Guo Guangchang, through controlled entities, holds 869,200,000 shares, accounting for 26.58% of the issued H shares [49]. Cash Flow and Financing - Cash and cash equivalents as of June 30, 2021, were approximately RMB 2,069,293,000, an increase of about 12.43% from RMB 1,840,469,000 as of December 31, 2020 [29]. - The company issued short-term financing bonds with a face value of RMB 1 billion at an interest rate of 2.70% for a term of 180 days, aimed at repaying interest-bearing debts [64]. - The company reported a net cash inflow from financing activities of RMB 1,081,629,000 for the six months ended June 30, 2021, compared to RMB 1,660,005,000 in the same period of 2020, representing a decrease of approximately 34.7% [84]. Future Plans and Strategies - The company plans to achieve a total gold production of 23,347.84 kg (approximately 750,649.93 ounces) for the year, with 12,305.34 kg (approximately 395,625.57 ounces) coming from mined gold [40]. - The company aims to enhance production efficiency through technology diagnostics and improving recovery rates, focusing on high-quality development [40]. - The company will implement automation and intelligent systems in mining operations to enhance safety and efficiency [41]. Compliance and Governance - The company maintained compliance with the Corporate Governance Code during the reporting period, with no known violations [69]. - The Audit Committee reviewed the interim financial report for the six months ended June 30, 2021, and confirmed it was prepared in accordance with applicable accounting standards [71].

Financial Performance - The company's revenue for 2020 reached RMB 7,648,587,000, an increase from RMB 6,329,928,000 in 2019, representing a growth of approximately 20.8%[13] - Gross profit for 2020 was RMB 3,615,171,000, compared to RMB 2,289,963,000 in 2019, indicating a significant increase of about 58.1%[13] - The profit attributable to equity holders of the company was RMB 1,052,163,000, up from RMB 479,270,000 in the previous year, marking a growth of approximately 100.5%[13] - The company reported a pre-tax profit of RMB 1,337,421,000, which is an increase from RMB 595,687,000 in 2019, reflecting a growth of about 124.8%[13] - The earnings per share for 2020 was RMB 0.32, compared to RMB 0.15 in 2019, representing a growth of approximately 113.3%[13] - Net profit for 2020 was approximately RMB 1,234,798,000, a significant increase of about 181.77% compared to RMB 438,235,000 in 2019, primarily due to a substantial rise in gold prices[19] - The gross profit was approximately RMB 3,615,171,000, representing a 57.87% increase from RMB 2,289,963,000 in 2019, with a gross margin of about 47.27%[42] - Other income and gains increased by approximately 62.15% to RMB 806,759,000 from RMB 497,525,000 in 2019, primarily due to higher investment income[42] Production and Resources - In 2020, the total gold production reached 35,615.93 kg (approximately 1,145,077.92 ounces), an increase of about 8.93% compared to the previous year[19] - The total gold mineral resources owned by the company amounted to approximately 38.46 million ounces, with a recoverable gold reserve of about 15.43 million ounces as of December 31, 2020[11] - The company achieved a total gold production of 35,615.93 kg (approximately 1,145,077.92 ounces), with a year-on-year increase of 5.61% in self-produced gold of 16,467.48 kg (approximately 529,441.37 ounces)[25] - The total gold ore reserves for the company are reported at 147.119 million tons with an average grade of 3.63 g/t, yielding a total metal content of 534.27 tons[30] - The copper ore reserves amount to 11.651 million tons with an average grade of 1.21%, resulting in a total metal content of 141.35 kt[30] - The company has identified a significant increase in inferred resources, with the total gold ore reserves increasing to 195.398 million tons and a total metal content of 662.10 tons[30] - The average recovery rate for the company's gold mines is approximately 92.05%, with a dilution rate of about 7.11%[39] - The average recovery rate for the company's copper mine is approximately 93.95%, with a dilution rate of about 2.10%[39] Strategic Planning and Future Outlook - The company aims to continuously increase gold reserves and production while actively participating in the integration and development of domestic and international gold resources[11] - The company plans to leverage its advantageous geographical location and rich mineral resources to enhance its technological and cost advantages in gold production[11] - The company is committed to achieving sustainable profit growth and aims to become a top-tier gold production enterprise in China and globally[11] - Future guidance indicates a potential increase in production output by 10% in the next fiscal year, driven by new mining projects and resource expansions[31] - The company plans to achieve a total gold production of 36,259.63 kg (approximately 1.1658 million ounces) in 2021[53] - The company will invest RMB 1.091 billion in infrastructure and technological upgrades, focusing on key projects such as Ruihai Mining and Caogoutou[53] - A total of RMB 0.64 billion is allocated for technological innovation, with 48 projects planned for 2021[53] - The company aims to add 44 tons of new gold resources and 1,200 tons of new copper resources through geological exploration investments of RMB 1.95 billion[54] Investments and Expenditures - The company invested RMB 1.12 billion in geological exploration, resulting in an additional gold metal volume of 22.75 tons and copper metal volume of 1,510 tons[25] - The company completed infrastructure and technological transformation investments totaling RMB 789 million, enhancing production capacity and operational efficiency[27] - The company allocated RMB 145 million for safety investments and RMB 68 million for environmental protection initiatives[27] - The company plans to invest in advanced mining technologies to improve extraction rates and reduce operational costs[31] Corporate Governance and Management - The company has a strong focus on human resources and management consulting, with board members holding significant positions in other listed companies[58] - The company is committed to maintaining high standards in corporate governance, as reflected in the qualifications of its board members[57] - The company’s leadership has a proven track record of success in the mining sector, contributing to its competitive positioning in the market[55] - The board of directors consists of 11 members, including 3 executive directors, 4 non-executive directors, and 4 independent non-executive directors, ensuring diverse industry backgrounds and experiences[173] - The company has a strong management team with extensive experience in financial management and operations within the mining sector[66] - The company emphasizes safety as a priority, implementing strict safety management measures and enhancing safety culture[54] Shareholder and Dividend Information - The company plans to distribute a cash dividend of RMB 0.05 per share for the year, up from RMB 0.04 per share in 2019[20] - The board proposed a final cash dividend of RMB 0.05 per share for the year 2020, an increase from RMB 0.04 per share in 2019[72] - The company declared a cash dividend of RMB 0.04 per share for the fiscal year ended December 31, 2019, distributed on June 30, 2020[137] Related Party Transactions - The financial company is a related party, holding approximately 51% of the company, and is involved in continuous related transactions under the group financial services agreement[113] - The proposed annual caps for deposit services under the parent group financial services agreement exceed 25%, constituting a major transaction requiring compliance with listing rules[114] - The company has established multiple framework agreements with its controlling shareholder, Zhaojin Group, indicating ongoing related party transactions[122][123][124][126] Compliance and Risk Management - The company has complied with the Corporate Governance Code as of December 31, 2020, with no known violations during the year[164] - The audit committee reviewed the audited consolidated financial statements, confirming compliance with applicable accounting standards and legal requirements[165] - The company does not face any significant uncertainties that could severely impact its ability to continue as a going concern[198] Community Engagement and Social Responsibility - The company engaged in community support, contributing over RMB 6 million for pandemic relief and poverty alleviation efforts[27] - Total charitable donations for the year amounted to RMB 6,089,000, a decrease from RMB 10,604,000 in 2019[79]

Financial Performance - The company achieved revenue of approximately RMB 3,131,980,000 for the six months ended June 30, 2020, representing an increase of about 11.14% compared to RMB 2,817,982,000 in the same period of 2019[11]. - Net profit for the period was approximately RMB 456,168,000, a significant increase of about 78.24% from RMB 255,923,000 in the same period last year[12]. - The profit attributable to equity holders of the parent company was approximately RMB 412,392,000, reflecting a growth of about 72.65% from RMB 238,855,000 in the previous year[13]. - Basic and diluted earnings per share were approximately RMB 0.13, an increase of about 85.71% compared to RMB 0.07 in the same period of 2019[14]. - Gross profit was approximately RMB 1,356,700,000, a 26.60% increase from RMB 1,071,636,000 in the same period last year, with a gross margin rising from 38.03% to 43.32%[25]. - The total profit for the six months ended June 30, 2020, was RMB 579,525,000, compared to RMB 324,919,000 for the same period in 2019, representing an increase of approximately 78.5%[96]. Production and Operations - Total gold production was approximately 15,228.84 kg (about 489,618.20 ounces), a decrease of about 4.13% year-on-year, with mined gold down 21.85% and refined gold up 27.09%[12]. - The overall gold production in China decreased by 5.87% year-on-year, with a total output of 170.07 tons in the first half of 2020[15]. - The company achieved a total gold production of 15,228.84 kg (approximately 489,618.20 ounces) in the first half of the year, with a significant contribution from core enterprises like Dayingezhuang and Zaozigou mines[16]. - The company faced challenges due to the COVID-19 pandemic but managed to recover operations quickly, especially in the second quarter[15]. Financial Position - The total assets of the group as of June 30, 2020, were approximately RMB 43,829,543,000, representing an increase of about 8.89% from RMB 40,251,780,000 as of December 31, 2019[34]. - The total liabilities as of June 30, 2020, were approximately RMB 26,668,877,000, an increase of about 16.51% from RMB 22,888,922,000 as of December 31, 2019[36]. - The net asset value as of June 30, 2020, was approximately RMB 17,160,666,000, a decrease of about 1.16% from RMB 17,362,858,000 as of December 31, 2019[35]. - The leverage ratio as of June 30, 2020, was approximately 51.13%, up from 46.26% as of December 31, 2019[36]. Investments and Expenditures - The company invested RMB 2.39 billion in key infrastructure and technological upgrades during the first half of the year[18]. - The company plans to invest RMB 98 million in research and development to enhance production capacity and efficiency[45]. - The company aims to invest RMB 61 million in geological exploration, with plans for 17,600 meters of pit exploration and 66,000 meters of drilling, targeting 12 tons of gold and 900 tons of copper[46]. - Capital expenditures for the six months ended June 30, 2020, totaled RMB 625,095,000, with the gold business accounting for RMB 591,053,000[110]. Shareholder Information - As of June 30, 2020, the total number of shareholders was 1,497, with 1,490 being overseas listed H-share shareholders[49]. - Major shareholder, Shandong Gold Group, holds 1,136,211,009 shares, representing 34.74% of the registered capital and 51.15% of the total shares[51]. - Shanghai Yuguo Travel Mall holds 742,000,000 shares, accounting for 22.69% of the registered capital and 33.41% of the total issued domestic shares[52]. - The company has authorized the board to repurchase up to 10% of the total issued H-shares[67]. Cash Flow and Financing - Cash generated from operating activities for the first half of 2020 was RMB 1,960,146,000, significantly up from RMB 655,957,000 in 2019, indicating a growth of about 198.5%[98]. - The net cash flow from operating activities was RMB 1,895,902,000 for the first half of 2020, compared to RMB 567,409,000 in 2019, reflecting a substantial increase[98]. - The net cash inflow from financing activities for the six months ended June 30, 2020, was RMB 1,660,005,000, a decrease of 39.4% compared to RMB 2,745,931,000 in the same period of 2019[99]. - The company reported a decrease in interest expenses on deposits to RMB 5,213,000 in 2020 from RMB 9,192,000 in 2019, indicating a reduction of 43%[140]. Compliance and Governance - The company maintained compliance with the Corporate Governance Code during the reporting period, with no known breaches[80]. - The company’s audit committee reviewed the interim financial report and confirmed it was prepared in accordance with applicable accounting standards and legal requirements[80]. - The company confirms that it maintains sufficient public float as of the report date[63]. Market and Economic Conditions - The average international gold price for the first half of 2020 was USD 1,645.42 per ounce, representing a year-on-year increase of 25.94%[15]. - Approximately 92% of the group's assets and over 99% of its revenue were generated within China, indicating a strong domestic market focus[115]. - The company is focused on establishing a scientific and efficient benchmarking management system to achieve strategic goals[48].

Financial Performance - The company's revenue for 2019 was RMB 6,329,928 thousand, a decrease of 11.8% compared to RMB 7,177,057 thousand in 2018[11]. - Gross profit for 2019 was RMB 2,289,963 thousand, down from RMB 2,482,208 thousand in the previous year, reflecting a decline of 7.8%[11]. - The net profit attributable to shareholders for 2019 was RMB 479,270 thousand, slightly up from RMB 474,287 thousand in 2018, indicating a growth of 1.1%[11]. - The company reported a basic earnings per share of RMB 0.15 for 2019, unchanged from the previous year[11]. - Total assets for 2019 reached RMB 40,251,780,000, an increase of approximately 12.4% from RMB 35,887,179,000 in 2018[12]. - Net profit for 2019 was approximately RMB 438,235,000, down 23.96% from RMB 576,303,000 in 2018, primarily due to a decrease in gross profit[17]. - The company proposed a cash dividend of RMB 0.04 per share for 2019, unchanged from 2018[18]. - The net asset value per share for 2019 was RMB 5.31, slightly up from RMB 5.22 in 2018[12]. - The company's revenue for the year was approximately RMB 6,329,928,000, a decrease of about 11.80% compared to RMB 7,177,057,000 in 2018[39]. - The cost of sales for the year was approximately RMB 4,039,965,000, a decrease of about 13.95% from RMB 4,694,849,000 in 2018[39]. - Gross profit was approximately RMB 2,289,963,000 with a gross margin of about 36.18%, a decrease in gross profit of about 7.74% but an increase in gross margin of about 4.60% compared to the previous year[39]. - Other income and gains increased by approximately 13.06% to RMB 497,525,000, primarily due to an increase in interest income[39]. - Financing costs rose by approximately 37.80% to RMB 662,180,000, attributed to an increase in interest-bearing debt[40]. - The company's net profit attributable to shareholders was approximately RMB 479,270,000, an increase of about 1.05% from RMB 474,287,000 in 2018[40]. - Cash and cash equivalents increased from approximately RMB 1,143,299,000 at the end of 2018 to approximately RMB 3,508,307,000 at the end of 2019[40]. - The company's leverage ratio increased to 46.26% from 44.65% in the previous year, reflecting increased financing needs[41]. Production and Resources - As of December 31, 2019, the company had approximately 39.43 million ounces of gold mineral resources and about 16.07 million ounces of recoverable gold reserves[9]. - Gold production totaled 32,696.38 kg (approximately 1,051,212.24 ounces) in 2019, a decline of about 4.32% year-over-year[17]. - The company completed geological exploration investments of RMB 0.85 billion, resulting in an additional gold metal volume of 21.08 tons and copper metal volume of 2,195.85 tons, with total gold resources amounting to 1,226.50 tons and recoverable reserves of 499.73 tons by year-end[22]. - The company achieved a total gold production of 32,696.38 kg (approximately 1,051,212.24 ounces), with mineral gold production at 19,768.11 kg (approximately 635,559.02 ounces)[22]. - The company’s total gold production in 2019 saw a year-on-year decrease of 5.21% in China's gold output, which was 380.23 tons[21]. - The total JORC certified resource for gold across various mines is 556.39 tons for proven and controlled resources and 670.11 tons for inferred resources[29]. - The total ore quantity for gold mines is 152.684 million tons for proven and controlled resources and 198.510 million tons for inferred resources[29]. - The average grade for gold across the mines is 3.64 g/t for proven and controlled resources and 3.38 g/t for inferred resources[29]. - The total metal quantity for copper from the mines is 145.36 kt for proven and controlled resources and 185.43 kt for inferred resources[29]. - The company is focusing on expanding its mining operations and enhancing resource extraction efficiency[29]. - The company is focusing on expanding its mining operations and enhancing its resource base through exploration[30]. - Future outlook includes potential increases in metal production as new reserves are developed and existing operations are optimized[30]. Strategic Initiatives and Future Plans - The company aims to continue increasing gold reserves and production while actively participating in the integration and development of domestic and international gold resources[9]. - The company plans to leverage its advantageous geographical location and rich mineral resources to enhance its technological and cost advantages in gold production[9]. - The company aims to focus on "high-quality comprehensive development" in 2020, emphasizing performance management and quality improvement[15]. - The company plans to enhance its management and operational efficiency to achieve stable growth and high-quality development in the coming years[15]. - The company plans to achieve a total gold production of 32,374.7 kg (approximately 1.04 million ounces) in 2020[47]. - The company will invest RMB 818 million in key projects including the construction of the Ruihai Mining selection project and the expansion of the Fengning Jinlong selection plant[47]. - The company aims to enhance safety and environmental management with an investment of RMB 235 million, focusing on mechanization, automation, and digitalization[49]. - The company will strengthen its external development strategy, focusing on the "Belt and Road" initiative to optimize resource allocation[48]. - The company is exploring potential mergers and acquisitions to further expand its market presence and resource base[20]. - The company has provided a positive outlook for the next fiscal year, projecting a revenue growth of 12% to 15%, targeting a total revenue of approximately $1.2 billion[53]. - New product development includes the launch of a high-efficiency gold extraction technology, expected to reduce costs by 10%[51]. - A strategic acquisition of a local mining company is in progress, which is anticipated to increase annual production capacity by 30%[53]. Corporate Governance and Management - The company has a strong management team with extensive experience in the gold production industry, including members with over 30 years of experience[59]. - The company’s financial management is overseen by a team with rich experience in corporate finance, tax management, and internal controls[60]. - The company has a robust governance structure with a board of supervisors and experienced senior management[59]. - The company emphasizes high standards of corporate governance as key to its success and shareholder value creation[137]. - The board consists of three executive directors, accounting for 27% of the total board members, enhancing management oversight[141]. - Four independent non-executive directors represent 36% of the board, meeting the listing rules requirements for independence and expertise[141]. - The board held a total of 8 meetings and 3 shareholder meetings during the year, with attendance rates for executive directors ranging from 87.5% to 100%[143]. - The company has established a risk management and internal control system to ensure asset protection and compliance with regulations, with regular evaluations conducted by the internal audit department[172]. - The company has established a clear organizational structure with defined responsibilities, involving department heads in strategic planning for the next three years to achieve annual operational and financial goals[173]. - The company has a comprehensive management accounting system that provides financial and operational performance indicators, with budget variances analyzed and corrective actions taken as necessary[173]. Environmental and Social Responsibility - The company has implemented strict environmental protection measures to prevent and control pollution during production activities[73]. - The company’s environmental policy focuses on compliance with environmental regulations, resource conservation, and continuous improvement towards creating a green mining operation[187]. - The total wastewater discharge in 2019 decreased by 7.69% year-on-year, amounting to 360,000 tons[189]. - The total air emissions in 2019 were 15.68% lower than the previous year, with a total of 15.6 million cubic meters of waste gas released[188]. - The company achieved a comprehensive energy consumption reduction of 16% in 2019, with a total energy consumption of 6.25 kg per ton[191]. - The company invested RMB 230 million in 2019 to promote new technology applications and ecological restoration[192]. - The company maintained a strong relationship with 839 suppliers, all based in China, ensuring effective supply chain management[199]. - The company adhered to anti-corruption regulations and enhanced its compliance culture through various educational initiatives[200]. - The company focused on emergency management and safety culture, resulting in no fatalities or workdays lost due to occupational injuries[197]. - The company implemented energy-saving measures that resulted in over RMB 17 million in electricity savings[191]. Shareholder Engagement and Communication - The company emphasizes the importance of shareholder meetings for direct communication between the board and shareholders, ensuring at least 45 days' notice for all shareholders[184]. - The company established a dedicated investor relations phone line and email to address investor inquiries, ensuring transparency in information disclosure[183]. - The company held over 60 one-on-one meetings with institutional investors and analysts, engaging nearly 100 fund managers in 2019[183]. - The company received multiple awards for its investor relations management, including the "Best Investor Relations Award" at the 2019 China Corporate Elite Awards[183]. - The company encourages shareholders to attend meetings and engage in discussions regarding operational status and financial data[175]. Employee Relations and Development - The company has a total of 6,765 employees as of December 31, 2019, and invested RMB 2.01 million in employee training during the year[78]. - The company maintained a competitive employee compensation policy linked to performance, enhancing management and technical career paths[78]. - The company implemented various training programs to enhance skills, emphasizing long-term career development for employees[198]. - The company conducted over 1,500 safety training sessions, training more than 42,000 individuals, including construction teams[198]. Related Party Transactions - The company has established systems and procedures to identify, measure, manage, and control various risks, including legal, credit, market, operational, and environmental risks[173]. - The independent non-executive directors have reviewed Zhaojin Group's compliance with the non-competition agreement, confirming no conflicts of interest exist[182]. - Related party transactions with Shandong Zhaojin Geological and the Material Supply Center are subject to annual review and reporting requirements, exempting independent shareholder approval due to their percentage ratios being below 5%[97].

Financial Performance - For the six months ended June 30, 2019, the company reported revenue of approximately RMB 2,817,982,000, a decrease of about 1.76% compared to RMB 2,868,567,000 in the same period last year[11]. - The net profit for the same period was approximately RMB 255,923,000, representing a decline of about 33.85% from RMB 386,882,000 in the previous year[12]. - The profit attributable to equity holders of the parent company was approximately RMB 238,855,000, down about 20.81% from RMB 301,638,000 in the same period last year[14]. - Basic and diluted earnings per share were approximately RMB 0.07, a decrease of about 22.22% compared to RMB 0.09 in the previous year[15]. - The comprehensive gold production cost was approximately RMB 160.17 per gram, an increase of about 9.40% compared to RMB 146.38 per gram in the same period last year[24]. - Gross profit for the period was RMB 1,071,636 thousand, down from RMB 1,190,984 thousand in 2018, indicating a decrease of about 10%[89]. - The company reported a total tax expense of RMB 68,996,000 for the first half of 2019, down from RMB 98,452,000 in the same period of 2018, a decrease of approximately 30%[147]. Production and Operations - The total gold production was approximately 15,885.08 kg (about 510,716.69 ounces), a decrease of about 4.37% year-on-year, with mined gold increasing by 0.36% to 10,134.78 kg (about 325,840.62 ounces) and refined gold decreasing by 11.71% to 5,750.29 kg (about 184,876.07 ounces)[13]. - The company completed gold production of 10,134.78 kg (approximately 325,840.51 ounces) and copper smelting output of 3,810 tons in the first half of the year[18]. - The company experienced a decrease in copper production of approximately 19.69%, totaling about 9,781 tons during the period[196]. - In the first half of 2019, China's raw gold production was 180.68 tons, a decrease of 5.05% year-on-year, with gold mine production down 4.78% to 153.89 tons[17]. Financial Position - As of June 30, 2019, the company's net asset value per share was approximately RMB 5.25, with a return on equity of about 1.51%, down from 2.30% in the same period last year[16]. - As of June 30, 2019, the total assets of the group amounted to approximately RMB 39.34 billion, an increase of about 9.63% compared to RMB 35.89 billion as of December 31, 2018[35]. - The total liabilities of the group as of June 30, 2019, were approximately RMB 22.43 billion, representing an increase of about 17.55% from RMB 19.08 billion as of December 31, 2018[37]. - The net asset value of the group as of June 30, 2019, was approximately RMB 16.92 billion, a growth of about 0.64% from RMB 16.81 billion as of December 31, 2018[36]. - The leverage ratio as of June 30, 2019, was approximately 45.82%, compared to 44.65% as of December 31, 2018[37]. Cash Flow and Financing - The company's cash and cash equivalents increased by approximately 209.53% to RMB 3,538,904,000 as of June 30, 2019, compared to RMB 1,143,299,000 as of December 31, 2018[31]. - Net cash inflow from operating activities was RMB 567,409 thousand, down from RMB 765,603 thousand year-on-year[109]. - Net cash inflow from financing activities was RMB 2,745,931 thousand, significantly higher than RMB 832,262 thousand in the previous year[111]. - The company issued short-term financing bonds totaling RMB 7 billion with a term of 270 days at an interest rate of 3.45% on January 15, 2019, and RMB 1 billion with a term of 180 days at an interest rate of 3.15% on March 27, 2019[73]. - The company completed the issuance of USD 300 million guaranteed bonds with a 5.50% interest rate, maturing in 2022, on March 1, 2019[74]. Strategic Focus and Future Plans - The company emphasized a work focus on "reform, development, and stability," aiming for steady growth through deepening reforms and implementation[17]. - The company will focus on "stabilizing production, increasing revenue, and expanding capacity" as the main strategy for the second half of the year[46]. - The company aims to enhance production efficiency through infrastructure upgrades and technological innovations, targeting cost control and maximizing sales effectiveness[47]. - The company plans to strengthen safety and environmental protection measures, ensuring stable operations while adhering to ecological principles[49]. - The company will implement a systematic approach to financial and operational management, aiming to reduce non-productive expenses and improve overall efficiency[47]. Corporate Governance and Compliance - The company has adhered to the Corporate Governance Code during the reporting period, ensuring compliance with the relevant rules[78]. - The company has made changes to its articles of association and shareholder meeting rules as part of its governance updates[68]. - The audit committee reviewed the interim financial report for the six months ended June 30, 2019, and found it to be prepared in accordance with applicable accounting standards[81]. - The company has published 41 announcements and communications on the Hong Kong Stock Exchange and its website to ensure timely and accurate information disclosure[82]. Shareholder Information - The board of directors did not recommend the distribution of an interim dividend for the six months ended June 30, 2019[17]. - A cash dividend of RMB 0.04 per share (before tax) was approved for the fiscal year ending December 31, 2018[68]. - The company confirms that it maintains sufficient public float for its shares during the reporting period[66]. - The company did not engage in any purchase, sale, or redemption of its listed securities during the reporting period[66]. Employee and Workforce Development - The company had a total of 6,450 employees as of June 30, 2019, and offers competitive compensation packages along with various employee benefits[68]. - The company provided training and development opportunities for employees, reflecting its commitment to workforce development[68]. - The company plans to continue reviewing employee compensation annually based on market trends and regulations[68].

Financial Performance - The company's revenue for 2018 reached RMB 7,177,057,000, an increase from RMB 6,673,999,000 in 2017, representing a growth of approximately 7.5%[11] - Gross profit for 2018 was RMB 2,482,208,000, compared to RMB 2,634,529,000 in 2017, indicating a decrease of about 5.8%[11] - The profit attributable to equity holders of the company was RMB 474,287,000 in 2018, down from RMB 643,951,000 in 2017, reflecting a decline of approximately 26.4%[11] - The company reported a pre-tax profit of RMB 756,703,000 for 2018, a decrease from RMB 888,184,000 in 2017, which is a decline of about 15%[11] - The earnings per share for 2018 was RMB 0.15, compared to RMB 0.20 in 2017, indicating a decrease of 25%[11] - The net profit for the year was approximately RMB 576,303,000, a decrease of about 23.57% compared to RMB 754,029,000 in 2017, primarily due to reduced gross profit and increased other expenses[24] - The board of directors proposed a cash dividend of RMB 0.04 per share, down from RMB 0.06 per share in 2017[26] - The total assets as of December 31, 2018, were RMB 35,887,179,000, an increase from RMB 33,812,886,000 in 2017[22] - The total liabilities amounted to RMB (19,079,614,000), up from RMB (17,048,978,000) in 2017[22] - The net asset value was RMB 16,807,565,000, slightly up from RMB 16,763,908,000 in 2017[22] Production and Resources - The total gold mineral resources owned by the company amounted to approximately 39.6 million ounces, with a recoverable gold reserve of about 16.4 million ounces as of December 31, 2018[9] - In 2018, the total gold production reached 34,173.34 kg (approximately 1,098,697.59 ounces), an increase of about 1.28% compared to the previous year[22] - The copper production for the year was 16,422.82 tons, representing a year-on-year decrease of approximately 10.87%[23] - The total gold resource amount as of December 31, 2018, was 1,231.61 tons (approximately 39.6 million ounces), with a recoverable reserve of 511.24 tons (approximately 16.4 million ounces)[38] - The total gold ore reserves increased from 156.933 million tons to 197.440 million tons, with an average grade of 3.62 g/t to 3.36 g/t, resulting in a total metal quantity of 568.20 tons to 663.42 tons[40] - The copper ore reserves rose from 12.830 million tons to 17.804 million tons, with an average grade of 1.21% to 1.04%, leading to a total metal quantity of 155.48 kt to 184.75 kt[40] Investments and Innovations - The company invested RMB 1.05 billion in geological exploration, resulting in an additional gold metal volume of 52.12 tons[32] - The company completed investments of RMB 536 million in 56 planned projects, with significant progress in key projects such as the Xiadian Gold Mine and Dayingezhuang Gold Mine[33] - A total of 43 technology innovation projects were implemented, with an investment of RMB 118 million, leading to significant improvements in various processes[35] - The company invested RMB 200 million in safety and environmental protection, enhancing its sustainable development efforts[37] - The company plans to achieve a total gold production of 32,853.13 kg (approximately 1.05 million ounces) in 2019[76] - The company will invest RMB 9.48 billion in 2019 for construction projects, focusing on key mining operations[78] - A total of 84 research projects will be implemented in 2019, with an investment of RMB 1.77 billion, targeting key innovation projects to enhance competitiveness[78] Management and Governance - The company has a robust management team with over 35 years of industry experience, exemplified by Mr. Li Shousheng, who has made substantial contributions to technology and management in the gold sector[92] - The independent directors bring a wealth of knowledge in financial management, risk control, and corporate governance, enhancing the company's strategic direction[87][90] - The board of directors includes key executives with substantial shareholdings, indicating strong alignment with shareholder interests[135] - The company has appointed independent non-executive directors with extensive experience in finance and management, including Ms. Chen Jinrong and Mr. Cai Sicong, who hold various prestigious positions in other listed companies[87][89]. Market Presence and Strategic Initiatives - The company is focusing on expanding its market presence and enhancing its resource base through strategic acquisitions and exploration initiatives[40] - The company plans to expand its market presence in Southeast Asia, targeting a 30% increase in market share within the next two years[84] - A recent acquisition of a mining company is projected to add an additional 100,000 ounces of gold production annually[83] - The company has implemented new strategies focusing on sustainability, aiming for a 40% reduction in carbon emissions by 2025[86] Compliance and Regulations - The company has adopted strict environmental protection measures to comply with current environmental laws and regulations[125] - There were no significant violations of applicable laws and regulations by the company during the year[126] - The independent auditor confirmed that disclosed related party transactions were approved by the board and complied with pricing policies[171] - The company received a compliance statement from Zhaojin Group regarding the non-competition agreement, confirming adherence as of December 31, 2018[173] Shareholder Information - Major shareholder Shandong Zhaojin Group holds approximately 1,086,514,000 shares, representing 33.74% of the registered capital[138] - Fosun International Limited owns approximately 869,200,000 shares, accounting for 26.99% of the registered capital[139] - The total number of issued domestic shares is approximately 3,224,000,000, with major shareholders holding over 5% of the shares[137] - The employee stock ownership plan allows for the purchase of shares, with each plan share corresponding to one domestic share[136] Future Outlook - The overall performance indicates a positive outlook for future production and resource development, with ongoing investments in new technologies and mining techniques[40] - The company emphasizes a management and technology-driven approach to enhance operational efficiency and quality[78] - The company has a strong focus on safety management, with Wang Chunguang serving as vice president and safety director since March 2018[99]