Financial Performance - The company's operating revenue for 2020 was ¥1,129.81 million, representing a 65% year-over-year increase[2]. - The net profit attributable to the parent company reached ¥23.29 million, up 25% year-over-year[2]. - Operating cash flow increased significantly by 398% year-over-year to ¥84.92 million[2]. - The company's operating revenue for 2020 was approximately CNY 112.98 billion, a 64.51% increase compared to CNY 68.68 billion in 2019[19]. - Net profit attributable to shareholders for 2020 was approximately CNY 2.33 billion, reflecting a 25.40% increase from CNY 1.86 billion in 2019[19]. - The net cash flow from operating activities for 2020 was approximately CNY 8.49 billion, a significant increase of 398.14% compared to CNY 1.70 billion in 2019[19]. - Basic earnings per share for 2020 was CNY 0.11, an increase of 22.22% compared to CNY 0.09 in 2019[20]. - The company's net profit increased from RMB 1.766 billion in 2019 to RMB 2.479 billion in 2020, representing a growth of RMB 713 million or 40.37%[84]. - The revenue for the reporting period reached RMB 112.98 billion, a 64.51% increase compared to RMB 68.68 billion in the previous year[85]. Cost Management - The company successfully completed a cost reduction target of $500 million ahead of schedule, with a total cost reduction of $365 million in the copper and diamond segment[4]. - The mining business segments achieved a cost reduction of over 29.30 billion RMB, with the DRC copper-cobalt segment reducing cash operating costs by approximately 365 million USD[65]. - The total cost of materials in the mining and processing segment was ¥5.74 billion, accounting for 40.84% of total costs, a decrease of 22.93% compared to the previous year[96]. - The company reported a significant increase in the purchase cost of mineral trading, amounting to ¥99.79 billion, reflecting a 92.47% increase year-on-year[96]. Market Position and Strategy - The company is one of the largest producers of tungsten and cobalt globally, ranking 22nd among the top 50 mining companies by market capitalization in 2020[26]. - The company aims to enhance cost advantages through continuous improvement and cost control while expanding resource reserves via external investments[26]. - The company’s vision is to become a respected, world-class modern resource company, focusing on both internal growth and external investments[26]. - The IXM acquisition in July 2019 positioned the company as the third-largest base metal trader globally, with operations in 62 countries and a strong logistics network[30]. - The company is actively seeking investment and acquisition opportunities in high-quality resource projects globally[31]. Production and Resource Management - The company indirectly holds 80% interest in the TFM copper-cobalt mine, covering an area of over 1,500 square kilometers, with main products being cathode copper and cobalt hydroxide[28]. - The KFM copper-cobalt mine has a total resource of approximately 365 million tons, with an average copper grade of 1.72% and cobalt grade of 0.85%, indicating significant exploration potential[28]. - The company owns 100% of the CIL phosphate mine in Brazil, which covers the entire phosphate industry chain, producing high and low concentration phosphate fertilizers and animal feed supplements[29]. - The company has a total resource amount of 412.18 million tons of molybdenum and tungsten at the Sandaozhuang Molybdenum-Tungsten Mine, with a production capacity of 18.29 million tons per year and a remaining mine life of 11 years[113]. - The TFM Copper-Cobalt Mine in the Democratic Republic of Congo has a resource amount of 851.9 million tons of copper with a grade of 2.9% and a remaining mine life of 32 years[113]. Environmental and Social Responsibility - The company has established a sustainable development policy as a core competitive advantage, with compliance and sustainability frameworks audited by a renowned international law firm[54]. - The company has received multiple awards for its corporate social responsibility and sustainable development efforts, including the "2020 Golden Bee Corporate Social Responsibility China List" and the "2020 Evergreen Award" for sustainable development internal control[55]. - The company has donated approximately 150 million RMB to poverty alleviation and education projects over the past seven years, primarily in Luanchuan County, a national-level poverty-stricken area[172]. - In response to the COVID-19 pandemic, the company donated over 2 million RMB worth of medical protective materials to local governments and hospitals[172]. - The company has committed 20 million RMB to ecological protection and environmental governance in Luanchuan County[172]. Risk Management - The company has described potential risks in the "Discussion and Analysis of Operating Conditions" section of the report[10]. - The company emphasizes the importance of investors being aware of investment risks[10]. - The company faces risks related to price fluctuations of major products, particularly non-ferrous metals and phosphate products, which significantly impact revenue[143]. - The company is exposed to risks associated with reliance on mineral resources, including potential increases in production costs and challenges in resource recovery[144]. - The company has implemented measures to manage safety risks and is continuously improving safety management systems to mitigate potential hazards[146]. Shareholder and Governance - The company has a robust shareholder structure and a healthy balance sheet, with cash reserves of RMB 16.9 billion and unused credit facilities exceeding RMB 110 billion, ensuring ample liquidity[63]. - The company has implemented a cash dividend policy, distributing at least 30% of the distributable profits as cash dividends when conditions allow[153]. - The company plans to repurchase A-shares for employee stock ownership plans, with commitments from major shareholders not to increase or decrease their holdings in the next six months[158]. - The company has a long-term commitment to avoid competition with its controlling shareholders and ensure the independence of its operations[157]. - The company’s board of directors will consider industry characteristics and major capital expenditure plans when proposing specific cash dividend plans[153]. Legal Matters - The company is involved in a lawsuit where it was ordered to pay RMB 1.724 million in damages to Yangshuao, with additional litigation costs of RMB 196,500 and expert fees of RMB 133,500[160]. - The company has ongoing legal matters in its copper-cobalt business in the Democratic Republic of Congo, but management believes these will not have a significant adverse impact on financial conditions[163]. - The company has potential legal claims in its niobium-phosphate business in Brazil, with provisions made for likely losses while others are disclosed in financial notes[163]. Environmental Compliance - The company reported zero discharge of wastewater, maintaining compliance with environmental regulations[180]. - The company has implemented online monitoring systems for emissions to ensure compliance with environmental standards[184]. - The company aims to be recognized as a leading green enterprise and strives for advanced industry indicators in pollution control[189].

Financial Performance - The company achieved operating revenue of RMB 46.744 billion, a year-on-year increase of 368.44%, with a quarter-on-quarter growth of 8.84% in Q2[3]. - Net profit reached RMB 1.002 billion, up 29.56% year-on-year, and increased by 38.39% quarter-on-quarter in Q2; attributable net profit to shareholders was RMB 1.008 billion, a 24.73% year-on-year increase[3]. - Net cash inflow from operating activities was RMB 4.251 billion, representing a 90.66% increase year-on-year[4]. - Basic earnings per share increased to RMB 0.047, a rise of 27.03% compared to the same period last year[5]. - The total comprehensive income for the current period was RMB 970.78 million, an increase of 24.67% from RMB 778.70 million in the previous year[51]. - The company reported a net increase in cash and cash equivalents of RMB 2,981.95 million, compared to a decrease of RMB 2,850.57 million in the previous year, reflecting a growth of 204.61%[53]. - The company’s total operating costs increased to RMB 47.95 billion, reflecting a 409.21% increase from RMB 9.42 billion year-over-year[50]. Cost Management - The company reduced production and operational costs by over RMB 1 billion year-on-year through various efficiency improvement measures[3]. - The company reported a cash cost reduction of over RMB 1 billion across its mining segments, with a 40.6% decrease in cash costs per unit for the copper-cobalt segment in the Democratic Republic of Congo[39]. - The company implemented various cost-saving measures, resulting in a reduction of management expenses and improved operational efficiency[39]. Market Conditions - The average domestic market price for molybdenum concentrate decreased by 11.71% year-on-year to RMB 1,538 per ton[8]. - The average price of tungsten concentrate was RMB 83,700 per ton in the first half of 2020, a decline of 10.95% year-on-year[16]. - The average price of APT was RMB 128,600 per ton in the first half of 2020, down 12.10% year-on-year[16]. - The cobalt market is expected to remain balanced in 2020, with prices fluctuating due to demand from electric vehicles and consumer electronics[21]. - The company’s revenue is significantly affected by the price fluctuations of non-ferrous metals and phosphate products, which could lead to instability in operating performance if prices drop sharply[91]. Strategic Initiatives - The company aims to optimize its capacity structure while pursuing external investments to expand resource reserves and growth potential[7]. - The company signed metal flow agreements to enhance capital strength and reduce financing costs, supporting future growth strategies[3]. - The integration of IXM is expected to enhance resource sharing and cost efficiency, driving future profitability[43]. - The company is focusing on technological innovation and process improvements, achieving better recovery rates and product quality in its operations[42]. Debt and Financing - The company maintained a debt-to-asset ratio of 58.95%, indicating a relatively stable financial structure despite pandemic impacts[3]. - Long-term borrowings increased by 13.53% to RMB 18.48 billion, indicating a shift towards long-term financing[48]. - The company secured a long-term metal streaming agreement with Triple Flag Precious Metals Corp, obtaining a cash prepayment of $550 million, enhancing its capital strength and reducing financing costs[44]. Operational Highlights - The company has successfully navigated the impacts of the COVID-19 pandemic, ensuring stable production across its business segments[38]. - IXM achieved a mineral metal trading volume of 1.24 million tons and refined metal trading volume of 1.14 million tons during the reporting period[37]. - The TFM copper-cobalt mine achieved a copper metal production of 90,972 tons and cobalt metal production of 6,543 tons[35]. Risk Management - The company faces foreign exchange risks primarily related to its non-functional currency assets and liabilities, particularly with currencies such as USD, CNY, BRL, GBP, and CDF[95]. - The company has implemented hedging arrangements for currencies with high volatility, such as the Brazilian Real and Australian Dollar, to manage foreign exchange risks[96]. - The political and economic conditions in countries where the company operates, such as the Democratic Republic of Congo, pose significant policy risks that could affect operations[97]. Corporate Governance - The company has maintained high standards of corporate governance to protect shareholder interests and enhance company value[123]. - The board of directors consists of eight members, with a term of three years, eligible for re-election[110]. - The audit and risk committee reviewed the unaudited financial statements for the six months ended June 30, 2020, and found them compliant with relevant accounting standards[129]. Sustainability and Social Responsibility - The company has established a sustainable development committee to enhance compliance and sustainability policies, aligning with international best practices[84]. - The company received recognition for its corporate social responsibility efforts, including awards for sustainable development and community investment projects[84].

Financial Performance - The company's operating revenue for the first half of 2020 reached ¥46.74 billion, a significant increase of 368.44% compared to ¥9.98 billion in the same period last year[18]. - Net profit attributable to shareholders was ¥1.01 billion, up 24.73% from ¥807.99 million in the previous year[18]. - The net cash flow from operating activities was ¥4.25 billion, representing a 90.66% increase from ¥2.23 billion in the same period last year[18]. - The total assets at the end of the reporting period were ¥120.67 billion, an increase of 3.26% from ¥116.86 billion at the end of the previous year[19]. - The net assets attributable to shareholders decreased slightly by 0.17% to ¥40.73 billion from ¥40.80 billion at the end of the previous year[19]. - Basic earnings per share for the first half of 2020 were ¥0.047, reflecting a 27.03% increase from ¥0.037 in the same period last year[20]. - The weighted average return on net assets increased to 2.44%, up by 0.49 percentage points from 1.95% in the previous year[20]. - The company reported a decrease of 27.21% in net profit attributable to shareholders after deducting non-recurring gains and losses, amounting to ¥507.76 million compared to ¥697.56 million last year[18]. - The company reported a total non-operating income of RMB 500,055,898.40, with significant contributions from government subsidies and fair value changes of financial assets[21]. Business Operations and Structure - The company has undergone a structural reorganization of its niobium and phosphate business in Brazil, merging three legal entities into CMOC Brasil Mineração Indústria e Participações Ltda[9]. - The company is the largest producer of tungsten and the second-largest producer of cobalt and niobium globally, with operations spanning across Asia, Africa, South America, Oceania, and Europe[23]. - The company holds an 80% stake in the TFM copper-cobalt mine in the Democratic Republic of Congo, covering an area of over 1,500 square kilometers, focusing on exploration, mining, refining, and sales[24]. - The company has 100% ownership of the CIL phosphate mine and NML niobium mine in Brazil, covering the entire phosphate industry chain and producing high-concentration fertilizers[27]. - The company acquired IXM, the third-largest base metal trader globally, enhancing its mineral trading capabilities across 62 countries[31]. - The company emphasizes a centralized management approach for its mining operations while actively seeking investment and acquisition opportunities globally[32]. - The company has established a business model integrating mining, IXM, and terminal processing plants, enhancing sales of cathode copper and copper concentrate[36]. Market and Commodity Insights - The average price of standard-grade cobalt in the first half of 2020 was $15.67 per pound, down 5% from $16.50 per pound in the first half of 2019[45]. - The company’s cobalt products are primarily used in battery materials, while niobium is essential for producing high-strength low-alloy steel[30]. - The company expects a recovery in cobalt demand driven by the growth of 5G consumer electronics and increased electric vehicle production in Europe[47]. - The global cobalt market is experiencing a supply contraction, with major producers reducing output expectations amid ongoing pandemic challenges[89]. - The global copper market saw a significant recovery, with LME copper prices rising from a low of $4,371 per ton in March to over $6,000 per ton by the end of June[86]. - Cobalt prices stabilized at $14 per pound due to supply reductions from major producers and a recovery in global demand for consumer electronics and power markets[89]. - The global cobalt market is expected to remain balanced in 2020, with prices fluctuating due to demand from electric vehicles and consumer electronics, despite supply concentration risks[99]. Risk Management - The company emphasizes the importance of risk awareness regarding forward-looking statements made in the report, which may differ significantly from actual future results[4]. - The company’s risk management department ensures strict execution of risk control policies, contributing to stable and sustainable profits[42]. - The company anticipates continued volatility in commodity prices due to global economic uncertainties and the impact of the COVID-19 pandemic[43]. - The company faces risks related to price fluctuations of its main products, which include copper and phosphorus products, impacting profitability[137]. - The company is highly dependent on mineral resources, and any adverse changes in market prices or production costs could affect its operational capacity[138]. - The company is exposed to foreign exchange risks due to its operations in multiple currencies, including USD, RMB, and others[142]. - The company monitors policy risks in various countries where it operates, including changes in mining laws and tax policies that could impact operations[143]. Environmental and Social Responsibility - The company is committed to environmental protection, with no exceedances reported in pollutant emissions as of the end of June[189]. - The company has implemented a comprehensive pollution discharge standard, ensuring compliance with environmental regulations[190]. - The company has successfully reduced water pollutants through the implementation of a rainwater and sewage separation system[200]. - The company has donated a total of 131.648 million yuan for poverty alleviation and education in Luanchuan County over the past seven years[181]. - In response to the COVID-19 pandemic, the company donated over 2 million yuan worth of medical protective materials to local governments and hospitals[181]. - The company has implemented various poverty alleviation projects, including agricultural, tourism, and e-commerce initiatives[182]. - The company has focused on "consumption poverty alleviation," "industrial poverty alleviation," and "educational poverty alleviation" as its guiding principles[181]. Future Outlook and Strategic Initiatives - The company aims to optimize its cost structure and enhance operational efficiency through continuous improvement and cost control strategies[23]. - The company’s vision is to become a respected world-class resource company, focusing on both organic growth and external investments to expand resource reserves[23]. - The company plans to continue its poverty alleviation efforts, focusing on preventing poverty recurrence and ensuring high-quality completion of designated assistance tasks[186]. - The company is advancing its organizational structure and management upgrades to adapt to future opportunities and challenges, emphasizing a culture of accountability and collaboration[69].

Financial Performance - In 2019, the company achieved a revenue of approximately RMB 68.7 billion, with Ecosen contributing about RMB 49.2 billion from July onwards[9]. - The company's EBITDA for the year was approximately RMB 8.1 billion, with a mining segment EBITDA margin of 39%, reflecting a decline compared to the previous year due to falling cobalt prices and persistent low copper prices[9]. - The net profit attributable to the parent company was approximately RMB 1.857 billion, with a proposed dividend distribution of approximately RMB 929 million, accounting for 50% of the net profit[9]. - The company reported a revenue of RMB 68.68 billion for 2019, a 164.52% increase compared to RMB 25.96 billion in 2018[18]. - Net profit attributable to shareholders decreased by 59.94% to RMB 1.86 billion in 2019 from RMB 4.64 billion in 2018[18]. - Basic earnings per share decreased by 57.14% to RMB 0.09 in 2019 from RMB 0.21 in 2018[19]. - The total comprehensive income decreased by 57.53% to RMB 2.28 billion, down from RMB 5.36 billion[24]. - The company reported a net cash flow from operating activities of RMB 1.70 billion, down 81.93% from RMB 9.43 billion in 2018[18]. Debt and Financial Structure - The company maintained a debt-to-asset ratio of 57.65% at the end of 2019, which would be 51.36% excluding Ecosen, and a net interest-bearing debt ratio of 25.34% (17.36% excluding Ecosen)[9]. - In 2019, the company completed financing totaling USD 1 billion in overseas bonds and syndicate loans, along with RMB 4 billion in domestic short-term financing and corporate bonds, optimizing its debt structure[13]. - Short-term borrowings rose significantly by 305.15% to RMB 18.59 billion from RMB 4.59 billion[23]. - Total liabilities increased by 30.51% to RMB 67.37 billion from RMB 51.62 billion[23]. - The asset-liability ratio rose by 6.65 percentage points to 57.65% in 2019, compared to 51.00% in 2018[18]. Operational Efficiency and Cost Management - The company implemented cost-cutting measures that resulted in a reduction of cash costs by approximately RMB 1.47 billion compared to 2018, with significant savings achieved in various operational areas[11]. - The company aims to identify and seize opportunities amid market volatility, focusing on value creation and sustainable development[16]. - The company is focusing on integrating its business operations to enhance efficiency and drive growth, particularly through the synergies created by its recent acquisitions[49]. Production and Resource Management - The company expects to produce at least 15,000 tons of nickel metal content annually from its investment in the Indonesian nickel-cobalt project once completed[15]. - The company reported a molybdenum metal production of 14,918 tons and tungsten metal production of 10,722 tons during the reporting period[46]. - The company aims to produce between 163,000 to 200,000 tons of copper and 14,000 to 17,000 tons of cobalt in 2020, reflecting its production capacity and market expectations[55]. - The company plans to produce between 12,000 to 15,000 tons of molybdenum and 7,000 to 9,000 tons of tungsten in 2020, indicating a focus on maintaining production levels in these segments[56]. Market Conditions and Price Fluctuations - The company anticipates continued volatility in resource prices, particularly for copper and gold, impacting future performance[26]. - The cobalt price plummeted by 56.13%, averaging USD 16.093 per pound compared to USD 36.68 per pound in the previous year[28]. - The copper market outlook for 2020 is uncertain, heavily influenced by the COVID-19 pandemic, with potential recovery depending on effective control of the situation[38]. - The company is focusing on expanding its market presence and enhancing operational efficiency amid fluctuating metal prices[31]. Sustainability and Compliance - The company established a cross-departmental sustainability execution committee to revise compliance and sustainability policies[10]. - The company has implemented a series of sustainable development policies to address safety, environmental, and anti-corruption issues, ensuring compliance across its global operations[54]. - The company has updated its compliance and sustainability policies based on international best practices, including the ICMM's sustainable development principles[200]. - The company aims to improve its environmental management capabilities and achieve sustainable development through advanced technologies and practices[197]. Corporate Governance - The company is committed to high standards of corporate governance to protect shareholder interests and enhance company value and accountability[123]. - The board consists of 8 members, including 2 executive directors, 3 non-executive directors, and 3 independent non-executive directors, complying with the Hong Kong Listing Rules[126]. - The company has established various committees under the board to oversee corporate governance functions and has authorized them with specific responsibilities[125]. - The company has received annual confirmations of independence from all independent non-executive directors, ensuring compliance with the independence guidelines[128]. Acquisitions and Strategic Development - The company completed the acquisition of a 24% minority stake in the TFM copper-cobalt mine in the Democratic Republic of Congo and a 100% stake in IXM, enhancing its control over key mining assets and expanding its mineral trading business[48]. - The company acquired 100% equity of IXM for USD 495 million, enhancing its international competitiveness and resource position[103]. - The company initiated a five-year strategic development plan, focusing on maximizing the potential of its existing asset portfolio[16]. Risk Management - The company has a mature risk management system in place, ensuring effective execution of risk control policies through a dedicated risk management department[177]. - The ongoing COVID-19 pandemic poses risks to global economic stability, potentially leading to demand shrinkage and price declines for the company's products[118]. - The company faces foreign exchange risks due to its operations in multiple currencies, including USD, AUD, and BRL, and employs financial instruments to manage these risks[119].

Financial Performance - Revenue for the first half of 2019 was RMB 9.98 billion, a decrease of 29.03% year-on-year, but a quarter-on-quarter increase of 22.83% in Q2[2] - Net profit for the same period was RMB 0.77 billion, down 78.52% year-on-year, with a significant quarter-on-quarter increase of 102.65% in Q2; attributable net profit to shareholders was RMB 0.81 billion, a decrease of 74.12% year-on-year[2] - Operating cash flow for the period was RMB 2.23 billion, down 58.80% year-on-year, while total EBITDA was RMB 3.6 billion[2] - The company reported a basic earnings per share of RMB 0.037, down 74.48% year-on-year, and a diluted earnings per share not applicable[4] - Total operating revenue decreased by 29.03% to CNY 9,978,669,307.74 from CNY 14,059,795,748.04 in the same period last year[43] - Net profit for the first half of 2019 was CNY 773,490,604.62, a significant decline of 78.5% from CNY 3,600,925,555.74 in the same period of 2018[120] - The company's total comprehensive income for the first half of 2019 was CNY 778,704,660.85, a decrease from CNY 3,616,063,738.87 in the first half of 2018[121] Asset and Liability Management - The company’s total assets at the end of the reporting period were RMB 99.74 billion, a decrease of 1.63% compared to the previous year[3] - Current assets decreased by 9.15% to CNY 24,208,211,649.67, with a significant drop of 63.10% in trading financial assets[39] - Total current assets as of June 30, 2019, amounted to CNY 36,828,514,022.09, a decrease from CNY 39,164,384,408.39 as of December 31, 2018[112] - Total liabilities slightly decreased by 0.12% to approximately $51.73 billion from $51.80 billion[42] - The company's total equity decreased by 3.22% to approximately $48.00 billion from $49.60 billion[42] - The asset-liability ratio increased from 51.08% to 51.87% as of June 30, 2019, reflecting a rise in total liabilities relative to total assets[64] Investment and Acquisitions - The company completed the acquisition of IXM, enhancing its position in the global resource sector and initiating a 24% minority stake acquisition in TFM to stabilize resource control[2] - The company plans to acquire a 24% minority stake in TFM in Congo for a total consideration of $470 million, pending completion of the transaction[84] - The acquisition of IXM for $495 million plus net income during the period will enhance the company's international competitiveness and expand its business scope[85] Market Conditions and Commodity Prices - The average price of molybdenum concentrate in the domestic market was RMB 1,742 per ton, a year-on-year increase of 7.60%[8] - The international price of copper cathodes was USD 6,164 per ton, a decrease of 11.28% year-on-year[9] - The average cobalt price in H1 2019 was $14.87 per pound, a decrease of nearly 61% compared to the same period last year[14] - The average price of tungsten concentrate in H1 2019 was RMB 94,000 per ton, a year-on-year decline of 14.90%[16] - Global refined copper consumption is expected to grow by 1.5% to 23.9 million tons in 2019[19] Operational Efficiency and Technological Advancements - The company is advancing technology upgrades in its Brazilian niobium operations to improve recovery rates and operational efficiency[35] - The implementation of a driverless intelligent scheduling system and the application of 5G technology in unmanned mining are ongoing initiatives to enhance operational efficiency[35] - The company has received multiple awards for its technological innovations, including the first-class award from the China Nonferrous Metals Industry Association for its intelligent mining equipment[72] Risk Management - The company is exposed to risks related to price fluctuations of its main products, including copper and cobalt, which can significantly impact operational performance[75] - The company actively manages foreign exchange risks related to non-local currency assets and liabilities, primarily involving USD, HKD, EUR, and other currencies[79] - The company has established a comprehensive safety management system to mitigate risks associated with mining operations and natural disasters[77] Employee and Management Structure - As of June 30, 2019, the company had approximately 11,000 full-time employees, with 62.07% in production, 14.28% in quality control, research and development, and 14.07% in management and administration[97] - The company has a performance-based compensation system linked to company performance and employee work performance, ensuring fairness and consistency[97] - The company is actively implementing a talent strategy to enhance management capabilities and support long-term development[74] Taxation and Regulatory Environment - The new mining law in the Democratic Republic of Congo has raised resource tax rates from 2% to 3.5% and for strategic resources to 10%[28] - The corporate income tax is calculated based on the taxable income adjusted according to relevant tax laws, with the applicable tax rate detailed in the report[137] - The company benefits from a 90% reduction in taxable income for tungsten powder sales under resource utilization tax incentives for the period from January 1, 2019, to June 30, 2019[141] Environmental and Social Responsibility - The company aims for a "zero" target in safety and environmental management, emphasizing continuous improvement in sustainable development practices[36] - The company has a robust safety and environmental responsibility system in place to enhance its risk prevention capabilities[77] Research and Development - Research and development expenses increased to CNY 122,672,256.28 in the first half of 2019, up from CNY 72,065,988.91 in the first half of 2018, reflecting a focus on innovation[120]