Summary of Zijin Mining Conference Call Company Overview - **Company**: Zijin Mining (2899.HK) - **Market Cap**: HK$1,039,659 million (US$133,058 million) [4] Industry Insights - **Industry**: Mining, specifically focusing on copper, gold, lithium, zinc, silver, and molybdenum production. Key Production Guidance - **2026 Production Guidance**: - Copper: 1.20 million tons (mnt), +10% YoY - Gold: 105 tons, +17% YoY - Lithium: 120 kilotons (kt), +380% YoY - Zinc: 400 kt, flat YoY - Silver: 520 tons, +19% YoY - Molybdenum: 15 kt, +36% YoY [1][6] - **2028 Production Targets**: - Copper: 1.5-1.6 mnt, flat compared to previous guidance - Gold: 130-140 tons, +30 tons compared to previous guidance - Lithium: 270-320 kt, +20 kt compared to previous guidance - Zinc: 400-450 kt, -150 kt compared to previous guidance - Silver: 600-700 tons, flat compared to previous guidance - Molybdenum: 25-35 kt, flat compared to previous guidance [2][6] Growth Projections - **CAGR (Compound Annual Growth Rate)**: - Gold: 13-16% from 2025-2028E - Copper: 11-14% from 2025-2028E - Lithium: 121-134% from 2025-2028E [2][3] Strategic Objectives - **Global Ranking**: Zijin aims to rank in the top 3 globally for mined copper and gold output by 2028, an improvement from the previous target of 3-5th [2]. Financial Valuation - **Target Price**: HK$39.00/share based on DCF valuation with a WACC of 8.2% and a terminal growth rate of 2.5% [4][8]. Risks Identified - **Major Risks**: - Lower-than-expected gold and copper prices - Capital expenditure overruns in projects under development - Cost inflation affecting profitability - Lower than expected gold and copper output [9][11] Conclusion - **Investment Recommendation**: Maintain as a top pick due to expected growth through expansion plans and M&A activities [3].

Core Viewpoint - Bank of America Securities reports that Zijin Mining has raised its production guidance for gold, copper, and lithium for the years 2026 to 2028, indicating strong long-term growth potential and favorable commodity price outlooks [1] Production Guidance - Zijin Mining expects gold production to reach 130 to 140 tons by 2028, up from the previous guidance of 100 to 110 tons, with a compound annual growth rate (CAGR) of 13% to 16% from 2025 to 2028 [1] - The company projects copper production to reach 1.5 to 1.6 million tons by 2028, reflecting a CAGR of 11% to 14% during the same period [1] - Lithium production guidance has been increased to 270,000 to 320,000 tons for 2028, up from the previous range of 250,000 to 300,000 tons, indicating a CAGR of 121% to 134% from 2025 to 2028 [1] Investment Rating - Bank of America Securities reaffirms Zijin Mining as a preferred stock, maintaining a "Buy" rating with target prices of HKD 50 for H-shares and HKD 45 for A-shares, citing strong long-term production growth, strict cost control, and reasonable valuation [1]

Core Viewpoint - Zijin Mining has raised its gold production target for the next three years, aiming to increase its gold output to 130-140 tons by 2028, positioning itself among the top three globally in gold production [2][12]. Production Targets - The company plans to increase its gold production from a previously set target of 100-110 tons in 2028 to 130-140 tons, which represents a 50% increase from the 2025 baseline [2][12]. - The production targets for other minerals include copper, which is expected to rise from 109,000 tons in 2025 to 150,000-160,000 tons by 2028, and silver, projected to increase from 437 tons in 2025 to 600-700 tons by 2028 [3][13]. Strategic Focus on Gold - Zijin Mining has shifted its focus towards gold, as evidenced by the increased weight of its gold business in its overall portfolio, leading to significant growth in profits and market value [4][11]. - The company's revenue from gold production has shown a substantial increase, with gold output rising from 56 tons to 90 tons between 2022 and 2025, marking a 61% increase [5][6]. Market Position and Competitiveness - As of 2025, Zijin Mining's gold production is expected to be significantly higher than its closest domestic competitor, Shandong Gold, and it has improved its global ranking from 9th to 5th in gold production [10][11]. - The company aims to surpass Agnico Eagle and Barrick Gold, which are currently ranked second and third in global gold production, by leveraging its high growth rate in gold output [17]. Future Growth and Projects - The company plans to support its ambitious gold production targets through various projects, including the Norton Gold Mine in Australia and the Buriticá Gold Mine in Colombia, as well as new acquisitions in Africa [18]. - A recent acquisition worth 28 billion yuan is expected to contribute approximately 12 tons of gold production by 2025, with further potential for increased output through expansion [18].

Core Viewpoint - The announcement outlines the production planning for major mineral products from 2026 to 2028 and sets a long-term vision for 2035, aiming to establish the company as a "green, high-tech, top-tier international mining group" [2][10]. Group 1: Background and Financial Performance - The company has successfully completed its targets for 2023-2025, achieving significant economic indicators and ranking among the top 3-5 globally in copper and gold production [3]. - In 2025, the company completed the acquisition of control over Zangge Mining and the spin-off of Zijin Gold International, leading to a substantial increase in market capitalization, which exceeded 1.1 trillion yuan in January 2026 [4]. - The company ranked 251st in the 2025 Forbes Global 2000 list, an increase of 74 places from 2022, and 4th among global metal mining companies [4]. Group 2: Industry Analysis - The global mining landscape is undergoing significant changes due to geopolitical risks, supply chain disruptions, and the demand for critical minerals driven by energy transitions [7]. - The company has established competitive advantages through market-oriented operations, resource acquisition strategies, and innovative management practices [7]. Group 3: Planning Goals - The company aims to enhance its resource reserves, production capacity, sales revenue, and profitability by 2028, with copper and gold production targeting the top 3 globally [10]. - By 2035, the company aspires to achieve significant growth in key performance indicators, with some reaching the top position globally [10]. Group 4: Strategic Initiatives - The company will prioritize resource acquisition, focusing on gold and copper, while also developing a competitive lithium segment [11]. - It plans to accelerate production capacity for key minerals, including gold and copper, and aims to become one of the largest lithium producers globally [12][13]. - The company will address international talent shortages and enhance its ESG framework to improve its global standing [15][19]. Group 5: Operational Improvements - The company will implement a globalized operational management system that aligns with international standards while maintaining its unique characteristics [17]. - It will leverage capital markets to enhance its capital structure and attract long-term investors [18].

Group 1 - The core viewpoint of the article highlights the performance of the Non-ferrous Metals ETF Fund (516650), which opened with a gain of 1.90% at 2.145 yuan [1] - Major holdings in the Non-ferrous Metals ETF include Zijin Mining, which rose by 3.50%, and other companies such as Luoyang Molybdenum, Northern Rare Earth, and Huayou Cobalt, which also experienced gains [1] - The fund's performance benchmark is the CSI Sub-Industry Non-ferrous Metals Theme Index return, managed by Huaxia Fund Management Co., with a return of 110.83% since its inception on June 9, 2021, and a 4.15% return over the past month [1]

Core Viewpoint - Zijin Mining has raised its gold production target for the next three years, aiming to increase its gold output to 130-140 tons by 2028, positioning itself among the top three globally in gold production [1][11]. Production Plans - The company originally set a gold production target of 100-110 tons for 2028, but due to recent acquisitions of gold mining assets, it is likely to achieve an annual output of 100 tons by 2026, two years ahead of schedule [1][11]. - The new target requires an increase of 40-50 tons in gold production over the next three years, representing a 50% growth compared to the 2025 baseline [1][11]. Comparison with Competitors - Currently, the largest gold producer globally is Newmont Corporation, with a projected output of over 180 tons in 2025. Zijin Mining has at least 50% room for improvement to match Newmont's production levels [2]. - The company aims to surpass Agnico Eagle and Barrick Gold, which are currently ranked second and third in gold production [2][14]. Financial Performance - Zijin Mining's revenue grew by approximately 28%, while its total profit surged by around 167%, indicating that the growth in the gold segment has significantly outpaced overall revenue growth [4]. - In 2022, Zijin Mining's copper production was 910,000 tons, expected to rise to 1.09 million tons by 2025, while gold production is projected to increase from 56 tons to 90 tons, marking a 61% growth [5]. Market Position - As of February 9, 2026, Zijin Mining's market capitalization reached a peak of 1.1 trillion yuan, with the overall market value of the "Zijin system" exceeding 1.8 trillion yuan [9]. - The company has improved its global ranking in gold production from approximately ninth place in 2022 to fifth place by 2025 [9]. Strategic Focus - The company plans to continue focusing on its gold segment, with a production target of 130-140 tons by 2028, which is a 50% increase from the 2025 output [11][14]. - Zijin Mining is also accelerating the development of key projects in Australia, Colombia, Suriname, Ghana, and Kazakhstan to support its production goals [15][16].

Group 1 - The core point of the article highlights the performance of the Penghua Nonferrous ETF (159880), which opened with a gain of 2.06% at 2.233 yuan [1] - Major holdings in the ETF include Zijin Mining, which rose by 3.50%, and other companies such as Luoyang Molybdenum (2.14%), Northern Rare Earth (2.97%), and Huayou Cobalt (1.49%) [1] - The ETF's performance benchmark is the National Index of Nonferrous Metals Industry, managed by Penghua Fund Management Co., Ltd., with a return of 118.94% since its inception on March 8, 2021, and a 5.03% return over the past month [1]

Group 1 - The core viewpoint of the article highlights the performance of the Huabao Nonferrous ETF (159876), which opened with a gain of 2.07% at 1.135 yuan on February 9 [1] - Major holdings of the Huabao Nonferrous ETF include Zijin Mining, which rose by 3.50%, Luoyang Molybdenum by 2.14%, Northern Rare Earth by 2.97%, and others, indicating a positive trend in the nonferrous metals sector [1] - The Huabao Nonferrous ETF has a performance benchmark of the CSI Nonferrous Metals Index return, managed by Huabao Fund Management Co., with a return of 122.52% since its establishment on March 12, 2021, and a recent one-month return of 4.76% [1]

Core Viewpoint - Citi's report indicates that Zijin Mining (02899) is expected to achieve steady production growth in the coming years through existing mine expansion plans and acquisitions, maintaining a "Buy" rating with a target price of HKD 39 [1] Production Guidance - Zijin Mining's production guidance for 2026 includes copper at 1.2 million tons, gold at 105 tons, lithium at 120,000 tons, zinc at 400,000 tons, silver at 520,000 tons, and molybdenum at 15,000 tons, representing year-on-year growth rates of 10%, 17%, 380%, flat, 19%, and 36% respectively [1] - The production targets for 2028 are set at copper between 1.5 to 1.6 million tons, gold between 130 to 140 tons, lithium between 270,000 to 320,000 tons, zinc between 400,000 to 450,000 tons, silver between 600 to 700 tons, and molybdenum between 25,000 to 35,000 tons, with changes compared to previous guidance showing flat growth for copper and zinc, an increase of 30 tons for gold, an increase of 20,000 tons for lithium, and flat for silver and molybdenum [1] Compound Annual Growth Rate (CAGR) - The compound annual growth rates from 2025 to 2028 for gold and copper are projected to be between 13% to 16% and 11% to 14% respectively, while lithium is expected to have a CAGR of 121% to 134% [1]

Core Viewpoint - Citi's report indicates that Zijin Mining (601899)(02899) is expected to achieve steady production growth in the coming years through existing mine expansion plans and acquisitions, maintaining a "Buy" rating with a target price of HKD 39 [1] Production Guidance - Zijin Mining has outlined its production plan for 2026 to 2028 and targets up to 2035, with 2026 production guidance set at 1.2 million tons of copper, 105 tons of gold, 120,000 tons of lithium, 400,000 tons of zinc, 520,000 tons of silver, and 15,000 tons of molybdenum, reflecting year-on-year growth rates of 10%, 17%, 380%, flat, 19%, and 36% respectively [1] - The production targets for 2028 include 1.5 to 1.6 million tons of copper, 130 to 140 tons of gold, 270,000 to 320,000 tons of lithium, 400,000 to 450,000 tons of zinc, 600 to 700 tons of silver, and 25,000 to 35,000 tons of molybdenum, with changes compared to previous guidance showing flat growth for copper and zinc, an increase of 30 tons for gold, an increase of 20,000 tons for lithium, and flat growth for silver and molybdenum [1] Compound Annual Growth Rate (CAGR) - From 2025 to 2028, the compound annual growth rate (CAGR) for gold and copper is projected to be between 13% to 16% and 11% to 14% respectively, while lithium is expected to see a CAGR of 121% to 134% [1]