Core Viewpoint - Dazhong Mining's subsidiary, Chenzhou Chengtai Mining, has obtained a 30-year mining license for the Hunan Jijieshan lithium mine, marking a significant achievement in the strategic exploration efforts during the 14th Five-Year Plan [1] Group 1: Mining License and Resource Details - The Hunan Jijieshan lithium mine has a lithium ore volume of 490 million tons, equivalent to approximately 3.2443 million tons of lithium carbonate [1] - The mine's open-pit mining scale is set to reach 20 million tons per year, significantly surpassing other companies in the industry [1] - The annual extraction of 20 million tons of raw ore can produce 80,000 tons of lithium carbonate, positioning Dazhong Mining as a key supplier in the lithium battery raw material sector [1] Group 2: Regulatory and Compliance Aspects - Dazhong Mining is the first company in China to obtain a lithium mining license following the implementation of the new Mineral Resources Law, highlighting its comprehensive compliance in environmental, safety, and construction design aspects [1] - The achievement reflects the efficiency of the new law in facilitating the approval process for the compliant development of strategic minerals [1]

Core Viewpoint - The company has obtained a mining license for the Hunan Jijia Mountain lithium mine, marking its first large-scale lithium mining license, with significant resource and production potential [1] Group 1: License and Resource Details - The mining license is valid for 30 years and was issued by the Ministry of Natural Resources [1] - The lithium resource amount is reported to be 48,987.2 million tons, equivalent to approximately 324.43 thousand tons of lithium carbonate [1] - The approved open-pit mining scale is 20 million tons per year, which can produce 80 thousand tons of lithium carbonate annually based on industry experience and company tests [1] Group 2: Strategic Implications - The acquisition of this license highlights the company's strategic move into the lithium mining sector, leveraging its resource advantages [1] - The scale of the mining operation positions the company favorably within the growing lithium market, which is critical for battery production and electric vehicle industries [1]

Core Viewpoint - The article discusses the recent developments regarding the verification of lithium resource reserves by eight lithium companies in Yichun, which is crucial for the lithium industry and capital markets, particularly concerning potential changes in mining types and production status [3][4]. Group 1: Regulatory Developments - On September 30, the deadline for the submission of reserve verification reports by eight lithium companies in Yichun was highlighted, with significant attention on whether there would be changes in mining types or production halts [3]. - The Yichun Natural Resources Bureau issued a notice in July requiring these companies to compile reports to ensure compliance with auditing and regulatory standards, emphasizing the need to scientifically determine the primary mining type [4][6]. Group 2: Company Responses and Industry Context - The eight lithium companies, including Yichun Times New Energy Mining Co. and Yichun Guoxuan Mining Co., confirmed that their reports were prepared according to the regulatory requirements and are awaiting expert evaluations from the government [4][5]. - The lithium resources in Yichun are noted to be abundant, but the lithium content is generally low, with the region being referred to as "Asia's Lithium Capital" [5]. Group 3: Mining Type and Economic Viability - The submitted reserve verification reports were based on a lithium oxide grade of 0.2%, indicating no changes in mining types at this stage, although future changes may be necessary as the industry evolves [5][6]. - The article mentions that previously, lithium mining rights were only granted for lithium oxide grades of 0.4% or higher, but advancements in extraction technology and rising lithium prices have made lower-grade resources economically viable [5].

Core Viewpoint - The company emphasizes its strategy of prioritizing the supply of lithium concentrate products to its joint venture lithium salt enterprises, aligning with its resource advantage development strategy [1] Group 1 - The company confirms that its joint venture lithium salt enterprises serve as supporting smelting plants for its lithium mining operations, with investment income recognized based on ownership percentage [1] - The company states that the pricing principles for both related and unrelated transactions are consistent, referencing market prices for fair and reasonable pricing [1] - There are no instances of harming the interests of the company or its investors through related party transactions [1]

Core Insights - The company Dazhong Mining (001203) announced that the resource quantity of the Sichuan Gada Lithium Mine's first mining area has been approved by the Ministry of Natural Resources, with a total ore quantity of 43.436 million tons and a Li2O mineral quantity of 600.9 thousand tons, exceeding the company's expectations [1] Group 1 - The lithium ore resource quantity is 43.436 million tons, with an average grade of 1.38%, equivalent to approximately 148.42 thousand tons of lithium carbonate [1] - The company is advancing the procedures for exploration to mining transition and is conducting exploration outside the first mining area [1] - As of August 20, the company has completed 15,100 meters of drilling with a mineral discovery rate of 95% [1] Group 2 - The company has deployed two shield machines for simultaneous construction of exploration tunnels and shafts to facilitate subsequent engineering [1] - The company has determined the process flow for heavy flotation and combined selection in the beneficiation aspect [1] - Preliminary design and safety facility design for the tailings pond have been completed and reviewed by external experts [1]

Report Summary 1. Investment Rating No investment rating for the industry is provided in the report. 2. Core View The current supply and demand of lithium carbonate are both strong, and the upstream inventory pressure is not significant. With the active resumption of key mines, the expectation of supply contraction has weakened. It is expected that the price of lithium carbonate will fluctuate at a low level. [1] 3. Summary by Relevant Content 3.1 Lithium Carbonate Futures and Spot Market - **Futures Prices**: On September 15, 2025, the closing prices of near - month, 5 - consecutive - one, 3 - consecutive - two, 3 - consecutive - three, and other contracts of lithium carbonate futures all increased compared to September 12. For example, the near - month contract closed at 72,520 yuan/ton, up 1,340 yuan from September 12. [1] - **Trading Volume and Open Interest**: The trading volume of lithium carbonate futures on September 15 was 482,790 lots (+71,801), and the open interest was 309,446 lots (+44). [1] - **Spot Market**: The spot market trading was weak, and the basis changed from premium to discount. The average price of SMM battery - grade lithium carbonate was 72,450 yuan/ton, unchanged from September 12. [1] 3.2 Raw Material Prices - **Lithium Ore**: The price of lithium spodumene concentrate (6%, CIF China) was 848 US dollars/ton, up 6 US dollars from September 12; the price of lithium mica (Li2O: 1.5% - 2.0%) remained at 1,075 yuan/ton; the price of lithium mica (Li2O: 2.0% - 2.5%) was 1,775 yuan/ton, unchanged; the price of phospho - lithium - aluminum stone (Li2O: 6% - 7%) was 5,975 yuan/ton, up 205 yuan; the price of phospho - lithium - aluminum stone (Li2O: 7% - 8%) was 7,065 yuan/ton, up 220 yuan. [1] 3.3 Supply and Demand - **Supply**: Last week, the production of lithium carbonate increased, and the production of lithium carbonate from different raw materials all rose. [1] - **Demand**: - **Downstream Product Production**: Last week, the production of lithium iron phosphate increased, while the production of ternary materials decreased. In September, the planned production of lithium carbonate and lithium hydroxide increased. The production of power batteries increased last week. [1] - **Terminal Demand**: In August, the year - on - year growth rate of new energy vehicle production slowed down; the 3C product shipments were average; the production of energy - storage batteries will increase in September. [1] 3.4 Inventory - **Registered Warehouse Receipts**: The registered warehouse receipts were 38,963 tons (+338). [1] - **Social Inventory**: The social inventory decreased. The inventories of smelters and other sectors decreased, while the downstream inventory increased. The total SMM lithium carbonate inventory was 138,512 tons, down 1,580 tons from last week. [1] 3.5 Important Information On September 15, London - listed Savannah Resources said that after completing additional exploration work, the reserve estimate of its lithium mine project in northern Portugal increased by 40%. The spodumene reserve of Barroso resources is now expected to exceed 39 million tons, up from the previous estimate of 28 million tons, making it the largest spodumene deposit in Europe. [1] 3.6 Investment Strategy It is recommended to short at high levels. [1]

Report Industry Investment Rating - No explicit industry investment rating is provided in the report. Report's Core View - On September 4, the main contract of lithium carbonate futures rebounded after hitting a low. The spot market had fair trading volume, and the basis premium decreased. The cost side saw an increase in the price of spodumene concentrate and a decrease in the price of lepidolite. The supply side witnessed a rise in lithium carbonate production last week, with a slight increase in the production of lithium carbonate from different raw materials. In terms of downstream demand, the production of lithium iron phosphate increased last week, while the production of ternary materials decreased. In September, the scheduled production of lithium cobalt oxide and lithium manganate increased. The production of power batteries increased last week. In terms of terminal demand, the year - on - year growth rate of new energy vehicle production slowed down in August, the 3C shipments were average, and the scheduled production of energy storage batteries increased in September. In terms of inventory, the registered warehouse receipts were 34,948 (+830) tons, and the social inventory decreased. Considering all factors, with good profits, high lithium carbonate production, rising downstream demand, and decreasing social inventory, the short - term supply and demand both strengthened. The impact from the Jiangxi mine end has been eliminated, and the short - term fundamentals have not changed much. The market is still easily affected by news. It is expected that the lithium carbonate price will fluctuate widely, and it is not advisable to be overly bearish. Operationally, it is recommended to conduct short - term range trading, appropriately buy options to protect positions, and take appropriate profit - taking on the previously bought straddle options. [1] Summary According to Related Information Market Data - **Futures Prices**: On September 4, 2025, the closing price of the near - month contract was 73,000 yuan/ton, that of the consecutive - one contract was 73,340 yuan/ton, the consecutive - two contract was 73,580 yuan/ton, and the consecutive - three contract was 77,700 yuan/ton. - **Trading Volume and Open Interest**: The trading volume of lithium carbonate futures was 712,151 (+269,351) lots, and the open interest was 353,674 (+7,626) lots. - **Inventory**: The registered warehouse receipts were 34,948 (+830) tons. - **Spreads**: The spread between the near - month and consecutive - one contracts was - 340 yuan/ton, the spread between the consecutive - one and consecutive - two contracts was - 140 yuan/ton, and the spread between the consecutive - two and consecutive - three contracts was 440 yuan/ton. The basis was 1,580 yuan/ton. - **Spot Prices**: The average price of SMM battery - grade lithium carbonate was 75,000 yuan/ton, and the price of spodumene concentrate (6%, CIF China) was 874 US dollars/ton. [1] Industry News - **Salt Lake Mining Rights**: Salt Lake Co., Ltd. (000792) responded during a research reception that the current mining rights compliance inspection is a new trend of stricter industry supervision, reflecting the strict control of the regulatory authorities over the compliance of lithium resource development and utilization activities. The company's mining business is fully compliant, and its production and operation are running stably. - **Ioneer's Project**: Ioneer reduced the leaching time and increased the plant output. The economic viability of its Rhyolite Ridge project in Nevada has been substantially improved. The updated mine plan shows that the unlevered net present value of the mine increased by 38% to $1.89 billion, and the unlevered internal rate of return rose to 16.8%. From the third to the twenty - fifth year, the annual production of lithium carbonate equivalent increased by 20% to 255,000 tons, and the production of lithium carbonate increased by 9% to 126,700 tons. The estimated all - sustaining cash cost of lithium carbonate equivalent is $5,626/ton, and the ore throughput increased by 25% from 2.4 million tons per year to 3 million tons per year. - **Kodal Minerals' Project**: Kodal Minerals obtained an export license for the spodumene concentrate produced from its Bougouni lithium project in southern Mali. The initial export volume is 125,000 tons, but the final administrative steps in the export process need to be completed. [1]

Core Viewpoint - The article discusses the recent developments surrounding the lithium mining operations of Ningde Times in the Jiangxi Yichun region, particularly focusing on the status of the Jiangxia Wokeng mining area and its impact on lithium carbonate prices. Group 1: Mining Operations and Regulatory Issues - Eight lithium mining companies in Jiangxi Yichun are required to complete reserve verification reports by the end of September, which has created market speculation affecting lithium carbonate prices [3][25]. - Ningde Times' Jiangxia Wokeng mining rights, which began on August 9, 2022, are set to expire on August 9, 2025, and the company has submitted renewal application materials [3][5]. - Despite market concerns, Ningde Times has stated that operations at the Jiangxia Wokeng mining area are normal and that they are optimistic about the renewal of their mining rights [5][19]. Group 2: Market Reactions and Price Fluctuations - The mining area is one of the largest lithium mica mines in the Yichun region, with a recoverable reserve of 77,492 million tons and a production capacity of 20,000 tons of lithium carbonate per year [13][14]. - Recent fluctuations in lithium carbonate prices have been significant, with prices rising from 58,400 yuan/ton to 80,500 yuan/ton between June 23 and July 25, marking a 36.71% increase, followed by a drop back to approximately 68,000 yuan/ton by August 5 [26]. - The market reacted strongly to the news of the mining area’s potential shutdown, with a notable increase in lithium carbonate futures prices following the announcement of the mining halt [29]. Group 3: Operational Insights and Future Prospects - The Jiangxia Wokeng mining area has a significant investment of 2.158 billion yuan and is expected to have a service life of approximately 25.83 years based on a production scale of 30 million tons per year [13]. - Ningde Times has established a comprehensive lithium supply chain in Yichun, including mining, flotation, and smelting facilities, with a total investment of around 13.5 billion yuan for a new lithium battery production base [28]. - The company has faced challenges due to fluctuating lithium prices, with production costs estimated at around 100,000 yuan/ton, leading to temporary shutdowns in the past when prices fell significantly [29].

Core Viewpoint - The mining operations of Yichun Times New Energy Mining Co., Ltd., a subsidiary of CATL, have been suspended due to the expiration of the mining license, which was not renewed in time, but the company claims this will not significantly impact overall operations [3][5]. Group 1: Company Operations - The mining license for the Zhenkouli-Fengxin County mining area expired on August 9, 2023, leading to a halt in operations on August 10 [3][4]. - CATL is currently processing the renewal application for the mining license and aims to resume production as soon as approval is granted [3][4]. - The Zhenkouli-Fengxin County mining area is one of the largest lithium mica mines in the Yichun region, with a mining right that began on August 9, 2022, and is set to expire on August 9, 2025 [5]. Group 2: Market Impact - The suspension of operations at the mine is expected to affect approximately 8% of the domestic monthly supply of lithium carbonate, equating to about 0.8 thousand tons per month [5]. - Following the news of the mine's suspension, lithium carbonate futures surged, with the main contract rising by 6,000 yuan per ton to reach 81,000 yuan per ton, marking a recent high [5][6]. - The mine's closure is anticipated to provide strong support for short-term lithium prices due to the significant impact on supply [5]. Group 3: Regulatory Context - The new Mineral Resources Law, effective July 1, 2025, classifies lithium as an independent mineral and raises the standards for recognizing associated minerals, which may affect resource tax calculations and mining economics [5]. - The company had previously expressed optimism about the renewal of the mining license and had submitted the necessary application materials, but approval has not yet been received [5]. Group 4: Strategic Importance - Yichun Times New Energy Mining Co., Ltd. was established in 2021 and is a key player in CATL's strategy to secure lithium resources, having acquired the mining rights for 865 million yuan in April 2022 [6]. - The company aims to accelerate lithium resource exploration and development to enhance lithium supply and support the establishment of a green energy industry system in Yichun [6]. - The first phase of the 33 million tons lithium-containing ceramic soil selection project in the mining area is expected to achieve an annual raw ore processing capacity of 10 million tons in 2023 [6].

Core Viewpoint - Ningde Times has suspended mining operations at the Jiangxi Yichun project due to the expiration of its mining license, but the overall impact on the company's operations is considered minimal [1] Group 1: Company Operations - The mining license for the Jiangxi Yichun project expired on August 9, leading to a temporary halt in operations while the company applies for a renewal [1] - The company has confirmed that it has submitted the necessary application materials to the local natural resources bureau and is awaiting approval, with a positive outlook on the situation [4] - The company reported a revenue of 178.9 billion RMB in the first half of the year, a year-on-year increase of 7.27%, and a net profit of 30.5 billion RMB, up 33.02% year-on-year [5] Group 2: Industry Impact - The suspension of operations at Ningde Times' lithium mine may lead to a potential supply reduction of 7,000 to 8,000 tons of lithium carbonate equivalent per month due to similar license approval processes affecting other lithium mines in Jiangxi [1] - The increase in tax rates for converting ceramic clay to lithium clay may significantly raise costs, especially during the traditional peak season from September to November, which could drive up lithium carbonate prices [1] - The recent developments in Jiangxi's lithium mining sector are expected to lead to a re-evaluation of lithium carbonate supply and pricing, with heightened expectations of supply contraction [1][2]