Core Viewpoint - Zijin Mining is expanding its overseas resource portfolio by acquiring 100% equity of RG Gold LLP and RG Processing LLP in Kazakhstan for a total consideration of $1.2 billion, aiming to enhance its asset scale and profitability in the international market [2][5][10]. Acquisition Details - The acquisition involves Zijin's wholly-owned subsidiary, Zijin Gold International, and its Singapore subsidiary, Jin Ha Mining, which signed an agreement with Cantech S.a.r.l on June 29, 2025 [1][5]. - The purchase price is based on a "cash-free, debt-free" principle as of September 30, 2025, with adjustments based on the financial statements of the target companies [1][5]. - The target companies, RGG and RGP, have a combined asset total of $566 million and a net asset value of $291 million as of the end of 2024 [7]. Project Overview - The RG Gold project is located in Akmola region, Kazakhstan, with a valid mining license until December 31, 2040, and includes six exploration rights [7][8]. - Projected gold production from 2022 to 2024 is 2.0 tons, 5.9 tons, and 6.0 tons respectively, with an estimated average annual production of 5.5 tons over the remaining service life of 16 years [8][10]. - The cash cost of gold production for 2024 is estimated at $796 per ounce [7]. Strategic Implications - The acquisition is expected to significantly enhance Zijin Gold International's asset scale and profitability, supporting its upcoming listing on the Hong Kong Stock Exchange [5][11]. - The RG Gold project is anticipated to create synergies with Zijin's existing operations in Tajikistan and Kyrgyzstan, facilitating deeper penetration into the resource-rich Central Asian market [10][11]. Financial Performance - Zijin Mining reported a revenue of 303.64 billion yuan for 2024, a year-on-year increase of 3.49%, and a net profit of 32.051 billion yuan, up 51.76% [11]. - In Q1 2025, the company achieved a revenue of 78.928 billion yuan, reflecting a 5.55% year-on-year growth, with a net profit of 10.167 billion yuan, up 62.39% [11].

Core Viewpoint - Zijin Mining plans to acquire a gold mine in Kazakhstan for $1.2 billion, aiming to accelerate its overseas resource expansion [2][5][10] Group 1: Acquisition Details - The acquisition involves 100% equity of RG Gold LLP and RG Processing LLP, which hold the Raygorodok gold mine project in Kazakhstan [2][7] - The transaction is based on a "cash-free, debt-free" principle, with the final purchase price subject to adjustments based on the financial statements as of September 30, 2025 [2][8] - The RG gold mine project has a remaining service life of 16 years, with average annual gold production expected to be around 5.5 tons [8][10] Group 2: Financial Performance - As of the end of 2024, the combined assets of RGG and RGP are projected to be $566 million, with total liabilities of $275 million and net assets of $291 million [8] - The projected sales revenue for 2024 is $473 million, with a net profit of $202 million [8] - Zijin Mining reported a revenue of 303.64 billion yuan for 2024, a year-on-year increase of 3.49%, and a net profit of 32.051 billion yuan, up 51.76% [11] Group 3: Strategic Implications - The acquisition is expected to significantly enhance Zijin Mining's asset scale, profitability, and global industry position, aiding its planned IPO in Hong Kong [5][11] - The RG gold mine is anticipated to create synergies with Zijin's existing projects in Tajikistan and Kyrgyzstan, facilitating deeper engagement in the resource-rich Central Asian region [10][11] - The project is characterized by large resource volumes, low comprehensive costs, and potential for operational improvements [10]

煤价跌幅较大拖累业绩，压力最大时候或已过； 煤价下跌拉动化工毛利有所回升；资源扩张持续布 局，向"3亿吨"产能目标继续迈进。 煤价跌幅较大拖累业绩，压力最大时候或已过。1）2025Q1 商品煤产量3680.2 万吨/+6.26%，商品煤销 量3142.6 万吨/-8.07%，其中自产煤销量3,060 万吨/-1.70%。产量增加主要来自菏泽能化的万福煤矿试运 转，鲁西矿业、未来能源和、昊盛煤业产能爬坡拉动，销量下降主要受市场需求较差，贸易煤量下降影 响。2）2025Q1 自产煤均价543 元/吨，同比-132 元/吨，自产煤成本317 元/吨，同比-52 元/吨，吨煤毛 利227 元/吨，同比-81 元/吨。由于公司煤炭售价弹性较大，受市场煤价格大幅下跌拖累，煤炭板块盈利 能力下降，2025Q1煤炭业务实现毛利70 亿元，同比下降27%。展望二季度，4 月行业供需已经显现触 底态势，5 月电煤需求有望逐步进入迎峰度夏旺季。 煤价下跌拉动化工毛利有所回升。2025Q1 公司甲醇、醋酸、尿素等煤化工产品合计产量241.4 万吨，同 比+11.55%；销量201.8 万吨，同比+7.28%。煤化工板块实现收入63 ...

Financial Data and Key Metrics Changes - The company's revenue increased by 3.5% to RMB 303.6 billion, with profits rising by 53.7% to RMB 48.1 billion and net attributable profit up by 51.8% to RMB 32.1 billion [10] - Operating net cash flow rose by 32.6% to RMB 48.9 billion, while total assets increased by 15.6% year on year [11] - The share of net debt to EBITDA decreased by 28.6%, and the debt ratio dropped by 4.47% [11] - Earnings per share (EPS) increased by 51.3% year on year, and cash dividend payout rose by 53.5% [11] Business Line Data and Key Metrics Changes - Copper production reached 1,070,000 tonnes, contributing 45% to revenue, while gold output was 73 tonnes, contributing 30% [10][14] - Zinc production was 410,000 tonnes, with a gross profit margin of 41%, despite a 3.5% drop in output due to lower feed grades [15] - The gross profit margin for gold concentrate was nearly 68%, reflecting a significant increase over the previous year [15] Market Data and Key Metrics Changes - The company is ranked number four globally in copper output and number six in gold output, with significant growth in both resources and reserves [13][14] - The company faced rising costs in overseas operations but managed to reduce copper concentrate costs by 4.3% [13][14] Company Strategy and Development Direction - The company aims to enhance its international operations management and consolidate global competitiveness while focusing on ESG initiatives [7][8] - Plans include accelerating the construction of copper, gold, and lithium projects to strengthen output growth foundations [7][8] - The strategic focus for 2025 includes achieving production targets of 1,150,000 tonnes of copper and 85 tonnes of gold [32][56] Management's Comments on Operating Environment and Future Outlook - Management acknowledged complex challenges in the operating environment but emphasized the importance of cost control and profitability [4][9] - The company is optimistic about future growth, driven by strategic acquisitions and resource expansion [49][56] - Management highlighted the need for continuous improvement in ESG practices to support sustainable growth [34][36] Other Important Information - The company reported a significant increase in social contributions, reaching RMB 7.5 billion, and dividend payments of RMB 9.7 billion [6][7] - The company is committed to responsible mining practices and aims to produce cleaner, more sustainable copper [12] Q&A Session All Questions and Answers Question: How does the company participate in decision-making and supervision activities? - The independent director outlined participation through board meetings, site visits, and daily communications, emphasizing the importance of internal control and risk management [62][63] Question: What are the prospects for costs and expenses in 2025? - The CFO discussed the challenges of rising costs but expressed confidence in maintaining cost competitiveness through optimization and technological innovation [72][76] Question: What is the company's investment and acquisition strategy? - The chairman explained that the company will continue to pursue M&A opportunities while being prudent in selecting projects based on cost-effectiveness and resource potential [89][92] Question: What are the prospects for the lithium sector given the current market downturn? - Management confirmed that the adjustment in production guidance does not indicate a withdrawal from the sector, emphasizing ongoing commitment to improving technology and cost management [106][108] Question: What are the main achievements in resource expansion and future plans? - The company highlighted successful resource expansion efforts and outlined priorities for future growth, focusing on producing projects that can deliver profits [113]