Summary of Cobalt Sector Conference Call Industry Overview - The cobalt sector is significantly impacted by the Democratic Republic of Congo (DRC), which accounts for 75% of global cobalt supply. In 2025, DRC's cobalt export quota is drastically reduced to 96,600 tons, a decrease of approximately 120,000 tons compared to 2024 production levels, with 10% designated as strategic quotas [1][3]. Key Points and Arguments - **Cobalt Price Fluctuations**: In 2025, cobalt prices experienced three notable increases, rising from 160,000 CNY to 400,000 CNY due to DRC's export ban and quota policies. The price surged from 300,000 CNY to 400,000 CNY following the announcement of export quotas [1][4]. - **Supply and Demand Dynamics**: Global cobalt demand is primarily driven by the battery industry, with an estimated demand of 200,000 to 220,000 tons in 2025. The production of ternary and lithium cobalt oxide materials is showing high growth, with November production increasing nearly 40% year-on-year [1][6]. - **Chinese Inventory Trends**: China's cobalt inventory has been declining, with a reduction of 8,000 tons in the first ten months of the year, leaving approximately 56,000 tons in stock. If no new shipments arrive by the end of April 2026, domestic inventory may be depleted, leading to panic buying [1][7]. - **Impact of Indonesian MHP Project**: The Indonesian MHP project, which typically adds about 3,000 tons monthly, is halted until March 2026 due to tailings issues, further constraining supply. Additionally, Glencore's remaining 10,000 tons of intermediate products will be sold out in the near term, intensifying supply pressure [1][8]. - **Future Price Predictions**: If DRC export licenses are delayed until after Christmas, domestic inventory could be rapidly consumed, potentially triggering a new price surge in December. Current electrolytic cobalt prices are around 400,000 CNY, with further increases possible under these conditions [1][9]. Additional Important Insights - **Electrolytic Cobalt Market**: Electrolytic cobalt constitutes only about 10% of total cobalt consumption, with annual consumption between 10,000 to 20,000 tons. Recent months have seen raw material prices exceed electrolytic cobalt prices, leading to reduced production [1][10]. - **Stock and Price Dynamics**: Despite rising commodity prices, inventory levels at Zhonglian Gold have not increased, indicating that available inventory is concentrated there. Some cobalt refining and processing companies are expected to gradually stockpile metallic cobalt as a raw material reserve [1][11]. - **Potential Extreme Scenarios**: If raw material supply disruptions occur mid-2026, the entire supply chain could face significant challenges, granting pricing power to companies with raw material reserves. This scenario necessitates close monitoring of DRC's export progress [1][12]. Recommended Companies - Companies with Indonesian MHP capacity reserves, such as Huayou Cobalt, Likin Resources, and Greeenmei, are recommended for their advantages in handling potential extreme market conditions. Additionally, companies with smelting and processing capabilities, like Tengyuan Cobalt and Hanrui Cobalt, are also positioned to benefit from rising prices [2][13]. Future Outlook for Huayou Cobalt - Huayou Cobalt is well-positioned not only to navigate potential extreme market conditions but also to capitalize on its lithium carbonate business, with projected production of 60,000 to 80,000 tons in 2026. The company maintains a cost control of under 60,000 CNY per ton for lithium carbonate, making it a strong candidate for performance in a rising market [2][14].

Core Insights - The lithium industry has experienced significant oversupply since 2023, with supply growth outpacing demand growth, leading to a decline in lithium prices from a peak of 590,000 to 60,000, resulting in some high-cost projects in Australia being shut down and major companies incurring losses [4] - Starting in 2025, energy storage demand is expected to exceed expectations, becoming the second growth curve for lithium demand, with projected demand for lithium carbonate reaching 345,000 tons in 2025 and potentially exceeding 500,000 tons next year, a tenfold increase compared to 50,000 tons in 2021 [4] - The year 2026 is anticipated to be a watershed year for supply-demand reversal in the industry, with new applications in electric heavy trucks and ships, as well as technological advancements, likely to drive growth in power battery shipments [4] - The nickel industry has seen a continuous increase in supply due to investments by several Chinese companies in Indonesia, with supply expected to reach 2.2 million tons in 2024, accounting for 59% of global supply, while demand remains primarily driven by stainless steel [4] - The cobalt industry is experiencing a tightening supply due to the Democratic Republic of Congo's quota system, which has effectively raised cobalt prices [4] Lithium Industry - The lithium industry is currently in a state of supply-demand balance, with inventory levels decreasing [12] - The production of lithium iron phosphate batteries has seen significant growth, with a year-on-year increase of 65% in output [21] - The demand for lithium is projected to reach 195,000 tons in 2026, with supply at approximately 197,700 tons, indicating a narrowing surplus [37] - Major companies to watch include Ganfeng Lithium, Tianqi Lithium, and Yahua Group, which are expected to see rapid growth in their own mining operations [47] Nickel Industry - Nickel prices have been fluctuating since 2025, with LME and domestic inventories at high levels, indicating a supply surplus [50][56] - The overall supply of refined nickel in China is expected to be in surplus in 2025, with a projected supply of 379,000 tons against a demand of 361,000 tons [59] - Companies with a competitive edge in Indonesia, such as Huayou Cobalt and Liqin Resources, are recommended for investment [67] Cobalt Industry - Cobalt prices have been gradually increasing since the Democratic Republic of Congo's ban on mining exports, with the price of electrolytic cobalt reaching 405,000 yuan per ton [75] - Domestic cobalt salt production has increased, while imports of cobalt intermediate products have declined [78] - Investment opportunities in the cobalt sector include companies like Huayou Cobalt and Luoyang Molybdenum [72]

Group 1 - The core transaction on November 21 involved a block trade of 188,300 shares of Hanrui Cobalt, with a transaction value of 9.11 million yuan and a transaction price of 48.38 yuan, representing a premium of 12.33% over the closing price of the day [2] - In the last three months, Hanrui Cobalt has recorded a total of two block trades, with a cumulative transaction value of 118 million yuan [2] - The closing price of Hanrui Cobalt on the day of the transaction was 43.07 yuan, reflecting a decline of 10.98%, with a turnover rate of 7.68% and a total trading volume of 926 million yuan [2] Group 2 - The net outflow of main funds for Hanrui Cobalt on that day was 18.97 million yuan, and over the past five days, the stock has seen a cumulative decline of 11.38% with a total net outflow of 65.38 million yuan [2] - The latest margin financing balance for Hanrui Cobalt is 956 million yuan, which has decreased by 11.51 million yuan over the past five days, representing a decline of 1.19% [2]

腾远钴业首次公开发行股票的发行费用总额为2.74亿元，其中保荐机构东兴证券股份有限公司获得保 荐、承销费用2.45亿元。 2022年5月17日，腾远钴业披露的2021年年度权益分派实施公告显示，公司2021年年度权益分派方案为 以公司现有总股本为基数，向全体股东每10股派39.9元人民币现金(含税)，同时，以资本公积金向全体 股东每10股转增8股。本次权益分派股权登记日为2022年5月23日，除权除息日为2022年5月24日。 腾远钴业于2023年5月30日披露的2022年年度权益分派实施公告显示，公司拟以现有总股本226,705,525 股为基数，向全体股东每10股派发现金红利人民币12.00元(含税)，合计派发现金股利人民币 272,046,630.00元(含税)，同时向全体股东以资本公积每10股转增3股，转增后公司总股本将增至 294,717,182股。本次分配不送红股，剩余未分配利润结转以后年度分配。本次权益分派股权登记日为 2023年6月6日，除权除息日为2023年6月7日。 上市首日，腾远钴业盘中最高报230.00元，为上市以来最高点。 腾远钴业首次公开发行股票募集资金总额为54.78亿元，扣除发 ...

Group 1 - The core transaction of Hanrui Cobalt on November 18 involved a volume of 2.7329 million shares, with a transaction amount of 109 million yuan, and a transaction price of 39.89 yuan, representing a discount of 16.51% compared to the closing price of the day [2][3] - The closing price of Hanrui Cobalt on the same day was 47.78 yuan, reflecting a decline of 4.17%, with a turnover rate of 5.64% and a total transaction amount of 746 million yuan, indicating a net outflow of main funds amounting to 76.72 million yuan [2][3] - Over the past five days, the stock has seen a cumulative increase of 0.55%, with a total net outflow of funds amounting to 130 million yuan [2] Group 2 - The latest margin financing balance for Hanrui Cobalt is 999.3 million yuan, which has increased by 3.0449 million yuan over the past five days, representing a growth rate of 0.31% [3]

Core Viewpoint - The company has initiated production of ternary precursor products, with current sales status indicating limited volume, as the focus remains on copper and cobalt products [2]. Group 1: Production Capacity - The company's wholly-owned subsidiary, Ganzhou Tengchi New Energy Materials Technology Co., Ltd., has established a production capacity of 20,000 tons for ternary precursors and 10,000 tons for cobalt tetroxide [2]. - Cobalt tetroxide has already been sold externally, while ternary precursors are currently in the sample delivery phase [2]. Group 2: Sales and Market Outlook - The company has not separately listed ternary precursor products in its performance reports, suggesting that current production and sales volumes are relatively small [2]. - Further updates on the sales progress of ternary precursor products will be provided in the company's upcoming periodic reports [2].

Core Viewpoint - Tengyuan Cobalt has announced that its wholly-owned subsidiary, Ganzhou Tengchi New Energy Materials Technology Co., Ltd., has achieved production capacity of 20,000 tons for ternary precursors and 10,000 tons for cobalt tetroxide, with cobalt tetroxide already being sold externally and ternary precursors currently in the sample submission stage [1] Group 1 - The company has a production capacity of 20,000 tons for ternary precursors [1] - The company has a production capacity of 10,000 tons for cobalt tetroxide [1] - Cobalt tetroxide has already been sold externally [1] Group 2 - Ternary precursors are currently in the sample submission stage [1]

Group 1: Aluminum Market - The logic of aluminum shortage is expected to gradually materialize, leading to an upward cycle in aluminum prices, with electrolytic aluminum profits continuing to expand [3] - Shanghai aluminum price increased by 1.48% to 22,000 yuan/ton, and the profit margin for electrolytic aluminum rose by 5.40% to 6,051 yuan/ton [3] - Inventory levels show an increase in London aluminum stock by 0.57% to 552,400 tons and Shanghai aluminum stock by 1.38% to 114,900 tons, while domestic spot inventory decreased by 0.16% to 619,000 tons [3] Group 2: Copper Market - Copper prices are expected to remain volatile due to macroeconomic factors, with London copper, Shanghai copper, and US copper showing respective changes of +0.99%, +1.12%, and +1.86% [2] - Domestic copper inventory is decreasing, with London copper at 136,000 tons, New York copper at 381,000 short tons, and Shanghai copper at 109,000 tons, showing changes of -0.13%, +3.23%, and -4.89% respectively [2] - The operating rate for electrolytic copper rods increased by 4.91 percentage points to 66.88% [2] Group 3: Lithium Market - Lithium demand has exceeded expectations, with lithium carbonate prices rising by 5.91% to 85,200 yuan/ton and spodumene concentrate increasing by 8.52% to 1,006 USD/ton [4][5] - Lithium carbonate production reached 21,500 tons, reflecting a slight increase of 0.1%, while weekly inventory decreased by 2.8% to 120,500 tons [4][5] - The lithium sector is expected to see a profit turning point as inventory continues to decline [5] Group 4: Cobalt Market - The tight supply of cobalt raw materials remains unchanged, with cobalt prices expected to continue rising, as MB cobalt increased by 0.53% to 23.65 USD/pound and domestic cobalt prices rose by 3.39% to 397,000 yuan/ton [5] - The Democratic Republic of Congo has lifted its cobalt export ban, transitioning to a quota system, but current export approvals are still pending, indicating a continued tight supply in the short term [5]

Group 1 - The company Huayou Cobalt (603799) reported that as of September 30, 2025, the number of shareholders is 257,101 [1]

Group 1 - The core viewpoint of the article highlights that Huayou Cobalt's cash payments for purchasing goods and accepting labor services reached 54.111 billion yuan in the first three quarters of 2025, representing a year-on-year increase of 20.62% [2] - The company reported that cash received from sales of goods and provision of labor services amounted to 62.946 billion yuan in the same period, showing a year-on-year growth of 26.95% [2]