Core Viewpoint - The article discusses the various applications and requirements of quartz sand in different industries, highlighting the significance of SiO2 content and the impact of raw material availability on supply and demand dynamics. Group 1: Quartz Sand Composition and Requirements - Different industries have varying requirements for the composition, granularity, and sphericity of quartz sand, with SiO2 content above 99.99% primarily used in high-purity quartz glass and silicon micro-powder, necessitating strict impurity limits [1] - Quartz sand with SiO2 content between 99.9% and 99.99% is used in high-end silicon micro-powder and photovoltaic glass, with supply currently in a "tight balance" state [1] - Quartz sand with SiO2 content below 99.9% is utilized in bulk applications such as flat glass and ceramics, where supply is currently abundant [1] Group 2: Types of Quartz Raw Materials - Various types of quartz raw materials include vein quartz, quartz sandstone, quartzite, natural quartz sand, and others, each with distinct characteristics and applications [5][6][7] - Vein quartz typically has a high SiO2 content exceeding 98% and is used for high-value products like high-end glass and silicon micro-powder [5] - Quartz sandstone, formed from weathered source rocks, generally has a SiO2 content above 90% and is widely used in glass and ceramics [6] - Natural quartz sand has a SiO2 content greater than 90% and is primarily used in metallurgy and ceramics [7] Group 3: Applications of Quartz in Various Industries - The glass industry is the largest consumer of quartz resources, with significant applications in construction, automotive, and medical fields, consuming approximately 3,406 million tons of quartz sand in 2021 [10][11] - The casting sand sector is the second-largest consumer, with an annual consumption of about 3,300 million tons, primarily sourced from quartz sandstone and natural quartz sand [13] - Industrial silicon, produced from quartz and carbon reductants, is crucial for downstream industries like photovoltaics and semiconductors, with a production of 261 million tons in 2021 [14] - Silicon micro-powder, derived from quartz, is widely used in electronics and construction, with a total production of 600,000 tons in 2021 [15] Group 4: High-Purity Quartz Applications - High-purity quartz is essential for high-tech products in industries such as semiconductors and photovoltaics, with applications including quartz crucibles and optical instruments [20][21] - In the photovoltaic sector, high-purity quartz is used to produce quartz crucibles for multi-crystalline silicon, which are critical for high-temperature processes [21][23] - The fiber optic industry relies on quartz glass as a fundamental material for fiber optic preform production, which is vital for communication networks [24]

Group 1: Quartz Sand Characteristics and Applications - Different industries have varying requirements for the composition, granularity, and sphericity of quartz sand, with high-purity quartz sand (SiO2 content > 99.99%) primarily used in high-purity quartz glass and silicon micro-powder, which have strict impurity content requirements [1] - Quartz sand with SiO2 content between 99.9% and 99.99% is mainly used in high-end silicon micro-powder, sodium silicate, photovoltaic glass, and high-grade glass, with supply currently in a "tight balance" state [1] - Quartz sand with SiO2 content below 99.9% is utilized in bulk applications such as flat glass, casting, metallurgy, refractory materials, ceramics, fracturing sand, water treatment, and construction materials, where supply is currently abundant [1] Group 2: Types of Silica Raw Materials - Various types of silica raw materials include vein quartz, quartz sandstone, quartzite, natural quartz sand, powdered quartz, crystal, and granite pegmatite, each with distinct characteristics and applications [5][6][7] - Vein quartz typically has a high SiO2 grade (> 98%) and is used for high-end glass and high-purity quartz products, while quartz sandstone is widely used in glass, ceramics, metallurgy, and refractory materials due to its high-grade and large-scale availability [6][7] - Natural quartz sand has a SiO2 grade > 90% and is primarily used in metallurgy, ceramics, and casting, while powdered quartz is used in wear-resistant materials and ceramics due to its high purity [7] Group 3: Quartz Applications in Various Industries - The glass industry is the largest consumer of quartz resources, with significant applications in construction, automotive, renewable energy, and medical fields, consuming approximately 3,406 million tons of quartz sand in 2021 [10][11] - The casting sand sector is the second-largest consumer of quartz resources, with an annual consumption of about 3,300 million tons, primarily sourced from quartz sandstone and natural quartz sand [13] - Industrial silicon, produced from quartz and carbon reductants, is crucial for the silicon-based new materials industry, with an estimated production of 2.61 million tons in 2021 [14] Group 4: High-Purity Quartz Applications - High-purity quartz is essential for high-tech products in strategic emerging industries, including semiconductors, photovoltaics, and aerospace, due to its excellent physical and chemical properties [20] - In the semiconductor field, high-purity quartz is used for quartz crucibles and other materials in the silicon wafer manufacturing process, with specific purity requirements for different applications [20][21] - The photovoltaic industry relies on high-purity quartz for producing quartz crucibles and ultra-white low-iron glass, which are critical for solar energy applications [21][22]

Summary of High Purity Quartz Industry Conference Call Industry Overview - The high purity quartz sand industry in China has matured in preparation technology, but the lack of stable and high-quality mineral sources remains a bottleneck. Recent discoveries of 4N grade and above mineral sources in multiple regions, such as Henan Dongqinling, which has reached the Youniming 4N8 standard suitable for photovoltaic applications, are promising. Other regions like Xinjiang Altai and Hunan Renli have also reported similar findings [1][4][21]. Key Developments and Trends - A significant recent development in the high purity quartz sand industry is the discovery of high-quality mineral veins in China that can meet C8 grade standards or higher. This could potentially reduce reliance on overseas mineral sources in the long term, although the transition will not be rapid. For leading companies, this could lower raw material costs and provide short-term profit benefits [2][27]. - The synthetic quartz sand market is progressing, with stable operation for 500 hours and continuous cost reduction in photovoltaic crucible applications. Although this technology has not yet reached mass production, its future potential is substantial, applicable not only in photovoltaic scenarios but also in the semiconductor field [2]. Market Supply and Demand - The high-end high purity quartz sand market heavily relies on imports, especially for C8 grade and above products, primarily supplied by American company SiO2 and Norwegian TQC. China is the largest importer globally, with an expected import of approximately 40,000 tons of high purity quartz above 3N in 2024, amounting to a trade value of $820 million, with a unit price of about $20,000 per ton [1][9]. Technological Insights - The purification technology for high purity quartz includes acid treatment and thermal treatment, with domestic companies having relatively mature refining techniques. However, the quality of stable mineral sources is crucial for ensuring product quality [3][17]. - Synthetic quartz sand has the highest purity, as natural quartz sand has a purification limit. It can replace applications in semiconductor single crystal furnace crucibles and high-end optical glass. Recent studies indicate that domestic synthetic sand has reached international standards, with pilot products showing good verification results [5][25]. Investment Recommendations - If the domestic semiconductor and photovoltaic crucible quartz sand market transitions to local sources, downstream customers will need to re-validate these new mineral sources, which may level the playing field for related companies. Leading companies with purification technology and customer resources, such as Quartz Co., Feilihua, Kede Stone, and Zhongqi New Materials, are recommended for attention. Additionally, due to the higher technical barriers and costs associated with synthetic quartz sand, companies like Kaisheng Technology should also be monitored [6][27]. Challenges and Risks - The development of high purity quartz mines faces risks such as mining difficulties and environmental issues, which may affect the pace of development. If new mineral sources are successfully verified domestically, industry competition may intensify [3][28][29]. - The supply bottleneck in domestic high purity quartz sand is primarily due to the lack of high-grade minerals. Leading companies like Quartz Co. have relied on imports to address raw material shortages, with over 93% of their raw materials sourced from countries like India and Brazil [19]. Conclusion - The recent discoveries of high-quality mineral sources in China could significantly impact the high purity quartz sand industry, potentially reducing reliance on imports and altering the competitive landscape. However, the transition will require careful validation by downstream customers and may face various challenges in mining and environmental regulations.

Core Viewpoint - The domestic high-purity quartz sand market is experiencing a downturn due to supply-demand misalignment in the photovoltaic industry, with prices showing signs of slight recovery due to tightening supply from India [1][2] Group 1: Current Market Conditions - As of mid-March, domestic prices for high-purity quartz sand are as follows: inner layer sand at 60,000-70,000 CNY/ton, middle layer sand at 30,000-40,000 CNY/ton, and outer layer sand at 20,000-30,000 CNY/ton [1] - Imported quartz sand prices remain high at 90,000-100,000 CNY/ton, although they have decreased from previous highs of 350,000-400,000 CNY/ton [1] - Recent news of tightened supply from Indian sources has led to a slight increase in domestic prices, with inner layer sand now priced at 60,000-80,000 CNY/ton, reflecting a 5,000 CNY/ton increase from mid-month averages [1] Group 2: Future Market Outlook - Demand for high-purity quartz sand is expected to remain strong, with an estimated requirement of 20,000 tons for every 100 GW of photovoltaic installations [2] - Current stockpiles of Indian quartz sand in China are primarily from traders' previous inventories, which are expected to last only one year [2] - Without support from key suppliers like Silica and TQC, domestic companies cannot produce inner layer grade quartz sand, and the supply from these companies is already fully consumed in the market [2] - If Indian export restrictions continue, domestic quartz sand prices are likely to rise significantly due to low inventory levels among producers and downstream customers [2]