Group 1 - The core viewpoint of the articles is that China has made significant breakthroughs in mineral exploration during the "14th Five-Year Plan" period, with nearly 450 billion yuan invested in the initiative [1][2] - Major discoveries include 10 large oil fields and 19 large gas fields, with over 300 billion cubic meters of geological reserves added in the Ordos Basin alone, nearly matching the total added in the past decade [1] - Significant breakthroughs in uranium mining have been achieved, particularly with the discovery of two super-large uranium mines in Gansu and Heilongjiang, strengthening the resource base of five large uranium mining areas [1] Group 2 - Strategic emerging industries have also seen major breakthroughs in mineral exploration, particularly in lithium mining, which is crucial for electric vehicles [2] - China has identified an "Asian lithium belt" spanning 2,800 kilometers across four provinces, with multiple large and super-large lithium mines discovered [2] - Technological advancements have enabled the extraction of helium from natural gas, marking a significant shift from reliance on imports to domestic production [2]

Investment Rating - The industry rating is "Recommended" [6] Core Insights - In Q2 2025, bauxite production increased by 21.7% year-on-year to 1.713 million wet tonnes, while shipping volume rose by 18.8% to 1.685 million wet tonnes [1][2] - The cost of bauxite reached 40 AUD per wet tonne, reflecting a year-on-year increase of 5.0% [3] - The site profit reached a record 32 AUD per wet tonne, marking a 500% increase year-on-year and an 83% increase compared to Q4 2024 [3] - Despite a decline in alumina prices since December 2024, the bauxite market remains resilient, with China importing 103 million tonnes in the first half of the year, a 33% increase year-on-year [3] - The offshore price (FOB) net revenue per unit increased to 72 USD per wet tonne, a 41% rise from Q4 2024 and a 16% increase from Q1 2025 [3] Production and Operational Performance - Q2 2025 production results showed bauxite mined at 1,713,000 wet tonnes, compared to 2,046,000 in Q4 2024 and 1,407,000 in Q2 2024 [8] - The average CIF pricing for Q2 2025 was 81.3 AUD per tonne, up from 72.7 AUD in Q4 2024 and 63.8 AUD in Q2 2024 [8] - Total costs per wet tonne were 40.0 AUD, with site costs at 31.0 AUD and royalties at 9.0 AUD [8] Financial Performance - As of the end of Q2 2025, the cash position was 28.7 million AUD, with secured debt financing totaling 56.6 million USD [5]

Group 1 - Jincheng Blue Flame Coal Industry Co., Ltd. and Shanxi Xinfeng Chemical Co., Ltd. praised the Shanxi Provincial Natural Resources Development Center for setting a benchmark in market-oriented reform of coal resources [1] - The center has implemented measures such as the return of mining rights transaction deposit interest, which has been well received by companies [1] - The good business environment in Shanxi is seen as a key factor in stimulating market vitality and boosting development confidence [2] Group 2 - In March 2024, Jincheng Blue Flame Coal Industry Co., Ltd. won the first publicly auctioned coal resource block in Shanxi, and received a full refund of the bidding deposit shortly after payment [2] - Shanxi Xinfeng Chemical Co., Ltd. quickly received automatic refunds of the deposit and interest after winning exploration rights for bauxite in Qinyuan County [2] - Since 2024, the Shanxi Provincial Natural Resources Development Center has refunded a total of 1.263 million yuan in deposit interest to 55 bidders from 8 public mining rights auctions [2]

1. Report Industry Investment Rating - Alumina: Oscillation [1] 2. Core View of the Report - The price of Guinea ore has further decreased, and there are uncertainties in new alumina investments in China. Alumina supply and demand and costs still face pressure, but the price valuation is not high, and some negative factors have been priced in. The futures price may gradually enter the bottom - grinding stage [1][15] 3. Summary According to the Catalog 3.1 Alumina Industry Chain Weekly Overview - **Raw Materials**: Domestic ore prices were on a downward trend last week. Shanxi 58/5 ore was priced at 700 yuan/ton, Henan 58/5 at 668 yuan/ton, and Guizhou 60/6 at 596 yuan/ton. After the May Day holiday, mine inspections were strengthened. Domestic ore supply remained tight. Imported Guinea mainstream 45/3 ore price dropped to 75 dollars/dry ton (CIF). Newly - arrived ore during the period was 4.747 million tons, including 4.11 million tons from Guinea. The freight from Guinea to China decreased slightly to 19 dollars/ton [12] - **Alumina**: The spot price of alumina rose last week. The northern comprehensive price was 2870 - 2930 yuan/ton, up 10 yuan/ton; the domestic weighted index was 2913.6 yuan/ton, up 22.4 yuan/ton. The import port price was flat. After the holiday, downstream enterprises had a strong willingness to replenish stocks. The domestic alumina full - cost was 2962 yuan/ton, with a real - time profit of - 59 yuan/ton. The number of domestic alumina enterprises under maintenance and production cuts was increasing. The national alumina production capacity was 110.82 million tons, with an operating capacity of 86.75 million tons, a decrease of 550,000 tons from before the holiday, and an operating rate of 78.2% [3][13] - **Demand**: There were no changes in domestic and overseas demand. The domestic electrolytic aluminum operating capacity was 43.923 million tons, and the overseas electrolytic aluminum operating capacity was 29.408 million tons, both remaining unchanged week - on - week [13] - **Inventory**: As of May 8, the national alumina inventory was 3.288 million tons, a decrease of 135,000 tons from before the holiday. Alumina enterprise inventories and electrolytic aluminum enterprise inventories both decreased [14] - **Warehouse Receipts**: The registered warehouse receipts of alumina on the SHFE were 249,763 tons, a decrease of 28,850 tons from last week. The supply shortage led to inventory reduction, and the uncertainty of new project investment led to a rebound in the futures price [15] 3.2 Weekly Key Event News Summary in the Industry Chain - On May 9, 200,000 tons of alumina were traded in Shandong at 2900 yuan/ton [16] - A large - scale alumina enterprise in Shandong had its third 1 - million - ton production line put into operation in mid - April. The production was mainly concentrated on the front - end of aluminum hydroxide, and the finished product was expected to be produced by the end of the month. The alumina roasting volume was difficult to increase in the short term [16] - 500,000 tons of alumina were traded in Guizhou at 3000 yuan/ton for long - term orders [16] 3.3 Key Data Monitoring of the Upstream and Downstream of the Industry Chain - **Raw Materials and Cost**: The report provided data on domestic and imported bauxite prices, bauxite port inventory, shipping volume, sea - floating inventory, domestic caustic soda and thermal coal prices, and alumina production costs in various provinces [17][19][24] - **Alumina Price and Supply - Demand Balance**: It included domestic and imported alumina prices, domestic electrolytic aluminum prices, the futures price ratio of electrolytic aluminum to alumina on the SHFE, and the weekly supply - demand balance of alumina [31][33][38] - **Alumina Inventory and Warehouse Receipts**: It covered the alumina inventory of electrolytic aluminum plants and alumina plants, domestic alumina yard/terminal/in - transit inventory, port inventory, total social inventory, and the SHFE alumina warehouse receipts and positions [41][44][48]