Core Viewpoint - Tin prices are experiencing an upward trend, with the main contract rising by 2.11% to 302,200 yuan/ton, driven by increased expectations of a Federal Reserve interest rate cut and heightened tensions in eastern Congo, although there has been no substantial impact on tin mining production yet [1] Supply and Demand Dynamics - The supply of tin ore remains tight, with domestic smelters facing raw material supply constraints, leading to a low operating rate [1] - Domestic smelters have raw material inventories generally below 30 days, making it difficult for operating rates to increase in the near future [1] - The import volume of tin concentrate in China saw a slight increase in October, with imports from Congo and other countries rebounding, aligning with expectations, although affected by shipping factors [1] - Tin ore imports from Myanmar decreased slightly in October, but with mining permit approvals, an increase of over 2,000 tons is expected in November [1] Market Sentiment and Future Outlook - Recent commentary from New Lake Futures indicates that domestic production remains stable overall, but tin ore supply continues to be tight, and smelters are facing low processing fees, resulting in poor profitability [1] - There is a trend of weakening consumption in the domestic market, leading to a slight accumulation of inventory, although overall inventory levels remain low, limiting pressure [1] - Overseas inventories are also at low levels, and uncertainties regarding overseas mining operations continue to support high tin prices [1]

Summary of the Conference Call for Xiyeg股份 Company Overview - The company is involved in the tin mining and smelting industry, focusing on the production of tin ingots and other metal products such as indium, gold, silver, and tungsten [2][18]. Key Points and Arguments Production and Cost Management - The company expects to produce between 23,000 to 24,000 tons of tin ingots for the year, with a production of 48,000 tons achieved in the first half of 2025, nearing the annual target of 90,000 tons [2][4]. - The average operating cost per ton of tin ingot is approximately 166,000 yuan, with a discount coefficient reduced to 81% due to revenue reductions from new material transactions [2][6]. - The company has faced rising mining costs due to decreased resource matching and tax adjustments, but has implemented comprehensive recovery technologies to optimize smelting costs, showing positive results since 2024 [2][5]. Future Projects and Resource Recovery - The "14th Five-Year Plan" includes investments in the Kafang copper mine project and tailings resource recovery, with expectations to reach an annual recovery of 3,000 to 4,000 tons by the end of the plan [2][9][11]. - The Kafang copper mine is currently undergoing surface exploration, with potential capacity expansion beyond the current design of 1.5 million tons per year if exploration results are favorable [2][12]. Market Dynamics and Pricing - The company believes that tin demand is supported by market conditions, despite challenges in supply recovery from Myanmar, which is expected to be difficult [3][20]. - The relationship between processing fees and tin prices is inverse; rising processing fees may lead to lower tin prices, emphasizing the importance of self-mined ore profits [8][20]. - The company anticipates a slight increase in tin demand due to factors such as inventory replenishment and new product needs in sectors like photovoltaics and electric vehicles [20]. Financial Performance and Dividends - The company reported that other business revenues, including indium, gold, silver, and tungsten, exceeded 3 billion yuan in 2024, with a gross profit of nearly 1 billion yuan [2][18]. - The company plans to maintain a dividend payout ratio of no less than 30%, with potential increases based on operational performance [3][27]. Capital Expenditure and Resource Expansion - The company has been cautious with capital expenditures and acquisitions, focusing on internal resource optimization and potential external projects, although specific plans remain undisclosed [22][24]. - The company holds significant undistributed profits of over 9 billion yuan, with plans to continue dividends while considering operational performance [27]. Regulatory Environment - The company operates in Yunnan province, where there are no quota restrictions on tin mining, and it has secured control over most quality tin mines in the region [26]. Additional Important Information - The company is exploring the potential of tailings resource recovery, which, while having slightly higher processing costs, is expected to contribute significantly to future production [10][11]. - The company has not yet seen profit contributions from tungsten production, which began in May 2025, indicating a need for time to stabilize production and assess costs [15][16]. This summary encapsulates the key insights from the conference call, highlighting the company's production goals, cost management strategies, market dynamics, and future plans within the tin mining industry.