Beijing GeoEnviron Engineering & Technology, Inc. 北京高能時代環境技術股份有限公司 （於中華人民共和國註冊成立的股份有限公司） 的申請版本 警告 香港聯合交易所有限公司與證券及期貨事務監察委員會對本申請版本的內容概不負責，對其準確性或完整性亦不 發表任何意見，並明確表示概不就因本申請版本全部或任何部分內容而產生或因倚賴該等內容而引致的任何損失 承擔任何責任。 本申請版本乃根據香港聯合交易所有限公司（「聯交所」）與證券及期貨事務監察委員會（「證監會」）的要求而刊發， 僅用作提供資料予香港公眾人士。 本申請版本為草擬本，其內所載資料並不完整，亦可能會作出重大變動。 閣下閱覽本文件，即代表 閣下知悉、接 納並向北京高能時代環境技術股份有限公司（「本公司」）、其獨家保薦人、整體協調人、顧問或包銷團成員表示同意： 於本公司招股章程根據香港法例第32章公司（清盤及雜項條文）條例向香港公司註冊處處長註冊之前，本公司不會 向香港公眾提出要約或邀請。倘於適當時候向香港公眾人士提出要約或邀請，有意投資者務請僅依據與香港公司 註冊處處長登記的本公司招股章程作出投資決定；招股章程的文 ...

Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company achieved a significant increase in performance driven by resource utilization, with a 74% increase in net profit for 2025. The company is also expanding into mining and pursuing international projects [1][7] - The revenue for 2025 reached 14.732 billion yuan, a year-on-year increase of 1.6%, while the net profit attributable to shareholders was 838.1 million yuan, reflecting a year-on-year growth of 73.94% [7] - The company is focusing on resource recycling, with a notable increase in gross profit and gross margin, indicating strong operational efficiency [7] Financial Summary - Total revenue forecast for 2024 is 14.5 billion yuan, with projections increasing to 28.027 billion yuan by 2028, reflecting a compound annual growth rate [8] - The net profit attributable to shareholders is expected to grow from 481.82 million yuan in 2024 to 1.700 billion yuan in 2028, with a significant increase in earnings per share from 0.32 yuan to 1.12 yuan over the same period [1][8] - The company’s gross margin is projected to be 18.96% in 2025, with a gradual decline expected in subsequent years, indicating a focus on maintaining profitability despite increasing revenue [8]

Investment Rating - The investment rating for the company is "Buy" [2]. Core Insights - The company is transitioning into the mining sector and plans to list in Hong Kong, aiming to enhance its position as a leader in resource utilization [4][18]. - The company has a clear and robust strategic layout focusing on resource recycling, with significant growth expected in its metal resource recycling business [4][16]. - The company has achieved a deep integration of its upstream and downstream operations, which is expected to drive profitability as production capacity is released [16][27]. Summary by Sections Company Overview - The company originated from the Institute of High Energy Physics of the Chinese Academy of Sciences and is one of the earliest enterprises in China to engage in solid waste pollution prevention [18]. - It has expanded its business into hazardous waste management and resource recycling through acquisitions, including plans to acquire stakes in three mining companies to enhance its resource recycling capabilities [4][18]. Financial Performance - The company reported a total revenue of 145 billion yuan in 2024, a year-on-year increase of 37% [23]. - The net profit attributable to the parent company for 2025 is projected to be 823 million yuan, representing a 70.8% increase compared to the previous year [11]. - The gross profit margin for the resource recycling segment has improved from 8.3% in 2023 to 13.4% in the first half of 2025 [16]. Market Dynamics - The metal prices have shown significant increases, with gold rising by 43.1%, silver by 34.8%, and bismuth by 62.5% in 2025, which is expected to enhance the company's profit margins [17]. - The company is well-positioned to benefit from the government's push for circular economy initiatives, which aim to increase resource utilization rates significantly by 2025 [34][35]. Strategic Initiatives - The company is planning to list on the Hong Kong Stock Exchange to support its international expansion and enhance its capital structure [7][18]. - The acquisition of mining rights is expected to create synergies with its existing resource recycling operations, potentially unlocking new revenue streams [17][18].

Core Viewpoint - High Energy Environment's subsidiary, Chongqing Yaohui Environmental Protection Co., Ltd., was convicted of environmental pollution and ordered to pay nearly 20 million yuan in fines and compensation [1][2]. Group 1: Legal and Financial Implications - Chongqing Yaohui was found guilty of environmental pollution, resulting in a fine of 4 million yuan and various prison sentences for several individuals involved, ranging from 1 year and 2 months to 4 years [2]. - The total financial impact of the penalties and compensation amounts to 19.87762518 million yuan, which represents approximately 0.22% of the company's latest audited net assets and 4.13% of the net profit attributable to shareholders [3]. - The company has completed all payments related to the penalties and compensation and has undergone necessary rectifications, allowing it to resume normal operations by August 2025 [3]. Group 2: Company Operations and Performance - High Energy Environment specializes in solid waste and hazardous waste resource utilization, environmental operation services, and environmental engineering, with key products including various metals and alloys [3]. - For the third quarter of 2025, the company reported a revenue of 3.46 billion yuan, a year-on-year decrease of 11.41%, while the net profit attributable to shareholders was 144 million yuan, a slight decrease of 1.05% [3].

Group 1 - The company, Dongjiang Environmental Protection (002672.SZ), primarily produces resource-based products such as copper sulfate, basic copper chloride, and copper oxide [1] - The company also manufactures precious metal products including refined bismuth, crude silver, refined tellurium, and antimony oxide [1] - Currently, the company does not engage in the business of electrolytic metal manganese [1]

Investment Rating - The investment rating for the company is "Buy" and is maintained [9]. Core Views - The company reported a revenue of 34.60 billion yuan for Q3 2025, a year-on-year decrease of 11.4%, while the net profit attributable to shareholders was 1.44 billion yuan, down 1.0% year-on-year. However, both gross margin and net margin showed significant improvement [2][6]. - The completion of technical upgrades at various projects, including Jiangxi Xinke, Jinchang GaoNeng, and Jingyuan GaoNeng, along with the recent rise in multiple metal prices, is expected to accelerate profit release in the future [2][6]. Summary by Sections Financial Performance - For the first three quarters of 2025, the company achieved a revenue of 101.6 billion yuan, a year-on-year decline of 11.3%, while the net profit attributable to shareholders increased by 15.2% to 6.46 billion yuan. The net profit excluding non-recurring items was 6.0 billion yuan, up 29.0% [6]. - In Q3 2025, the revenue was 34.60 billion yuan, down 11.4% year-on-year, and the net profit attributable to shareholders was 1.44 billion yuan, down 1.0%. The net profit excluding non-recurring items was 1.45 billion yuan, a significant increase of 177.0% year-on-year [6]. Operational Insights - The decline in Q3 revenue is primarily attributed to technical upgrades in hazardous waste resource utilization projects and the environmental engineering business. The revenue from solid and hazardous waste resource utilization was 52.05 billion yuan, down 8.30% year-on-year, due to temporary production halts for upgrades [13]. - The gross margin for Q3 was 17.1%, an increase of 3.8 percentage points year-on-year, while the net margin was 6.0%, up 1.26 percentage points year-on-year. The improvement in gross margin is mainly due to higher value-added contributions from the Jingyuan and Jinchang projects [13]. Cash Flow and Inventory - The net cash flow from operating activities for Q3 was only 0.20 billion yuan, primarily due to an increase in inventory. As of the end of Q3 2025, inventory stood at 59.97 billion yuan, up approximately 8.32 billion yuan from the beginning of the year [13]. - The company expects a significant improvement in cash flow in Q4 2024, with a projected net cash flow from operating activities of 7.6 billion yuan, compared to -9.53 billion yuan in the same period last year [13]. Strategic Positioning - The company has significant production capabilities for strategic minor metals, including 4,469 tons of refined bismuth, 1,081 tons of antimony, 490 kilograms of platinum, and 1,292 kilograms of palladium, with refined bismuth being a strategic reserve metal applicable in various high-tech industries [13]. - The company is expected to focus on improving the profitability of resource utilization projects and benefiting from rising prices of bismuth, antimony, and tin in the coming years [13].

Group 1 - The company primarily sources bismuth raw materials, including high-purity bismuth (not less than 99.99% bismuth content) and crude bismuth, from market traders and producers [2] - In the deep processing segment of bismuth, the company leverages the advantages of its controlling shareholder in terms of raw material costs and resources to obtain competitively priced raw materials [2]

Core Viewpoint - The report from Wenkang Securities indicates that the bismuth market is currently in a weak balance, with tight raw material supply supporting high bismuth prices, but weak exports and high inventory levels limiting recovery potential in the short term [1] Supply Side - China maintains a dominant position in global bismuth supply, accounting for 75% of the world's production in 2023, which totals 23,940 tons [3] - The expansion of production capacity is constrained by raw material shortages, and domestic bismuth inventory is decreasing, alleviating inventory pressure [3] - Future bismuth supply is expected to increase slightly, with growth rates around 2-4%, primarily from large non-ferrous smelting enterprises and recycling companies [3] Demand Side - Domestic bismuth consumption remains focused on traditional sectors, but high-tech demand from semiconductors and electronics is opening a second growth curve for bismuth [4] - China is the largest exporter of bismuth, with over 60% of bismuth metal used for export, and long-term export volumes are expected to return to normal levels [4] - Global bismuth consumption is projected to grow at a rate of 8-10%, driven by demand from electronics, semiconductors, and new energy sectors [4] Industry Transformation - The bismuth industry in China is accelerating its transformation towards high value-added products, with ongoing research and application advancements in bismuth electronic materials and bismuth-based nanomaterials [5] - Currently, China's bismuth products are primarily basic raw materials like refined bismuth and bismuth oxide, with a need to focus on high-purity bismuth, high-end bismuth alloys, and bismuth compounds to close the technological gap with Europe, the US, and Japan [5]

Investment Rating - The report rates the bismuth industry as "Positive" [4] Core Insights - Short-term bismuth supply and demand are in a weak balance, with tight raw material supply supporting high prices, but weak exports and high inventory levels limit recovery space, leading to a potential price fluctuation in the short term. In the medium to long term, domestic environmental regulations will tighten, maintaining a tight supply of smelting raw materials, with supply growth expected to be only 2-4%. Meanwhile, demand from electronics, photovoltaic solder, and semiconductor thermoelectric materials is expected to grow at 8-10%, leading to a gradual convergence of supply surplus and a balanced state in the next 2-3 years [1][2][3]. Supply Side - China dominates global bismuth supply, accounting for 75% of the 23,940 tons produced in 2023. The expansion of production capacity is constrained by raw material shortages, with supply growth expected to be around 2-4% [2][25][26]. - The supply of refined bismuth is limited due to a continuous shortage of raw materials, particularly bismuth ore and recycling materials from lead and copper production. Current visible inventory levels are decreasing, indicating reduced inventory pressure [26][28]. Demand Side - Domestic bismuth consumption remains focused on traditional sectors, but high-tech demand from semiconductors and renewable energy is creating a second growth curve for bismuth. Overall consumption has been stable, with significant growth expected in electronics and semiconductors [2][31][34]. - China is the largest exporter of bismuth, with over 60% of bismuth metal used for export. Long-term export volumes are expected to return to normal levels, with a shift from metal bismuth to bismuth oxide exports [34]. Industry Development Trends - The bismuth industry is transitioning towards high-value-added products, with a focus on high-purity bismuth and advanced bismuth-based materials. There is a notable technological gap compared to Europe, the US, and Japan in high-end bismuth products [3][19]. - The report highlights the potential applications of bismuth in superconductors, nuclear reactor coolants, and electronic devices, indicating a strong future demand in high-tech fields [36][41][42].

Core Viewpoint - Hunan Silver plans to implement a restricted stock incentive plan and repurchase shares to enhance internal motivation and development synergy, aiming to stimulate growth in the company [2] Company Summary - Hunan Silver focuses on the silver industry, possessing leading clean smelting, comprehensive recycling, and deep processing technologies in China, forming a complete industrial chain from upstream lead-zinc-silver mining to downstream silver-based deep processing [3] - The company has an annual silver production capacity of 2,000 tons and is a significant base for silver production and export in China, with main products including silver ingots, lead ingots, and various silver-based products [3] - Recent judicial restructuring and major asset reorganization have led to continuous improvement in operational performance, positioning the company to compete with industry leaders [3] Industry Summary - The demand for non-ferrous metals, represented by silver, lead, and zinc, is expected to remain strong due to advancements in new energy technologies, upgrades in high-end manufacturing, and a recovery in the global infrastructure market [2][3] - Supply-side factors such as extended resource development cycles and geopolitical disruptions are affecting the non-ferrous metal supply chain, leading to increased attention from global buyers on China's non-ferrous metal mining and smelting industry [3] - Overall, Chinese non-ferrous metal production companies are anticipated to enter a prolonged period of prosperity due to these demand and supply dynamics [3]