Kings(SH:603505)2023-12-18 10:04Group 1: Investor Relations Activities - The company conducted offline research activities with investors and analysts from December 1 to 15, 2023 [1] - Three offline research sessions were held on December 5, 6, and 12, 2023, with various investment firms participating [2] Group 2: Fluorspar Resource Overview - Mexico has the largest global fluorspar reserves, but its high arsenic content limits its application in the chemical industry [3] - The non-renewable nature of fluorspar resources contributes to their scarcity, with many small mines depleting over time [4] Group 3: Demand and Application of Fluorspar - The demand for fluorspar is shifting from metallurgy to the fluorochemical industry, which is now the largest consumer [6] - The expected demand for fluorspar in the new energy sector is projected to increase, with approximately 45 kg of fluorspar powder used per electric vehicle [6] - Traditional refrigerant markets still have significant growth potential, especially in developing regions like Southeast Asia [6] Group 4: Company’s Competitive Advantages - The company has developed a high-efficiency, low-cost filling mining system, which presents a technical and financial barrier for smaller mines [7] - Successful collaboration with Baotou Steel Group was achieved through a competitive bidding process, leading to the establishment of a pilot production line [8] Group 5: Project Management and Agreements - The agreement with Baotou Steel includes clear terms for exclusive cooperation rights, supported by an authorization letter from Baotou Steel [10] - The transportation of hydrofluoric acid is managed by qualified transport companies, with some clients opting for self-pickup [11] Group 6: Market Trends - The cyclical nature of fluorspar pricing has shown to be relatively stable, with a consistent upward trend in price levels over recent years [11]