Chihong Zinc(600497)2024-06-07 10:44Investor Relations Activities - Investor relations activities included on-site visits, analyst meetings, roadshows, and strategy meetings [2] - Over 120 institutional investors participated in the events, including major firms like CITIC Securities, CICC, and Huatai Securities [2] - Activities took place in Yunnan Qujing, Shanghai, and online [2] Cost Management and Production - In 2023, the company achieved significant cost reductions, with mining C3 costs remaining in the top 25% of the industry and smelting C3 costs breaking into the top 50% [3] - The company plans to focus on improving efficiency, controlling equipment downtime, and ensuring stable production to meet annual targets [3] - The overall ore grade of lead-zinc mines is 15.38%, significantly higher than the industry average of 6.55% [3] Resource Reserves and Production Capacity - As of the end of 2023, the company controlled over 32 million tons of lead-zinc metal resources and over 600 tons of germanium metal resources [3] - The company has two world-class high-grade mines with ore grades of 28% and 22%, rich in germanium and with abundant reserves [3] - Lead-zinc concentrate metal production capacity is 420,000 tons per year [3] Gold Production and Market Strategy - Gold production in Q1 2024 reached 129.64 kg, a 187.96% increase year-over-year, driven by the procurement of high gold-content raw materials [3] - Future gold production will depend on market conditions and raw material procurement [3] Risk Management and Financial Strategy - The company uses financial instruments for hedging to mitigate risks from commodity price fluctuations [4] - A comprehensive futures system and strict internal controls are in place to manage risks [4] - The company plans to distribute at least 30% of its distributable profits as cash dividends annually from 2024 to 2026 [4] - Over the past three years, the company has distributed at least 40% of its average annual distributable profits as cash dividends [4]