Guocheng Co., Ltd. (hereinafter referred to as "Guocheng Group") is a comprehensive modern enterprise group with mining exploration and development, new energy industry, chemical smelting, logistics trade, hotels, and other industries. Guocheng Group was established in September 2017 and is headquartered in Beijing. It owns more than 50 participating companies including "Guocheng Mining Co., Ltd. (000688. SZ)", a company listed on the main board of the Shenzhen Stock Exchange, with businesses in Beijing and Inner Mongolia. , Sichuan, Tibet, Xinjiang, Anhui, Zhejiang, Fujian, and other more than ten provinces, municipalities, and autonomous regions, with more than 7,000 employees and total assets of 26 billion yuan.
Our Trading Division aims to expand the operational scale of Guocheng Group and enhance profitability. Leveraging Guocheng Group's capital, resources, channels, and other advantages, our Trading Sector develops comprehensive trade by blending traditional trade practices with supply chain services. Our primary business areas encompass import and export trade, domestic trade of bulk commodities, as well as the development, investment, and operation of high-quality mining projects.
Our Trading Division has forged a solid foundation for collaboration with key industry players, including domestic and international mines, smelting plants, and large-scale traders, boasting extensive customer channels and a flexible trading model. The management team is deeply entrenched in the non-ferrous metal market, possessing years of experience in trade operations and mining investments.
Guocheng Group has strategically established branches such as the Mine Sales Department, Fujian TiO₂ Sales Subsidiary, Shanghai Branch, and Hong Kong Branch, which engage in the sales and trade of mineral products, titanium dioxide, and non-ferrous metal products both domestically and internationally, leveraging resources and market insights. Collectively, these entities generate a trade volume of 8 billion yuan annually.
Starting in 2022, Guocheng Group will enter the field of lithium battery new energy, focusing on building a new energy industry chain integrating lithium resource development, lithium salt production, precursor material production, and green and smart energy services. Cooperation agreements have been signed with local governments including Putian, Fujian, Chifeng, Inner Mongolia, and Deyang, Sichuan.
The project is located in Deyang-Aba Ecological Economic Industrial Park, covering an area of 1,200 mu, with a planned total investment of 10.5 billion yuan. After completion in three phases, it will form a production capacity of 200,000 tons of basic lithium salt per year, becoming the world's largest single-scale basic lithium battery salt production base. At present, the company registration, the feasibility study of the first version of the project and the preparatory work are completed, and the preparatory procedures such as project planning and design are being fully promoted. The construction of the first phase of the project will start in August 2023, and it is expected to have an annual production capacity of 60,000 tons of lithium salt in August 2024; the second phase of the project will start construction in June 2024 and be completed in May 2025.
The project was founded in 2007, covering an area of more than 50 acres, with a lithium salt production line with an annual output of 5,000 tons, mainly producing lithium hydroxide and lithium carbonate. In order to improve product quality, Guocheng led a comprehensive upgrade of the factory buildings and production lines. At present, Guocheng has completed the land acquisition and will complete the first phase of technical transformation in June 2023. The annual production capacity of lithium salts can reach 5,000 tons; the second phase of technical transformation will be completed in December of the same year, and the annual production capacity of lithium salts can reach 10,000 tons.
The project is located in Xianyou County, Fuzhou City, Fujian Province. The project covers an area of 316 acres, with a planned total investment of 10 billion yuan to build a production line with an annual output of 60,000 tons of precursors + 40,000 tons of cathode materials. Among them, the first-phase investment is 5 billion yuan. After completion, the annual output of lithium battery materials will be 50,000 tons, and the annual output value will be 10 billion yuan. At present, the company registration, project construction land delisting and preparatory work have been completed, and the preparatory procedures such as site leveling, project feasibility study, planning and design are being promoted, and the construction will start in July 2023.
Guocheng Group intends to unite five leading enterprises in the industry as investment entities, and build a lithium battery low-carbon industrial park in accordance with the method of "coordinated development and professional operation". It plans to invest about 15 billion yuan to build 80,000 tons of basic lithium salt, lithium phosphate, lithium battery positive and negative electrodes, battery packs, new energy power stations and other key projects, and will become an important domestic lithium battery industry production base.
Guocheng Group has long adhered to the basic goals of ecological environment protection, rational utilization of resources, energy conservation and emission reduction, and harmonious mines, and has Actively created a modern green mining enterprise with "environmental ecology, scientific mining methods, efficient resource utilization, digital management information, and harmonious mining community", which Independently owned 19 mining rights, with an overall annual mining capacity of 15 million tons. The Dasuji Molybdenum Mine in Wulanchabu, Inner Mongolia is a super-large molybdenum metal deposit in China. Its resource quality is the top three in the country and its production capacity is the fourth in the country; Jianzishan Silver Mine has the largest silver metal reserves in Asia and the seventh in the world; Wulanchabu Bohai Mining has rich silver-lead-molybdenum deposits, high-grade main ore elements, and high value of associated ore. The Dangba spodumene mine in Maerkang City, Sichuan Province is a rare high-quality large-scale lithium mine in China, and its resource reserves are leading in the country.
Malkang Jinxin Mining Co., Ltd. has rich reserves of lithium ore resources, great development potential, and high ore grade. The total amount of spodumene ore resources is more than 100 million tons, and the resource reserves are leading in the country. It is a rare high-quality large-scale lithium ore resource in China. In accordance with the principle of simultaneous planning, phased construction, and gradual production capacity, technical transformation and expansion are being carried out, and the mining and selection capacity will reach 5 million tons by 2025.
We have already built an eco-friendly cultural tourism mine complex integrating ecological research, ecotourism, industrial tourism, and education on the history of revolution in Malkang City, Sichuan Province. The total visible area of the first phase is about 50.8 square kilometers.
Chifeng Yubang Mining Co., Ltd. ranks seventh in the world in silver ore reserves and the first in Asia. Currently, the proven resource ore reserves are 159 million tons, 18,200 tons of silver metal, 1.89 million tons of zinc metal, and 850,000 tons of lead metal. Since 2019, Guocheng Group has successively invested 1.5 billion yuan in acquisitions and technological transformation. It has obtained a mining license of 8.25 million tons per year. In the next three years, it will continue to invest 3 billion yuan in technical transformation and expansion of 8.25 million tons of annual mining and dressing. After the technical transformation is completed, it will become the largest single silver production mine in the world.
Inner Mongolia Guocheng Industrial Co., Ltd., a large-scale green mine for molybdenum mining and selection, has a mining right area of 1.68 square kilometers and an exploration right area of 2.07 square kilometers. At present, 331 million tons of ore resources have been proven, 406,500 tons of molybdenum metal, and the average grade is 0.123%. At present, the annual mining scale is 5 million tons, and by 2025, the mining and processing capacity will be 6.7 million tons. The average annual output of molybdenum concentrate is about 15,000 tons, of which the amount of molybdenum metal is about 7,000 tons.
Fengyang County Zhongdu Mineral Development Service Co., Ltd. has 1 prospecting right for Jiangshan gold-lead-zinc polymetallic deposit, with a total of 9.94 million tons of ore, 4.4005 million tons of lead-zinc ore, 41,909 tons of lead metal, 32,940 tons of zinc metal, 1,461 tons of copper metal, 16,216 kg of gold metal, and 146 tons of silver metal.
Fengyang County Jinpeng Mining Co., Ltd. is mainly engaged in lead-zinc ore mining, mineral processing, sales, etc. The ore reserves are 1.73 million tons, including 52,000 tons of lead metal, 68,000 tons of zinc metal, 2,883 kg of gold metal, and 96,000 kg of silver metal. The existing mining capacity is 150,000 tons/year.
Gansu Baohui Industrial Group Co., Ltd. holds 1 mining right and 1 prospecting right. The annual mining and processing capacity of the mine is 1 million tons, the mining right area of the mine is 2.104 square kilometers, the reserved resources are 26 million tons, and the lead and zinc metal volume is 1.26 million tons, with an average grade of 4.96%.
Kezhou Yaxing Mineral Resources Group Co., Ltd. currently has 1.73 million tons of proven ore resources, nearly 100 million tons of iron ore reserves, and 78.06 million tons of recorded reserves; the average grade of raw ore is 36%-43%, and the mining scale of the mine is 5 million tons per year; the dressing plant of Artush Jianbao Mineral Processing Co., Ltd. has an annual processing capacity of 2 million tons of ore and an annual output of 1.1 million tons of 61-63% iron concentrate.
Tibet Shengkai Mining Co., Ltd. holds the prospecting right of the Lanoma lead-zinc mine, which is a key project of the Tibet Autonomous Region's "12th Five-Year Plan", "13th Five-Year Plan" and "14th Five-Year Plan" overall planning of mineral resources. The proven reserves of ore resources are 6.98 million tons, the amount of lead and zinc metal is 404,000 tons, the average grade is 5.77%, and the recovery rate exceeds 90%; the amount of antimony metal is 86,000 tons, the average grade is 2.80%, and the recovery rate is 70%.
In the future, the Sankai project and the Saixi project will jointly use a common beneficiation plant to process ore. The first phase plans to build a mining and beneficiation production system with an annual scale of 1 million tons, and the second phase plans to reach a mining and beneficiation scale of 1.2 million tons per year.
Chahar Right Front Banner Bohai Mining Co., Ltd is a comprehensive mining company integrating mining, processing and sales of non-ferrous metal resources. The main mineral products are lead fine powder and zinc fine powder. The silver-lead-gold-molybdenum deposits are rich, the main ore element grade is excellent, and the value of the associated ore is high. The average grade of lead and zinc is 9.5%, and the average grade of silver is 100 g/ton. The existing mining and dressing capacity is 100,000 tons per year, and it is estimated that by 2025, Bohai Mining will reach a production capacity of 600,000 tons.
Inner Mongolia Dongshengmiao Mining Co., Ltd., formerly known as the state-owned enterprise Dongshengmiao Pyrite Mine in Inner Mongolia, has a mining history of 45 years. It is located in the famous Langshan non-ferrous metal metallogenic belt. Since the mining, the total profit and tax of the mine has exceeded 10 billion . At present, the proven resource ore reserves are 152 million tons, the amount of lead-zinc metal is 2.2 million tons, and the amount of copper metal is 22,000 tons.
Dongshengmiao pyrite mining rights and deep exploration rights are all large-scale lead-zinc-copper-sulfur deposits, and the sulfur reserves in the mining area It ranks first in the country, and its zinc reserves are among the top in the country. The production scale is 3.5 million tons of zinc-lead-copper-sulfur polymetallic ore mining and dressing annually. The main products are lead concentrate, zinc concentrate, copper concentrate, sulfur concentrate and pyrite powder etc.