Top Ten News releases of China Mining Industry in 2021

On December 28th, China Mining Federation and China Mining magazine jointly held a press conference on "Top Ten News of China Mining in 2021". The China Mining Federation released the "Top Ten News of China Mining Industry in 2021". They are:

1. With the release of the results of the decade of Prospecting Breakthrough Strategic Action deployed by the State Council in 2011, the amount of major mineral resources has generally increased, with the growth of gold, tungsten, molybdenum, manganese and graphite accounting for more than 50% of the total.

On February 25, it was learned from the press conference on the results of the decade of Prospecting Breakthrough Strategy held by the Ministry of Natural Resources that since the State Council approved the implementation of the Prospecting Breakthrough Strategy in 2011, the Ministry of Natural Resources, the Development and Reform Commission, the Ministry of Science and Technology and the Ministry of Finance have closely cooperated and carefully organized, local party committees and governments at all levels have attached great importance to and made great efforts to promote it, and mining enterprises, geological prospecting units and scientific research institutes have played an active role to achieve the overall goal.

Since the State Council approved the implementation of the prospecting breakthrough strategic action in 2011, the ten-year prospecting breakthrough strategic action has achieved the overall goal, and the amount of major mineral resources has generally increased. The additional resources of oil and natural gas in the past ten years are 10.1 billion tons and 6.85 trillion cubic meters respectively, and 17 large oil fields of 100 billion tons and 21 large gas fields of 100 billion cubic meters have been discovered. There were 8085 tons of gold, 6.12 million tons of tungsten, 18.74 million tons of molybdenum, 1.2 billion tons of manganese and 336 million tons of graphite, accounting for more than 50 percent of the total, and 32 non-oil and gas mineral resources bases were formed.

Ore prospecting in the past ten years has further confirmed that the focus of mineral resources exploration and development has shifted to the west and expanded to the sea area. The new proved geological reserves and production of western oil accounted for 62% and 34% of the country's total, respectively, and natural gas accounted for 85% and 84%, respectively. In 2020, the oil and gas production in the sea area accounts for about 1% of the national oil and gas production. Of the 32 non-oil and gas mineral resources bases newly formed in the country, 25 are distributed in the west.

two。 The sharp rise in domestic coal prices has led to "switching on and limiting electricity", and the National Development and Reform Commission and other ministries have launched a series of fists to guide the reasonable return of coal prices.

On September 26, the discussion of "power restriction and switching" in three northeastern provinces rushed into hot search, which aroused widespread concern in the capital market and all sectors of society. Since mid-September, more than 20 provinces, including Jiangsu, Guangdong, Yunnan and Zhejiang, have started to use electricity in an orderly manner, and enterprises in many places have been required to use electricity off peak, while the problem of power consumption in Northeast China is even more serious.

The rapid rise of coal prices has reached record highs, significantly pushing up the production costs of downstream industries, which has a negative impact on power supply and winter heating, and there is a strong reaction from all aspects of society. In order to actively respond to the national call for guaranteed supply and stable prices of commodities, promote the coordinated development of upstream and downstream industries, ensure the demand for heating for power generation and coal for people's livelihood, guide the reasonable return of coal prices, and promote the smooth operation of the economy. The National Development and Reform Commission and other ministries and local governments have issued management policies and measures one after another; the National Energy Group, China Coal Group, Jinneng holding Group, Yitai Group, Shandong Energy Group, Shanxi Coking Coal Group, and Shaanxi Coal Group have also made every effort to ensure coal supply and stabilize prices, and coal prices have continued to fall.

3. The National Development and Reform Commission and other three ministries and commissions issued the implementation Plan for promoting the High-quality Development of Resource-based areas during the 14th five-year Plan.

On November 5, the National Development and Reform Commission, the Ministry of Finance, and the Ministry of Natural Resources issued the 14th five-year Plan for promoting the High-quality Development of Resource-based areas, which mentioned that by 2025, the security capacity of resources and energy in resource-based areas will be greatly improved. the potential of economic development will be brought into full play, a modern industrial system led by innovation, accelerated transformation and diversified support will be basically established, and the public service system will be widely covered. A green and livable environment has initially taken shape, and people's livelihood and well-being have been continuously improved. Looking forward to 2035, the high-quality development goals of resource-based areas with strong resource security, vibrant economy, beautiful ecological environment and the well-being of the people will basically be achieved, and the Synchronize will basically achieve socialist modernization.

4. Zijin Mining Congo (Kinshasa) Camoa-Kakoula world-class copper mine has been completed and put into production, which is expected to become the second largest copper mine in the world. Zijin Mining enters lithium mine for the first time and acquires world-class high-grade salt lake lithium project in South America with nearly 5 billion yuan.

On May 25th, the 3.8 million-ton beneficiation system of the first phase of Camoa-Kakoula Copper Mine in the Democratic Republic of the Congo of Zijin Mining Group Co., Ltd. officially started copper concentrate production, realizing the goal of completion and commissioning of the project ahead of schedule.

Camoa-Kakoula copper mine is the most important copper mine in the world in the new century. After full development, the annual output of copper at its peak is more than 800000 tons, which is expected to become the second largest copper mine in the world.

Zijin Mining now holds a 13.69 per cent stake in Ivanhoe Mining and, together with Ivanhoe Mining, owns 39.6 per cent of the Camoa-Kakoula copper project, with a combined equity stake of about 45 per cent in the Camoa-Kakoula copper mine.

On October 10, Zijin Mining announced that it would acquire Canada's New Lithium Company in cash. Under the agreement, Zijin Mining will acquire all the existing issued and outstanding common shares of New Lithium Company in cash at C $6.50 per share for a transaction value of approximately C $960 million and a transaction value of approximately $4.94 billion. The company's salt lake project is one of the largest and highest-grade projects of its kind in the world. Its volume ranks in the top 5 of the world's major salt lakes and its grade ranks in the top 3 of the world's major salt lakes.

5. The National Development and Reform Commission has issued macro-control policies one after another, and the international iron ore price has dropped from a skyrocketing $230 / ton to less than $100 / ton.

On August 25, the Ministry of Natural Resources said in a letter in response to the proposal of Sisima, a member of the CPPCC National Committee, that iron ore should be listed as the main type of domestic prospecting for strategic mineral resources. and in the promotion of basic geological work, increase the transfer of exploration rights, speed up the realization of iron ore prospecting breakthrough and other aspects.

The price of imported iron ore (62% grade) has fallen from an all-time high of more than $230 a tonne in May to about $90 a tonne today.

In the future, we will strengthen the exploration and development of domestic iron ore resources, focus on speeding up the construction of national iron ore resource bases, and build a supply pattern with large and medium-sized mineral lands as the main body. During the 14th five-year Plan period, the annual supply of finished iron ore (at 62% grade) was stabilized at about 300 million tons.

6. The Ministry of Natural Resources reveals the "family background" of state-owned natural resources assets.

On October 21, entrusted by the State Council, the Minister of Natural Resources delivered a "Special report of the State Council on the Management of State-owned Natural Resources assets in 2020" to the standing Committee of the National people's Congress.

This is the first time that the standing Committee of the National people's Congress has heard and deliberated a special report on the management of state-owned assets in this field, which reveals the rich "family background" of China's state-owned natural resources assets.

7. Angang Benxi Steel officially reorganized the world's third largest steel company was born.

On August 20, the Anshan Iron and Steel Group reorganization Benxi Group meeting was held, and the Anben reorganization was officially launched. Liaoning SASAC transferred its 51% stake in Benxi Iron and Steel Group to Angang Group, which became a holding subsidiary of Angang Group. After the reorganization, the crude steel production capacity of Angang will reach 63 million tons and the operating income will reach 300 billion yuan, ranking second only to China's Baowu. At the same time, it will also become the third largest iron and steel enterprise in the world, and the voice and dominance of the industry will continue to be strengthened.

8. The cloud platform of China International Mining Conference has been officially put into operation, initially realizing the goal of "never ending" of the Mining Conference.

The 2021 (23rd) China International Mining Conference, sponsored by the China Mining Federation under the guidance of the Ministry of Natural Resources and the Tianjin Municipal people's Government, opened in Tianjin on October 21st. With the theme of "multilateral cooperation for development and prosperity in the post-epidemic era", this Congress aims to jointly build a new pattern of international mining cooperation in the post-epidemic era through exchanges and cooperation among countries and regions, industries and enterprises. to promote the development and prosperity of the global mining industry. Units and guests from 30 countries and regions attended the conference, with 230 exhibitors.

China International Mining Conference Cloud platform (https://cloud.chinamining.org.cn/) is a comprehensive online cloud platform with "conference + exhibition + promotion" specially built for China International Mining Conference. The system integrates the opening ceremony and forum of the Mining Conference, the exhibitors and exhibits, the promotion of various countries and mining enterprises into one to form a cloud platform of the China International Mining Conference, which can be updated and adjusted, can communicate with each other, and can be served around the clock. In order to achieve the goal of "never ending" of the mining conference.

9. The classification reform of provincial geological prospecting units has been basically completed, and the Ministry of Natural Resources has issued the guiding opinions on promoting the High-quality Development of Geological Exploration Industry.

On May 10, the Ministry of Natural Resources issued the guidance on promoting the High-quality Development of the Geological Exploration Industry, which entered a new stage of development, implemented the new development concept and constructed a new development pattern, which required the geological exploration industry to play an important role. In order to promote the reform of geological prospecting units as a whole and promote the high-quality development of the geological exploration industry.

Since the 13th five-year Plan, the classification reform of provincial geological prospecting units has been launched throughout the country. by the end of 2021, the classification reform of provincial geological prospecting units has been basically completed, taking a solid step in centralized and unified management and straightening out the relationship between government, affairs and enterprises. a solid step has been taken in strengthening the supporting force of natural resources management, serving economic and social development in an all-round way, and building fine construction and strengthening the development capacity of the team.

10. great efforts will be made to increase oil and gas exploration and development in 2021, the annual output of oil will again approach 200 million tons, and the annual output of natural gas will exceed 200 billion cubic meters for the first time

On July 15, the State Energy Administration organized a conference to promote oil and gas exploration and development in 2021, including PetroChina, Sinopec, CNOOC and Yanchang Petroleum. We will thoroughly implement the spirit of General Secretary Xi Jinping's series of important instructions on oil and gas exploration and development, and continue to promote the high-quality development of the oil and gas industry. The annual output of crude oil has increased steadily, approaching 200 million tons on the basis of 195 million tons in 2020, and the annual output of natural gas (including shale gas and coalbed methane) has continued to grow rapidly, and the annual output has exceeded 200 billion cubic meters for the first time on the basis of 187.7 billion cubic meters in 2020. it has effectively consolidated the development trend of stable oil of 200 million tons and the rapid growth of natural gas.