SMM Lead Morning Meeting Summary: Lead Prices Supported by Tight Raw Material Supply, But Future Demand Uncertain

The U.S. Permitting Council granted FAST-41 coverage to the Red Dog Mine Life Extension Project in northwest Alaska. The project proposes underground long-hole stoping at the Aktigiruq and Anarraaq deposits, with ore to be processed through Red Dog’s existing mill and is intended to extend Red Dog operations by approximately 14 years. The U.S. Army Corps of Engineers will lead the federal permitting review. Teck reports 42.2 Mt of indicated resources grading 15.8% Zn and 18.8 Mt of inferred resources grading 11.8% Zn at Aktigiruq, alongside 17.0 Mt of inferred resources grading 14.0% Zn at Anarraaq. Both deposits also contain lead, silver and germanium. FAST-41 coverage supports a coordinated and transparent permitting process; it does not constitute final permitting approval or commercial production.

On September 2, Shengda Resources announced that its wholly owned subsidiary, Chifeng Jindu Mining Co., Ltd., had completed the consolidation of the mining rights for the Shidi Silver-Lead-Zinc Mine and the exploration rights for the Shidi Peripheral Lead-Zinc Polymetallic Mine. Jindu Mining has received the Real Estate Ownership Certificate (Mining Right) and Mining License issued by the Chifeng Municipal Natural Resources Bureau. Following the consolidation, the mining area increased from 4.4750 sq km to 5.2397 sq km. The change is not expected to have a material impact on the company's operating results in the short term, but is expected to increase mineable resources, extend the mine's service life and provide resource support for the company's long-term development.