China Mineral Resources: the annual output of 25000 tons of battery-grade lithium hydroxide and lithium carbonate project has reached production.

Recently, China Mineral Resources (002738) said in an interactive exchange with investors that the company's annual production line of 25000 tons of battery-grade lithium hydroxide and battery-grade lithium carbonate has been completed and successfully ignited and put into trial operation on August 19, 2021, and some battery-grade lithium hydroxide products have been sold in October with high quality and stable quality. Up to now, the production line has reached production capacity. The production line has modern equipment and advanced production technology. Relying on the advantages of technology, customers, resources and experience in the lithium salt industry for many years, the company will further enhance the profitability of the company.

In terms of lithium ore reserves for production raw materials, China Mineral Resources has short-term and long-term planning arrangements for raw material supply, which will mainly guarantee the raw material supply of the production line by giving priority to expanding the self-sufficiency rate (self-owned mining rights-Canadian TANCO mine), locking underwriting rights and market procurement.

The technical renovation and recovery project of spodumene mining and separation system with an annual processing capacity of 120000 tons in TANCO mining area of Canada, which belongs to China Mineral Resources, was officially put into production on October 15, 2021, providing a certain resource guarantee for the company's lithium salt business.

In order to meet the raw material demand of the company's 25000-ton battery-grade lithium hydroxide and lithium carbonate production line, seize the market opportunity of new energy for lithium electricity, and turn resource advantages into economic advantages, China Mineral Resources is actively promoting the open-pit mining plan in TANCO mining area, and the amount of lithium mineral resources retained in TANCO mining area under the condition of open-pit mining plan will be greatly increased. The feasibility study of the opencast mining scheme and the construction of a new concentrator with an annual capacity of 500000 tons / year is under way.

In terms of the technical transformation of the LiF production line, the technical transformation project of China Mineral Resources LiF production capacity from 3000 tons / year to 6000 tons / year is expected to be completed by the end of this month. The technical renovation project was approved by the Ecological Environment Bureau of Xinyu High-tech Zone in Jiangxi Province in July. Next year, the company's LiF will have a production capacity of 6000 tons per year, which will help the company to further expand its market share.

For the company's future development plans, China Mineral Resources said: 1) the company will continue to maintain the world's leading position in the development of cesium resources. With the expansion of the application of cesium rubidium salt in optoelectronics, aviation equipment, new energy, biomedicine and other fields, the company will adjust the product structure of cesium rubidium salt and improve its profit margin and market share. 2) accelerate the technical transformation of LiF production line, strive to reach production by the end of the year, and maintain the domestic leading position of LiF products. 3) on the premise of cost advantage, continue to distribute lithium ore resources to achieve self-sufficiency of raw materials needed for lithium salt production. 4) maintain the leading edge of international geological prospecting technical services, and give priority to ensuring the exploration and development services of the company's lithium, cesium rubidium, beryllium and other metal mining rights on the basis of refining and strengthening the geological prospecting technical service business.