XNMG’s Reserves Increase over RMB 230 Billion in 4 Years

The 100 million tons of proven iron ore in south Xinjiang marks the successful conclusion of mineral exploration of Xinjiang Nonferrous Metals Group (XNMG) this year. It enables XNMG’s potential economic value of newlyincreased resources to exceed RMB 230 billion since implementation of the strategy of geological prospecting and resource consolidation,laying a firm foundation for the corporate goal of building a company valuing RMB 50 billion during the 12th Five-Year Plan period. Since the 11th Five-Year Plan period, XNMG has always given top priority to resource control and consolidation strategy, so as to achieve leapfrog development. The group has strengthened geological prospecting in accordance with the working thought of "establishing a base in the short term, a target region in the medium term and a vision in the long term". In particular, the group has invested approximately RMB 300,000,000 in mineral exploration since 2008,focusing on local, deep and peripheral prospecting, thus achieving remarkable inputoutput ratio of 1:767.

According to resources management department of XNMG, XNMG’s accumulative newly-increased metal resources since 2008 are as follows: 530,000 tons of lead and zinc,935,000 tons of copper, 516,000 tons of nickel,33.3 tons of gold, 7,400 tons of beryllium and 100,000,000 tons of iron, with potential economic value exceeding RMB 230 billion.