New Stock News | Jiaxin International Hong Kong Stock IPO prospectus invalid: focusing on the development of the world's fourth largest tungsten mine with abundant resources.

G-RESOURCES Investment Limited (hereinafter referred to as "Jiaxin International") submitted its Hong Kong IPO prospectus on January 30, 2024, which expired after 6 months on July 30, with CICC as its exclusive sponsor when submitting the application. According to the prospectus, Jiaxin International is a tungsten mining company rooted in Kazakhstan, focusing on the development of the company's Bakuta tungsten mine (Bakuta tungsten mine project). According to Frost Sullivan's data, as of September 30, 2023, it is the world's largest open-pit tungsten (WO3) mineral resource reserve. As of the same date, the company's Bakuta tungsten mine is also the world's fourth-largest WO3 mineral resource tungsten mine, with the largest designed tungsten ore production capacity in a single tungsten mine. According to an independent technical report as of December 31, 2023, based on JORC rules, the estimated mineral resource of the company's Bakuta tungsten mine is approximately 110 million tons of ore containing 0.211% WO3, including 98.5 million tons of controlled resources and 11.9 million tons of inferred resources. According to the subsurface use contract signed with the relevant authorities in Kazakhstan, the mining area covers 1.16 square kilometers and allows for a maximum depth of 300 meters below the surface, valid from June 2, 2015, to June 2, 2040, for a period of 25 years. During the historical period (as of the years ended December 31, 2021 and 2022, and the nine months ended September 30, 2023), the company mainly focused on preparing for the commercial production of the Bakuta tungsten mine project. The company expects to start trial production of the project in the third quarter of 2024 to test and fine-tune the processing flow, with the goal of mining and processing 1 million tons of tungsten ore in 2024. The company aims to begin commercial production in the first quarter of 2025, targeting the mining and processing of 3.3 million tons of tungsten ore that year. Financially, the company stated that the Bakuta tungsten mine project was in the exploration and development stage during the historical period, so the company did not recognize any revenue or sales costs. The company recorded a loss of HK$26.117 million, HK$94.45 million, and HK$87.692 million for the years/periods ended in 2021, 2022, and the nine months ended September 30, 2023, respectively.