HK Stock Market Move | LYGEND RESOURCE (02245) Rises by Over 8% Again, Indonesian Policy Disruption in the Nickel Market, Company Fire Law Project to be Fully Launched by 2026

LYGEND RESOURCE (02245) rose over 8% again, as of the time of writing, it is up 6.71% at HK$23.18 with a trading volume of HK$66.9549 million. On the news front, the Indonesian Nickel Mining Association (APNI) recently stated that the government's target for nickel ore production in the 2026 Work Plan and Budget (RKAB) is around 250 million tons, significantly lower than the 379 million tons set in the 2025 RKAB. The purpose of lowering the production target is to prevent further decline in nickel prices. The calculation formula for the nickel reference price HPM may also face revisions, with a key focus on treating nickel by-product minerals (especially cobalt) as independent commodities and subjecting them to royalty fees. Minsheng Securities previously pointed out that LYGEND RESOURCE and its partners have jointly invested in a nickel smelting production line on Obi Island in Indonesia, with a planned wet nickel production capacity of 120,000 tons + 14,000 tons cobalt, and an equity production capacity of 69,000 tons nickel + 8,200 tons cobalt, all of which were fully operational in 2024. The first phase of the pyrometallurgical project has a production capacity of 95,000 tons, which has started production in 2023, and some production lines of the second phase have started production in 2025H1, with full production expected in 2026, increasing the company's production capacity to 280,000 tons and its equity production capacity to 155,000 tons, providing significant production flexibility.