New Stock News | Guangdong Rising Dabaoshan Copper Files with HKEX; Ranked First in South China for Copper Concentrate Output in 2025

According to the disclosure by the Hong Kong Stock Exchange on September 22, Guangdong Rising Dabaoshan Copper Co., Ltd. (hereinafter referred to as "Guangdong Rising Dabaoshan Copper") has submitted an application for listing to the Main Board of the Hong Kong Stock Exchange, with CITIC SEC acting as its sole sponsor. Company Overview According to the prospectus, Guangdong Rising Dabaoshan Copper is a leading polymetallic mining company in South China, primarily engaged in the exploration, mining, ore processing, comprehensive utilization, and sales of copper, sulfur, and other polymetallic mineral resources. The company's sole mining asset is the Dabaoshan Mine, located in Shaxi Town, Qujiang District, Shaoguan City, Guangdong Province, China, which is a large-scale open-pit polymetallic mine. The company's mine was officially put into production in 1966. In 2017, the company completed a strategic transformation and upgrade, transitioning from a single iron ore product mining enterprise to a comprehensive mining enterprise focused on the development of copper, sulfur, and various associated metals, with its core business covering the entire value chain of exploration, mining, ore processing, comprehensive utilization, and sales of copper, sulfur, and other polymetallic mineral resources. Guangdong Rising Dabaoshan Copper possesses the largest open-pit mining site and specialized copper-sulfur beneficiation facilities in South China. The Dabaoshan Mine has an approved mining production scale of 3.3 million tonnes per year, supported by a specialized copper-sulfur beneficiation plant with a processing capacity of 3.6 million tonnes per year. Its core products include copper concentrate, sulfur concentrate, and magnetic sulfur concentrate, and it also produces stone materials and other ancillary products. According to Frost & Sullivan, in 2025, the company ranked first in South China in copper concentrate output and third nationwide in sulfur concentrate output. The Dabaoshan Mine is located in the core area of the Nanling metallogenic belt, a state-planned mining area and a key exploration area in Guangdong Province. The total potential economic value of the mineral resources retained in the mining area exceeds RMB 100 billion, while its copper-sulfur proven and controlled mineral resources amount to 91.31 million tonnes. Financial Information Revenue For the years 2023, 2024, 2025, and the six months ended June 30, 2026, the company's revenue was approximately RMB 1,596 million, RMB 1,848 million, RMB 2,193 million, and RMB 1,852 million, respectively. Profit for the Year/Period For the years 2023, 2024, 2025, and the six months ended June 30, 2026, the company's profit for the year/period was approximately RMB 348 million, RMB 501 million, RMB 849 million, and RMB 976 million, respectively. Gross Profit Margin For the years 2023, 2024, 2025, and the six months ended June 30, 2026, the company's gross profit margin was 44.1%, 50.7%, 58.0%, and 70.0%, respectively. Industry Overview The market size of China's copper concentrate increased from 7.5 million tonnes in 2021 to 9.4 million tonnes in 2025, with a compound annual growth rate of 5.8%. As one of the world's major copper consumption markets, China maintains a relatively high level of demand for copper smelting and processing. Due to relatively limited domestic copper mineral resources and insufficient copper concentrate production, China's self-sufficiency rate for copper concentrate remains at a low level, and market supply is highly dependent on imported copper concentrate. China's copper concentrate production increased from 1.6 million tonnes in 2021 to 1.8 million tonnes in 2025, with a compound annual growth rate of 2.3%. Imports increased from 5.8 million tonnes to 7.6 million tonnes, with a compound annual growth rate of 6.7%. Driven by the continued development of AI infrastructure construction, new energy vehicles, renewable energy power generation, energy storage systems, and power grid construction and upgrading, demand for copper products and refined copper is expected to maintain growth, providing a stable demand foundation for the upstream copper concentrate market. At the same time, with the continued advancement of domestic copper mine exploration and development, the gradual release of production capacity from certain mine expansion projects, and improvements in beneficiation technology and resource utilization efficiency, domestic copper concentrate production capacity is expected to increase slightly. The market size of China's copper concentrate is expected to increase from 9.4 million tonnes in 2025 to 11.3 million tonnes in 2030, with a compound annual growth rate of approximately 3.8%. Domestic production is expected to increase to 2.0 million tonnes, with a compound annual growth rate of 2.4%, and imports are expected to increase to 9.2 million tonnes, with a compound annual growth rate of 4.1%. Board of Directors Information The Board of Directors consists of nine directors, including four executive directors, two non-executive directors, and three independent non-executive directors. The Board of Directors is responsible for and has the general authority to manage and operate the company. Directors serve a term of three years and may be re-elected upon expiration of their term. Shareholding Structure As of the latest practicable date, the company is held 60% by Guangdong Rising Holdings and 40% by China Rare Earth Nonferrous Metals. The group will have two controlling shareholders, namely: (i) Guangdong Rising Holdings; and (ii) China Rare Earth Nonferrous Metals. Intermediary Team Sole Sponsor: CITIC SEC (Hong Kong) Limited Legal Advisors: Latham & Watkins LLP, DeHeng Law Offices Legal Advisors to the Sole Sponsor: Slaughter and May, JunHe LLP Auditor and Reporting Accountant: Ernst & Young Industry Consultant: Frost & Sullivan (Beijing) Consulting Co., Ltd. Shanghai Branch