Against the backdrop of China’s continued advancement of the “dual carbon” goals and the accelerating global energy transition, the Company’s transition process is exposed to multiple structural risks related to policy, technology, markets, and reputation, while also presenting key opportunities for resource value enhancement and green development. Climate transition may create cost and compliance pressures for the Company through policy adjustments, technological upgrades, and market changes. At the same time, it also opens new development opportunities in clean energy, the development of key mineral resources, and green mine construction. The Company actively responds to climate transition challenges by continuously advancing energy conservation and carbon reduction, cleaner production, and comprehensive resource utilization, promoting the coordinated enhancement of environmental responsibility and economic value. In terms of risks, the Company pays attention to the potential market and reputational impacts arising from carbon pricing, carbon border adjustment mechanisms, energy consumption, increasingly stringent environmental compliance requirements, and changes in demand for low-carbon products. In terms of opportunities, the Company actively captures the enabling role of industries such as new energy and energy storage in strengthening resource security and product supply stability. It also continues to advance the research and development of clean technologies as well as the application of digitalization and automation to improve overall production efficiency. To enhance management coordination in responding to climate change, the Company has incorporated climate governance into its business management system. Senior management provides overall coordination, while relevant functional departments work together to implement risk identification, resource management, production optimization, capacity building, and funding support, promoting the extension of climate management requirements to frontline production operations.

In 2025, the Company continued to advance work related to climate risk identification, resource efficiency improvement, cleaner production audits, and green factory development. Taking into account the actual conditions of its subsidiary production enterprises, the Company promoted the implementation of key tasks and continuously strengthened the foundation for green and low-carbon transition.