Zangge Mining Listed in Wind’s “Top 500 Chinese Listed Companies by Market Value”

As 2023 came to a close, Wind released the “Top 500 Chinese Listed Companies by Market Value” for 2023. Zangge Mining Co., Ltd. (000408) re-entered the list with a total market value of 40 billion RMB, ranking 373rd, up 37 places compared with the previous year.

In recent years, Zangge Mining has focused on its core potash and lithium business, strengthened its resource barriers, and adhered to technological innovation, forming an operational structure in which potash, lithium, and copper resources mutually support each other.

Currently, Zangge holds mining rights covering 724 square kilometers east of the railway at Chaka Salt Lake in Qinghai. Chaka Salt Lake is rich in potash and lithium resources, with lithium reserves ranking first nationwide. Leveraging Chaka Salt Lake, Zangge’s potash production capacity reaches 2 million tons per year, ranking second in China.

In addition, Zangge has established a production capacity of 10,000 tons per year of battery-grade lithium carbonate at this site, and its high-quality lithium carbonate products have made a significant contribution during periods of domestic lithium shortage.

In the first three quarters of 2023, Zangge Mining achieved operating revenue of 4.189 billion RMB, net profit attributable to shareholders of the listed company of 2.969 billion RMB, and a gross profit margin of 68%, ranking among the top performers in the A-share market.

The company holds a stake in Julong Copper, becoming its second-largest shareholder and gaining considerable investment returns.

Data show that in the first three quarters of 2023, Zangge Mining recognized investment income from Julong Copper of 1.018 billion RMB, an increase of 77.97% compared with the same period last year.

Through continuously high cash dividend payouts to investors, Zangge Mining’s high-dividend characteristic has become increasingly prominent.

In 2022, the company conducted two dividend distributions totaling 4.508 billion RMB, accounting for nearly 80% of net profit attributable to shareholders.

In the first half of 2023, the company distributed cash dividends of 1.256 billion RMB, accounting for 42% of net profit attributable to shareholders.

Strong profitability, ample cash flow, and low leverage provide Zangge Mining with the confidence to implement substantial dividend payouts.

Based in Chaka Salt Lake, Qinghai, Zangge Mining is expanding from Qinghai to the world, striving to build a world-class mining group.

In recent years, Zangge Mining has acquired resource reserves in the Malangtang Heibei Potash Mine, Jianshi Mountain Potash Mine, and the eastern section of the deep brine potash mine in the Xiaoliangshan–Dafengshan area in Qinghai through public auctions and equity acquisitions, with total exploration rights covering 1,400 square kilometers.

The Mami Cuo Salt Lake project, arranged through the Zang-Qing Fund, plans a lithium salt production capacity of 100,000 tons, with Phase I (50,000 tons of battery-grade lithium carbonate) expected to be completed and operational in 2024, and Phase II projected for completion in 2027.

In addition, the ongoing acquisitions of Jieze Chaka Salt Lake and Longmu Cuo Salt Lake will also contribute considerable additional resources.

The continuous expansion of resources will further solidify Zangge’s potash and lithium industry foundation, ensuring national food and energy security.

Overseas, in February 2023, Laos granted Zangge Mining’s subsidiaries a total concession area of 397.94 square kilometers, equivalent to approximately 600 million tons of potash resources, with an expected annual potash production of 1 million tons by 2026.

Externally, the Laos project is expected to create synergies with Zangge’s existing potash projects, enhance the company’s scale and brand recognition, and help Zangge Mining become a world-class potash supplier with international influence.