Strategy & Management-ZANGGE MINING COMPANY LIMITED

ESG Strategy

Zangge Mining adheres to sustainable business practices, aiming to maximize environmental, social, and economic benefits. The company integrates stakeholder concerns with its core business, focusing on ESG risks and opportunities and targeting sustainable value creation, aligned with the United Nations Sustainable Development Goals. Guided by ESG strategic directions of green development, resilient governance, and partnership advancement, and leveraging a scientifically sound management framework, the company promotes social value creation and contributes to global sustainable development.

Key topics covered by this model will be updated annually based on the results of double materiality assessment.

ESG Planning

In 2022, Zangge Mining released the Five-Year (2022–2027) Development Strategic Plan, using the “Tree Planting Theory” as the guiding framework for ESG strategy. The approach progresses from simple to complex, combining theory with practice to implement ESG management in an orderly manner. Key efforts include building a digital ESG platform, promoting lean energy and carbon emission management, and integrating ESG principles into corporate culture and operations. Through continuous efforts, by 2024, the company successfully completed the second phase of ESG system establishment. Moving forward, Zangge Mining will continue to optimize its ESG management system, enhance management capabilities, and expand ESG impact, benchmarking against global best practices.

Phase 1

2022-2023

Review the current status of the company’s ESG management and prepare for system establishment.

Phase 2

2023-2024

Build the ESG management system and establish the foundation for ESG governance.

Phase 3

2024-2026

Optimize the ESG management system, improve ESG governance capabilities, and expand ESG influence.

Phase 4

2026 onwards

Deep integration of ESG into daily management, benchmarking ESG performance against global best practices.

ESG Governance

The company has established a top-down ESG governance structure: Board of Directors – the highest decision-making body. ESG and Sustainable Development Management Group – responsible for discussion and decision-making on ESG matters. ESG and Sustainable Development Execution Group – responsible for implementing ESG initiatives and managing day-to-day environmental, social, and governance activities.

Whistleblowing

Reporting Hotline:+86-028-89992276

Reporting Email:jc@email.zanggekuangye.com

Mailing Address:Audit and Supervision Office, CAG Mining Co., Ltd., 19th Floor, Building 2, No. 1199 North Section of Tianfu Avenue, Chengdu High-tech Zone, China (Sichuan) Pilot Free Trade Zone, 610041

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