China's Han Wang (03788): Shangma Iron Ore received an updated mining license issued by the Liaoning Provincial Department of Natural Resources

Zhitong Finance App News, China's Hanwang (03788) announced that Fushun Hanwang Shangma Mining Co., Ltd., a wholly-owned subsidiary of the company, recently received an updated mining license from the Liaoning Provincial Department of Natural Resources for the Shangma Iron Ore (Shangma Iron Mine) wholly owned by it. The main content of the mining license update is the expansion of the mining area from 6.7224 square kilometers to 10.9753 square kilometers. As a result, the amount of iron ore resources previously added by Shangma Iron Ore through its self-organized exploration site in the prospecting warrant was included in the updated mining license. The updated mining license is valid until April 8, 2039. Shangma Iron Ore currently has about 110 million tons of iron ore resources, with a total iron grade of 33.76%. Of these, proven and controlled resources account for 50.72% of the total resources. For details on the amount of resources, please refer to the Company's announcement dated February 13, 2025. According to the “Mineral Resource Reserve Scale Classification Standard” implemented by the Ministry of Natural Resources of the People's Republic of China on November 1, 2022, the scale of Shangma Iron Ore is a “large-scale iron ore”.

Shangma Iron Ore is located in the center of the Fushun Iron Ore Metallogenic Belt. The iron ore resources in the region are easy to select, and the impurity content is low. It is a domestic region where high-quality iron ore resources are stored. The direct distance between Shangma Iron Mine and Fushun City in Liaoning Province is 30 kilometers, with convenient transportation. There is a high-voltage industrial circuit in the mining area, and the amount of water near the mine area is sufficient to meet the production needs of the mine. Furthermore, Shangma Iron Ore is located between the Group's main mines, Maogong Iron Ore and Aoniu Iron Ore, which is conducive to the Group's future integration and system planning for the three mines. After the original prospecting rights of the Shangma Iron Mine were converted to mining rights, it also had 2.5841 square kilometers of prospecting rights. In the future, the Group will continue to explore and continuously increase the amount of resources in Shangma iron ore.

The mining method for Shangma Iron Ore is underground mining, and the production scale for which the mining license has been approved is 4 million tons/year. The company will carry out the preliminary design of the Shangma Iron Ore in accordance with the updated mining license, and promote environmental assessment and other related work. The renewal of the Shangma Iron Ore Mining License has further enhanced the Group's reserves of minable resources, laying the foundation for the sustainable development of the Group's iron ore business in the future. The company has always insisted on the low-cost method of independent exploration as the main method of increasing the amount of resources. In the future, the company will continue to carry out exploration work within the existing mining rights and prospecting rights area to obtain more resources.