According to the Huatai Securities Research Report, the current high price of metals may have spawned the transformation of many exploration, mining services and equipment manufacturers into mining development. Such transformation models mainly include shareholding, holding, and EPC+O models. In this context, the above transformation model is expected to become an important development force for the mining industry in the future. The reason is that in the current context of high metal prices, small and medium-sized mine owners have strong development intentions, but they generally face constraints such as limited financial strength and insufficient technical and project management capabilities, and need external assistance to advance development; while large mining companies prefer projects with large resources and a long life cycle, they are less willing to participate in small-scale mines with limited scale. In this context, mining services and mining equipment companies have rich operating experience to participate in the development of this type of small mine and participate in the operation through EPC+O. This multi-party and mutually beneficial business model is expected to be rolled out on a large scale in the future, so we are optimistic about the transformation of mining services and mining equipment manufacturers, and recommend investors pay attention to new developments in this industry.

According to the Huatai Securities Research Report, the current high price of metals may have spawned the transformation of many exploration, mining services and equipment manufacturers into mining development. Such transformation models mainly include shareholding, holding, and EPC+O models. In this context, the above transformation model is expected to become an important development force for the mining industry in the future. The reason is that in the current context of high metal prices, small and medium-sized mine owners have strong development intentions, but they generally face constraints such as limited financial strength and insufficient technical and project management capabilities, and need external assistance to advance development; while large mining companies prefer projects with large resources and a long life cycle, they are less willing to participate in small-scale mines with limited scale. In this context, mining services and mining equipment companies have rich operating experience to participate in the development of this type of small mine and participate in the operation through EPC+O. This multi-party and mutually beneficial business model is expected to be rolled out on a large scale in the future, so we are optimistic about the transformation of mining services and mining equipment manufacturers, and recommend investors pay attention to new developments in this industry.