Jinchuan International's copper and cobalt production in the first quarter increased significantly year-on-year, and the commissioning of the Musonoi mine opens up growth space

On June 2, Jinchuan International announced that in the first quarter of 2026, the company's mining operations produced 18,021 tons of electrolytic copper and copper concentrate, an increase of approximately 29.5% compared to 13,914 tons in the same period of 2025; it produced 2,139 tons of cobalt hydroxide, while the same period in 2025 was 71 tons. The announcement pointed out that the increase in copper and cobalt production was mainly due to the additional contribution from the Musonoi mine. The Musonoi mine officially commenced production in November 2025 and is the company's third operational mine in the Democratic Republic of the Congo. Pure High-Grade Copper-Cobalt Mine Musonoi Commences Production, a Leap from "Quantity" to "Quality" As the only overseas listed platform of Jinchuan Group, Jinchuan International's core asset layout is in the core copper-cobalt belts of Africa, including the Democratic Republic of the Congo and Zambia. The latest disclosed mineral resource reserves show that by the end of 2025, the company's copper reserves reached 1.154 million tons and cobalt reserves reached 237,000 tons, an increase of 9.5% and 13.4% respectively compared to 1.054 million tons and 209,000 tons at the end of 2024, with resource quantities also steadily rising. In particular, the Musonoi mine has copper reserves of 606,000 tons and cobalt reserves of 174,000 tons, exceeding the combined reserves of the Ruashi and Kinsenda mines, with a copper grade of 3.4% and a cobalt grade of 0.9%, far above the industry average. After the commencement of the Musonoi mine, the company's annual copper production will leap from 60,000 tons to the 100,000-ton level, and the advancement of the Lubembe project will further release production capacity. This kind of production leap is quite rare in the Hong Kong stock market's mining sector. Growing Demand for New Energy Metals, Profitability Continues to Improve With the continuous advancement of the new energy vehicle, energy storage industry, global grid transformation, and AI infrastructure, there is a rigid demand growth for copper. As "the new oil," copper's price center is expected to continue to rise, while the mainstream mining areas on the supply side are experiencing declining grades, and new production capacity is falling short of expectations, leading to a tight balance in the copper market that will persist into 2026. Global copper prices have risen from about $8,000 per ton at the beginning of 2025 to $13,570 per ton in May 2026, reaching a recent high. Meanwhile, cobalt prices have rebounded from less than $10 per pound to $26. In 2025, the Democratic Republic of the Congo implemented strict export quota management, shifting the global cobalt market from surplus to supply tightening, with the cobalt price center expected to rise further in 2026. In the first quarter of this year, the company's sales of copper and cobalt metals were temporarily affected by local policy disturbances. Specifically, copper sales in the first quarter were approximately 11,689 tons, a slight decrease of 2.2% year-on-year; cobalt sales recorded 7 tons, while there were no cobalt product exports in the same period last year. The decrease in copper sales was mainly due to the temporary export ban imposed by the government of the Democratic Republic of the Congo on the company's indirectly owned subsidiary Ruashi Mining SAS (which holds the properties of the Ruashi and Musonoi mines) from January to February 2026, and this sales business has resumed in March 2026 Capacity Explosion and Resource Advantages Strengthen Value Foundation, Growth Potential Becomes Prominent Market analysts point out that the core mining licenses for the mines can be renewed for a long time, combined with the technical support from Jinchuan Group, the ore recovery efficiency and cost control capabilities continue to improve, creating a competitive advantage that is difficult to replicate. Coupled with the geographical advantages of the copper-cobalt belt in the Democratic Republic of the Congo, as well as the rigid demand for cobalt metals in electric vehicle batteries, Jinchuan International's copper-cobalt sales business is expected to continue benefiting from the industry's dividends of tight copper-cobalt supply and demand balance and strong price support. The performance explosion of Jinchuan International in 2026 is almost a "sure thing." As a pure high-grade copper-cobalt resource stock, Jinchuan International is breaking the inherent pattern of the non-ferrous metal industry as the strategic value of copper and cobalt continues to emerge, leading to a re-recognition of its value by the market. This company, which has been suspended for nearly 14 months, is expected to embark on a path of market value catch-up after resuming trading, thanks to its capacity explosion and resource advantages