紫金矿业（H/A股）现场考察：强劲的黄金/铜产量增长；首选

Site Visit: Stronggold/copper volumegrowth; Top pick PO:50.00 HKD| Price:41.90 HKD Gold: Strong Volume Growth; Overseas M&A Scaling UpDuring our Basic Materials and AI Infrastructure tour, we met Zijin Mining’s new board secretary, Mr. Gao, in Xiamen. Zijin guides to 2026 gold production of 105t (+17% YoY),supported mainly by newly consolidated Akyem and RG. The proposed Allied Gold acquisition,if approved, could add 533t of resources across Mali, Côte d’Ivoire and Ethiopia, significantlystrengthening the company’s reserve base. Mgmt. expects closing late May subject toregulatory approvals and considers operational risks manageable given stable AISC and widemargin buffer vs the company’s internal gold‑price assumptions of USD 3,500-3,600/oz. Copper: Julong Ramp-Up to Offset KK DisruptionZijin guidesto 1.2 mnt of copper output in 2026 (+11% YoY), driven by the ramp‑up of Julong Phase II, which is expected to produce more than 300 kt, compared with 190–200kt in 2025.The Serbia operations continue to show steady improvement in both volumeand margins. At Kamoa‑Kakula (KK), production has resumed following seismic andflooding incidents in 2025, with 2026 guidance at 400kt, including 160–180ktattributable to Zijin. Mgmt. plans to publish a detailed copper reserve expansion plan inthe annual report to improve long‑term visibility. Both the copper and gold segmentstarget low- to mid-single‑digit cost increases in 2026. Lithum & minor metals:Undervalued Long-Term DriversZijin guides 120kt of lithium output in 2026, including 110kt from self‑operated assets and 10kt from Zangge. Manono is scheduled to operate in 2H26, contributing 20–30ktinitially and targeting long‑run cash costs of RMB 30-40k/t, which would improve thegroup’s position on the cost curve. Long term, Zijin targets 250–300kt of lithiumcarbonate capacity, placing the company among the world’s top five producers. In minormetals, silver output is guided to increase from 436t in 2025 to 520t in 2026. TheShapinggou molybdenum project is expected to begin production in 2026. Mgmt. thinksthe lithium and minor‑metals businesses are still undervalued by investors. Remain toppick on Zijin on 1) 17%/11% yoy gold/copper volume growth, 2) a constructive copperand gold price outlook, 3) solid cost discipline, and 4) undemanding valuation. >> Employed by a non-US affiliate of BofAS and is not registered/qualified as a research analystunder the FINRA rules.Refer to "Other Important Disclosures" for information on certain BofA Securities entities that takeresponsibility for the information herein in particular jurisdictions. iQprofileSMZijin Mining (H/A) Company SectorNon-Ferrous-Mining Company Description Zijin Mining is a comprehensive mining conglomerate,primarily engaged in gold ,copper and lithium productionwith rich resources. It is ranked as the global top 10 goldand copper producer, and aim to enhance its position to top3-5. It is also rapidly developing its lithium business. It isone of the lowest cost producers in China and in the world. Investment Rationale We have a Buy rating on Zijin Mining mainly given 1) stronggold/copper prices, 2) prospect of gold/copper volumegrowth, 3) solid cost control, 4) an undemanding valuationvs global peers. Zijin Mining Mgmt. MeetingGold: Strong Volume Growth; Overseas M&A Scaling Up During our Basic Materials and AI Infrastructure tour, we visited Zijin Mining in Xiamen and met the company’s new board secretary, Mr. Gao. The company reported 90t of goldproduction in 2025 and has issued 2026 guidance of 105t, a 17% yoy growth rate.Management expects that over half of the incremental volume in 2026 will come fromthe Akyem and RG assets, which were acquired in 2025 and will be fully consolidatedthis year. Supported by the Zijin Gold International platform, the company continues to pursueoverseas acquisition opportunities that enhance its global resource footprint. The newlyannounced proposed acquisition of Allied Gold represents one of the largest global goldtransactions over the past three to four years. This is subject to regulatory approvals,but if completed, this acquisition would add four major gold mining rights across Mali,Côte d’Ivoire and Ethiopia, including three producing assets and one under development,bringing in 533 t of gold resources. This would significantly expand the company’sreserve base and production profile. The transaction remains subject to regulatory andshareholder approvals, with initial closing targeted by the end of May and the possibilityof two additional two‑month extensions, implying potential completion in 3Q26.Operational risks associated with the assets under acquisition appear manageable. TheMali‑based projects are located outside areas prone to conflict and have demonstrated asolid operational and safety track record, with no historical disruptions stemming frompolitical or security‑related events. The projects currently operate at an all‑in sustainingcost of USD 1,800-2,