Movement Alert|CATL Rises 3.74% in Regular Trading, Jianxiawo Lithium Mine Regains Land Approval with Expected Q4 Resumption

Market Focus06-22 10:29

On June 22, CATL rose 3.74% in regular trading, trading at 739.0 HKD/share, with turnover of 10.99 billion HKD.

On the news front, CATL's indirect subsidiary Yichun Times reacquired the Construction Project Land Pre-approval and Site Selection Opinion on June 17 for the Jianxiawo lithium mine project, valid through June 17, 2029. This document is a legally required prerequisite for project implementation, signaling that the mine — suspended for over 10 months — is officially back on track. Analysts estimate the project could resume production in Q4. The mine has an average lithium oxide grade of approximately 0.27%, with cash extraction costs of around RMB 100,000–110,000 per ton.

Additionally, Fitch Ratings upgraded CATL's issuer default rating from A- to A with a stable outlook, citing the company's strengthened business profile driven by robust long-term industry growth prospects, an increasingly entrenched global market leadership position, growing end-market diversification, and sustained strong financial performance including high profitability, solid free cash flow generation, and ample net cash reserves.

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