In the first half of this year, Sichuan Gold Co., Ltd. delivered impressive results: operating revenue reached 442 million yuan, up 11.92% year-over-year, net profit hit 209 million yuan, surging 48.41% year-over-year, and gold concentrate gross margin stood at 65.07%, rising 12.02 percentage points compared to the same period last year. Through its dual approach of technology upgrades and resource expansion, Sichuan Gold managed to drive net profit growth of nearly 50% – reflecting the company's breakthrough in both "mining efficiency" and "exploration capabilities."
**Technology Upgrades + Resource Expansion: Sichuan Gold's Strategic Combination**
**Technology Upgrades: Installing an "Intelligent Brain" for Mining Operations**
Advanced mineral processing technology: The crushing, grinding, and flotation processes operate like "precision surgical instruments," directly enhancing production efficiency and reducing production costs, resulting in a 12 percentage point increase in gross margin.
Smart mining construction: The implementation of intelligent management systems acts like installing an "intelligent brain" for mining operations, reducing safety risks while improving production efficiency.
Green mining "gold standard": Recognized as a national-level green mine by the Ministry of Natural Resources, the company enjoys policy support, effectively providing a development "boost."
**Resource Expansion: Transitioning from Open-pit to Underground, Expanding Territory**
Dual protection with exploration and mining rights: The company holds mining rights for the Suoluo Gully Gold Mine and exploration rights for Suoluo-Wajin Gully, located in the mineral-rich Ganzi-Litang structural belt, essentially "holding a golden rice bowl."
Open-pit to underground "engine upgrade": Completion of 35kv power lines, 10kv substations, and 2000t/d expansion projects is like giving the mine a "new engine," paving the way for future capacity expansion.
Investment project "structural adjustment": Increasing green mining investment to 108 million yuan while reducing smart mining investment to 52.9855 million yuan, essentially "spending money where it matters most."
Future objectives: Implementing successive development projects in eastern and western mining areas to break the "single mine" limitation and strive to become a regional gold industry leader.
**Four-pronged Approach for Sustainable Development**
Sichuan Gold's future strategy resembles a "four-horse chariot":
01 **Production Optimization**: Cost control in procurement, enhanced comprehensive utilization of low-grade ores, and maintaining existing production capacity.
02 **Resource Expansion**: Accelerating exploration progress with plans to complete multiple exploration targets within the year, while promoting acquisitions of high-quality gold mining resources.
03 **Technology Enhancement**: Continued R&D investment to improve mineral processing technology and production efficiency.
04 **Green Development**: Adhering to green development principles, strengthening ecological restoration, and fulfilling social responsibilities.
Sichuan Gold employs its dual-engine approach of "technology upgrades + resource expansion" to accelerate growth within the mineral commodity cycle. From the "capacity relay" of transitioning from open-pit to underground mining, to the "efficiency revolution" through technology upgrades, and the "reserve breakthrough" via resource expansion, the company is systematically strengthening its position in the gold industry through its "dual-wheel drive + four-horse chariot" strategy.
Looking ahead, whether this company can maintain growth over longer cycles may be like gold mining itself – requiring both the precise vision of geological exploration and the continuous refinement of mining processes.
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