Zijin Mining invests RMB1.00 billion for 20.41% stake in Shidai Shenyuan Fund; connected deal involves ex-chairman’s Kunkun Investment

Zijin Mining Group Co., Ltd. announced that its wholly owned subsidiary, Zijin Mining Equity Investment Management (Xiamen) Co., Ltd. (“Zijin Xiamen Equity”), has signed a partnership agreement to become a limited partner in Xiamen Shidai Shenyuan Venture Capital Fund Partnership Enterprise (Limited Partnership).

Zijin Xiamen Equity will contribute RMB1.00 billion, securing a 20.41% subscribed participation in the Shidai Shenyuan Fund, whose total committed size is RMB4.90 billion. The venture capital vehicle—managed by Xiamen Puquan Private Fund Management Partnership Enterprise—targets investments in artificial intelligence, embodied intelligence, and other frontier technology applications relevant to mining exploration, intelligent mine construction, processing optimisation and safety management. The fund has a seven-year term, extendable by up to two years.

Kunkun (Hainan) Investment Co., Ltd. (“Kunkun Investment”), controlled by former Zijin Mining chairman Mr. Chen Jinghe, will contribute RMB0.20 billion, equivalent to a 4.08% stake. Because Mr. Chen resigned less than 12 months ago, he remains a connected person under Shanghai Stock Exchange rules, making Kunkun Investment a connected legal person. As a result, Zijin Mining classifies the joint investment as a connected transaction.

Board approval was obtained at the fifteenth extraordinary meeting of the ninth term on 15 September 2026, with independent directors endorsing the terms. The deal size represents approximately 0.54% of Zijin Mining’s latest audited consolidated net assets attributable to shareholders. All applicable percentage ratios (excluding the profits test) are below 5% but above 0.1%, so the transaction requires announcement and reporting under Chapter 14A of the Hong Kong Listing Rules but is exempt from circular and independent shareholder approval.

Financing for the RMB1.00 billion commitment will come from Zijin Mining’s internal funds. The company stated that the outlay will not materially affect its financial position or daily operations. The fund will not be consolidated into Zijin Mining’s financial statements.

Management expects the partnership to enhance exposure to emerging technologies that could support the group’s digital and intelligent transformation across exploration, mining and processing activities.

Key financials – Kunkun Investment (connected party): • Total assets: RMB113.95 million as of 30 Jun 2026 (unaudited) • Net profit: RMB0.20 million for 1H 2026; RMB-0.13 million for FY 2025 • Debt ratio: 71.79% at 30 Jun 2026

Risk factors highlighted include the fund’s long investment horizon, limited liquidity and reliance on macroeconomic and regulatory conditions. The partnership remains subject to registration with the Asset Management Association of China.

Investors are advised to exercise caution when dealing in Zijin Mining’s securities.