ST Tech: Wholly owned subsidiary signs mining rights transfer agreement

People’s Finance News, March 31. ST Tech (002538) announced on March 31 that on March 30, the Department of Natural Resources of Guizhou Province and Guizhou Lufa signed the 《Yongwenxiang Mingniwan Phosphate Mine Mining Right Transfer Contract (Amendment) for Kaiyang County》. It is proposed to transfer, by agreement, the mining right for the deep resources of the Mingniwan phosphate mine to Guizhou Lufa Real Estate Co., Ltd., a wholly owned subsidiary (hereinafter “Guizhou Lufa”). The existing mining depth of the Mingniwan phosphate mine’s mining right was from the 650-meter to the 80-meter elevation. Under the proposed agreement transfer, the mining right for the deep Mingniwan phosphate mine resources is to be obtained by law, with the mining elevation to be changed to 730 meters to -135 meters, and the mine area remains unchanged. Before and after this transfer, the total amount of phosphate mine resources cumulatively identified within the Mingniwan phosphate mine area remains unchanged at 36.098 million metric tons. Before the transfer, the original legally recoverable total amount of the Mingniwan phosphate mine was 17.922 million metric tons; as of March 31, 2025, the legally recoverable reserves remaining were 0.876 million metric tons. After the transfer, and once related procedures such as future mining license approvals are completed, the legally recoverable reserves of the Mingniwan phosphate mine will be increased by 181.76 million metric tons.