Leading molybdenum company Shenglong Co., Ltd. is applying for subscription today, with an issue price of 7.82 yuan per share.

Securities Times China Securities Journal News (Reporter Wang Qiaoqi) - Molybdenum industry leader Shenglong Co., Ltd. officially launched its A-share offering on March 20. The company’s issuance price is 7.82 yuan per share, with a subscription limit of 45,000 shares. The sponsor is Guotou Securities.

According to information, Shenglong Co., Ltd. mainly engages in the production, processing, and sales of molybdenum-related products, a key strategic resource. Its main products include molybdenum concentrate and molybdenum iron. The company’s actual controller is the State-owned Assets Supervision and Administration Commission of Luoyang City. Its mines are located in China’s largest molybdenum mineralization belt, the East Qinling Molybdenum Belt, with Luoyang Luan County, where the company is based, known as the “Molybdenum Capital of China.”

Thanks to its advantageous location, the company’s mines have excellent natural conditions. The Nanni Lake molybdenum mine and the under-construction Song County Angou molybdenum-polymetallic mine are both open-pit mines, offering high extraction efficiency, low production costs, and good safety conditions. The Nanni Lake molybdenum mine is a super-large molybdenum-tungsten deposit with a proven production capacity of 16.5 million tons per year, making it the largest single molybdenum mine in China.

As disclosed, by the end of 2024, Shenglong Co. holds four mining rights and one exploration right, with a molybdenum metal reserve of 710,500 tons, accounting for about 9.10% of China’s total molybdenum resources. The company also holds 55,300 tons of tungsten trioxide, 11,800 tons of copper metal, and 68,700 tons of lead metal as associated and co-occurring resources.

According to the “Deep Exploration Report of the Lengshui-Chitudi Molybdenum-Lead-Zinc Polymetallic Deposit in Luanchuan County, Henan Province,” the Lengshui-Chitudi area has added 3.194 million tons of molybdenum metal through deep exploration. The Nanni Lake molybdenum mine is located in the core area of this region, indicating significant potential for resource expansion. Exploration work has also been carried out within the Song County Angou molybdenum-polymetallic deposit, with good results. The region’s favorable mineralization conditions and multiple high-quality mineral rights nearby provide a clear advantage for future resource acquisitions and joint development based on the Angou deposit.

The funds raised from this IPO will mainly be invested in the mining and beneficiation project of the Angou molybdenum-polymetallic deposit in Song County, Henan Province, the construction of a mining technology R&D center, as well as supplementing working capital and repaying bank loans. These projects will further expand the company’s resource reserves and production capacity, enhance technological R&D capabilities, and optimize financial structure, thereby strengthening and improving its overall competitiveness in the molybdenum industry.

Financial data shows that the company’s operating revenue is projected to be 1.957 billion yuan, 2.864 billion yuan, and 3.503 billion yuan for 2023-2025, respectively, with year-on-year growth rates of 2.41%, 46.30%, and 22.31%. During the same period, net profit attributable to shareholders is expected to be 619 million yuan, 757 million yuan, and 884 million yuan, with year-on-year increases of 80.05%, 22.23%, and 16.80%.

According to the company’s preliminary forecast, its operating revenue in the first quarter of 2026 is expected to change between -9.41% and +3.11% compared to the same period in 2025, and net profit attributable to shareholders is expected to change between -8.40% and +5.07%.