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New Year's Message|Going Beyond and Steadily Forward

New Year's Message|Going Beyond and Steadily Forward

2023-01-13

The sun and the moon are in full bloom and the years are new. After a fruitful year of 2022, we are now looking forward to 2023. At this wonderful moment of welcoming the new year, I would like to extend my New Year wishes and sincere greetings on behalf of the company to all partners, leaders at all levels, friends from all walks of life, all employees and their families who care about and support the development of the company!

Beat the drum to urge the boat to ride steadily and sail forward bravely. 2022 is a year for Chengxin Lithium to maintain a good momentum of development, a year for our business performance and strategic development to achieve gratifying results, and a year for all employees to meet challenges, undergo tests, strive to overcome difficulties, and successfully complete tasks. We worked together to give a satisfactory annual answer sheet with "ingenuity and action", "confidence and sharpening", "determination and foresight", and "initial intention and commitment", which continued the good momentum of leapfrog development in recent years.

--Craftsmanship and action. We have incorporated "simplicity, efficiency, pragmatism and innovation" into our blood, and has taken practical actions to accomplish various production tasks and targets. The 40,000-ton lithium compound project of Zhiyuan Lithium is in stable production; the 30,000-ton lithium hydroxide project of Suining Chengxin was completed and reached production successfully; the 1,000-ton lithium metal project of Chengwei Lithium has been completed with a capacity of 500 tons; Aoyinuo mining has significantly increased its resources by increasing reserves; and the SDLA brine project in Argentina has obtained independent operation rights. At the same time, we actively promote the construction of projects under construction. The construction of 60,000 tons of lithium compound project in Indonesia is progressing smoothly; the Sabi Star lithium-tantalum mine project in Zimbabwe is scheduled to be put into operation in the first quarter of 2023; the Murong mine in Sichuan is making every effort to promote the work related to exploration to mining. We always use craftsmanship to guide our actions and create the future with our actions.

--Confidence and sharpening. Under the severe tests of deteriorating global economic situation, intensifying geopolitical conflicts, new crown epidemic, and high temperature and power limitation, we made bold choices, forged ahead, tackled difficulties, and responded to extraordinary difficulties with scientific strategies to guard the solid defense line of life and health of all employees of the company, and maintained the good momentum of the company's development, with revenue reaching RMB8.1 billion and net profit reaching RMB4.3 billion in the first three quarters of 2022, creating the best ever operating results. After this battle, all the ordinary brave people of the company have more adequate preparation, stronger confidence and more tenacious will for the trials and tribulations they must undergo on the way forward, and I firmly believe that the pace of our development will be more firm and solid and powerful.

--Determination and vision. During the rapid development period of the lithium new energy industry, Chengxin has shown its determination and vision to move forward at a fast pace. We introduced BYD as a strategic investor to complete a deeper binding with downstream; acquired the remaining equity of Hantara and started the construction of pilot production line, and continued to expand the layout of brine in South America; proposed to issue Global Depositary Receipts (GDRs) on the Swiss Stock Exchange to further broaden overseas financing channels, explore overseas markets and achieve global development. We are determinative and visionary, laid a solid foundation for the long-term development of the company.

--The original intention and commitment. We adhere to the original intention and mission of "Use lithium to contribute to the world's sustainable development", and continue to focus on the field of lithium new energy materials, focusing on "resources, scale, quality and customers" to carry out various tasks. We have seized the opportunity of industry development and achieved a strong production and sales of lithium compound products and a significant increase in business performance. We never forget to actively fulfill our social responsibility, participate in charity activities, and spare no effort to make Chengxin's contribution, which has been highly praised and recognized by many governments and people.

In 2023, we will continue to work with the same attitude as before, make every effort to ensure the production and operation of the projects which are in production, accelerate the construction of the Sabi Star project in Zimbabwe and the 60,000-ton lithium compound project in Indonesia, continue to promote the exploration to mining of the Murong mine, and strengthen the R&D and talents team cultivation to lay a better foundation for the long-term development of the company. We must continue to carry forward the spirit of hard-working and striving to be the first, look up to the stars, step on the ground, and stride forward from a new starting point with a spirit of vigor and determination to create a great new energy business together!

Once again, I wish you all good health, family happiness and all the best in the new year!

 

Zhou Yi, Chairman of Chengxin Lithium


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