\u3000\u30 Shenzhen Quanxinhao Co.Ltd(000007) 62 Tibet Mineral Development Co.Ltd(000762) )
Backed by Baowu group, the comprehensive development enterprise of lithium chromium resources is reborn
Tibet Mineral Development Co.Ltd(000762) is the largest comprehensive mineral product development company in Tibet. It started from the mining of LUOBUSHA chromite and later entered the lithium extraction business in the military salt lake. It takes the development of chromium and lithium resources as the long-term development direction. The company holds two high-quality resources, Zabuye Salt Lake and LUOBUSHA chromite, laying the foundation for capacity expansion. After Baowu became the owner, the company won the support of China Baowu in terms of capital, technology and management, which not only improved the company's management mechanism, but also helped accelerate the process of the company's Chromium lithium resource development project. With the steady progress of the project, the company's business performance has entered a period of rapid growth.
Sitting on high-quality salt lake resources, promoting the 10000 ton lithium salt project, and determined to build a benchmark for lithium extraction in Tibet's salt lake
Tibet's Zabuye Salt Lake is rich in resources and tastes, ranking first in the world. It is the third largest lithium salt lake in the world and the largest lithium salt lake in Asia, with proven reserves of 1.637 million tons. As the main mining operator of the salt lake, the company has long been committed to promoting the project process of lithium extraction from sectorau salt lake. After Baowu became the owner, the company accelerated the lithium extraction project of Zabuye Salt Lake and promoted the steady expansion of production capacity: 1) Zabuye phase I optimization project plans to expand the production to 10000 tons of lithium concentrate (grade 50% - 70%); 2) Restart the construction of Zabuye phase II project and implement the 10000 ton battery grade lithium carbonate project, which is expected to be completed in July 2023 and put into operation in September 2023; 3) The company and Jiangsu Jiuwu Hi-Tech Co.Ltd(300631) signed a 100 ton lithium hydroxide pilot technology transformation contract. At present, different process routes are being verified. After the pilot test is successful, the construction of 10000 ton lithium hydroxide project will be considered. The company plans to have a lithium salt production capacity of 30000 tons by 2025, which will be adjusted according to the expected production capacity of 50000 tons by China Baowu and the government of the autonomous region.
Grasp the scarce ferrochrome resources and pay attention to the development of Luobusa mining area
China is relatively short of chromite resources. More than 70% of chromite resources in China are concentrated in Tibet and mainly distributed in Shannan area where robusa mining area is located. At present, the company has the exploration right of chromite in the south of LUOBUSHA I and II ore groups and the mining right of LUOBUSHA mining area. The approved scale of mining right is 150000 tons / year. At present, the company is promoting the construction of the southern project of robusa mining area. The project has entered the design stage and is expected to start construction in 2022. After the project is completed and put into operation, the company's Chromite production capacity is expected to increase to 200000 tons / year.
Investment advice
We expect that from 2021 to 2023, the company will achieve revenue of 725 million yuan, 1238 million yuan and 1405 million yuan respectively, and net profit attributable to the parent company of 164 million yuan, 454 million yuan and 541 million yuan respectively, with a year-on-year increase of 438%, 177% and 19% respectively. The PE of the company corresponding to the current market value is 154x, 56x and 47x respectively, and the "buy" rating is given for the first time.
Risk tips
Price fluctuation risk of lithium salt, chromite and other main products; The progress of the project is less than expected; The market demand is lower than expected.
