Securities code: Zhefu Holding Group Co.Ltd(002266) securities abbreviation: Zhefu Holding Group Co.Ltd(002266) Announcement No.: 2022020 Zhefu Holding Group Co.Ltd(002266)
Announcement on the company’s failure to participate in nickel futures trading
The company and all members of the board of directors guarantee that the information disclosed is true, accurate and complete without false records, misleading statements or major omissions.
Zhefu Holding Group Co.Ltd(002266) (hereinafter referred to as “the company” or ” Zhefu Holding Group Co.Ltd(002266) “) is concerned that some investors misread the announcement on adding the margin of commodity futures hedging business in 2022 of subsidiaries disclosed by the company at noon. In order to avoid further misguidance to investors, the explanation is as follows:
1、 The company’s futures hedging business did not break the position and make up the margin
Copper, tin, gold, nickel, palladium and other products are the main products of the company’s hazardous waste harmless treatment and renewable resource recycling business sector. With the successive operation of the company’s early layout capacity, the output of the above metal products and the total amount of goods in stock have increased steadily. In order to avoid the price risk caused by the fluctuation of the international bulk commodity market, smooth the profit margin level and improve the economic benefits of the enterprise, the company prudently carries out operational futures hedging business in accordance with industry practices and relevant laws and regulations. According to the company’s internal control rules and the principle of prudence, the company’s operational hedging business is based on the variety and quantity of metals in the company’s inventory, hedging in a certain proportion according to the production and operation conditions and market price fluctuations, and operational futures hedging transactions.
In 2021, the company’s main bulk metal output is roughly as follows (Unaudited): 130000 tons of copper, 3900 kg of gold, 100000 kg of silver, 2000 kg of palladium, 2700 tons of nickel, 6200 tons of tin, 10700 tons of zinc, 6200 tons of lead, etc. up to now, the company has only conducted futures hedging business in part of the total production of copper and tin, At present, the hedging business of copper and tin metals of the company is carried out normally, the margin amount is sufficient, and there is no case of making up the margin due to position explosion.
2、 At present, the company has not conducted futures hedging transactions of metal nickel, gold and palladium
Recently, due to the sudden geopolitical event of the Russian Ukrainian war, the price fluctuation of international bulk commodities has increased significantly in the short term. The prices of various bulk metals and resource commodities, especially nickel, gold and palladium, have shown an abnormal rapid appreciation trend, constantly breaking through the high level of short-term prices. In 2020 and 2021, the company’s metal nickel output reached more than 2700 tons, and the overall metal cost was low because the company planned to gradually stockpile a large number of raw materials rich in metal a few years ago. With the further investment of production capacity, the output of metal nickel, gold and palladium is expected to rise further. In order to lock in the higher gross profit of products and prevent the possible loss of profits caused by the sharp reverse fluctuation of relevant commodity prices after the factors of short-term emergencies subside, in accordance with the relevant provisions of the guidelines for self discipline supervision of listed companies of Shenzhen Stock Exchange No. 7 – trading and related transactions, The company plans to appropriately increase the types and margin of commodity futures hedging business, and carry out operational hedging business in due time according to the actual production of relevant metal products and the change trend of international bulk commodity prices. The margin limit is the maximum time limit predicted by the company, which is applied to ensure the compliance of the company’s futures hedging business, and the amount of abnormal capital occupation.
3、 The company has nothing to do with the “Castle Peak nickel” forced air event hyped in the market
At present, the company has not participated in nickel futures trading, and the position of nickel futures in the current period is zero. The “Qingshan nickel” air tight event hyped in the market has nothing to do with Zhefu Holding Group Co.Ltd(002266) and the company’s production, operation and operating performance are not affected by the nickel futures event.
The company will pay close attention to the trend of metal commodity market, resolutely avoid speculation, promote steady operation, and protect the core interests of investors, especially small and medium-sized investors. Please invest rationally and pay attention to investment risks.
It is hereby announced.
Zhefu Holding Group Co.Ltd(002266) board of directors March 10, 2002
