Securities code: 601899 stock abbreviation: Zijin Mining Group Company Limited(601899) No.: pro 2022-006 Zijin Mining Group Company Limited(601899)
Announcement on entrusted financial management in 2022
The board of directors and all directors of the company guarantee that there are no false records, misleading statements or major omissions in the contents of this announcement, and bear individual and joint liabilities for the authenticity, accuracy and completeness of its contents.
Important content tips:
Zijin Mining Group Company Limited(601899) (hereinafter referred to as “the company”) held the first extraordinary meeting of the seventh board of directors in 2022 on January 14, 2022, deliberated and adopted the proposal on carrying out financial management business in 2022, which need not be submitted to the general meeting of shareholders for deliberation. The details of entrusted financial management business are as follows:
(I) entrusting party: Zijin Mining Group Company Limited(601899)
Entrusted financial management trustee: Bank
Amount of entrusted financial management: the maximum balance in a single day shall not exceed 3 billion yuan (excluding the investment financial management business of Zijin Mining Group Company Limited(601899) Group Finance Co., Ltd.), accounting for 5.31% of the company’s latest audited net assets attributable to the parent company.
Entrusted financial management type: purchase bank financial products and adhere to the principle of prudence
Term of entrusted financial management: valid within 12 months from the date of deliberation and approval by the board of directors
(II) entrusting party: Zijin Mining Group Company Limited(601899) Group Finance Co., Ltd. (hereinafter referred to as “Zijin finance company”, which holds 95% of its equity)
Entrusted financial management trustee: including but not limited to commercial banks, trust companies, securities companies, fund companies and asset management companies
Amount of entrusted financial management: the maximum balance in a single day shall not exceed 1.2 billion yuan, accounting for 2.12% of the company’s latest audited net assets attributable to the parent company.
Entrusted financial management type: securities, fixed income or low-risk financial products, trust products, asset management products, funds, etc. shall not directly invest in stocks and derivatives in the secondary market.
Term of entrusted financial management: valid within 12 months from the date of deliberation and approval by the board of directors
1、 Overview of entrusted financial management (I) entrusting party: Zijin Mining Group Company Limited(601899)
1. Purpose of entrusted financial management
Improve the use efficiency and income of temporarily idle funds and reduce financial costs.
2. Entrusted financial management amount
The maximum daily balance shall not exceed RMB 3 billion (excluding the investment financial business of Zijin finance company), accounting for 5.31% of the company’s latest audited net assets attributable to the parent.
3. Authorization period
It shall be valid within 12 months from the date of deliberation and adoption by the board of directors.
4. Basic product requirements
When purchasing bank financial products, adhere to the principle of prudence, and the product term shall not exceed 6 months in principle.
5. Source of funds
The company has its own idle funds. (II) entrusting party: Zijin Mining Group Company Limited(601899) Group Finance Co., Ltd
1. Purpose of entrusted financial management
Carrying out securities investment business is the daily business of Zijin finance company. This authorization is conducive to improving Zijin finance company’s participation in the capital market, enhancing development potential, improving cash asset income and realizing comprehensive development.
2. Entrusted financial management amount
The maximum daily balance shall not exceed 1.2 billion yuan, accounting for 2.12% of the company’s latest audited net assets attributable to the parent company. 3. Authorization period
It shall be valid within 12 months from the date of deliberation and adoption by the board of directors.
4. Basic product requirements
Investment products include securities, fixed income or low-risk financial products, trust products, asset management products, funds, etc., and shall not directly invest in stocks and their derivatives in the secondary market.
5. Source of funds
Zijin finance company has its own funds.
2、 Details of entrusted financial management
(I) implementation of financial products
Within the above limit, the board of directors authorizes the leaders in charge of the company to be responsible for decision-making and implementation, including but not limited to selecting qualified professional financial institutions as the trustee, clarifying the entrusted financial management amount, period, selecting product varieties, signing contracts and agreements, etc.
If the income of subsequent single / cumulative actual purchase of financial products reaches the profit standard to be disclosed, the company will disclose the progress in time. In addition, the company will disclose the handling of financial products and corresponding profits and losses during the reporting period in the periodic report.
(II) risk control measures
1. The company has formulated the fund management measures, which has made detailed provisions on the scope, responsibilities and authorities, basic principles, approval process, risk prevention and reporting, information disclosure and other aspects of purchasing financial products, so as to effectively prevent financial risks and ensure fund safety. The company’s planning and finance department shall timely put forward specific implementation plans according to the plans approved by the board of directors and in combination with the company’s capital situation, and submit them to the company’s leaders in charge for approval.
2. Zijin finance company has formulated the measures for the administration of securities investment, the measures for the administration of entrusted investment business and other systems to standardize the investment and wealth management business (including entrusted wealth management), including the selection scope, responsibilities and authorities, basic principles, approval process, establishment and management of business accounts, risk prevention and reporting at the front, middle and back offices, early warning and stop loss Strict provisions have been made on information system and disclosure to effectively prevent investment and financial risks and ensure capital safety.
3. The company’s planning and finance department and Zijin finance company shall establish accounts to carry out daily management of financial products and report to the company’s board of directors regularly.
4. The company’s independent directors and the board of supervisors have the right to supervise and inspect the use of funds, and can hire professional institutions to audit when necessary.
3、 Information of entrusted financial management trustee
The company intends to purchase bank financial products with high security and good liquidity, and the trustee is the bank.
Zijin finance company will select financial institutions with good reputation as the trustee, including but not limited to commercial banks, trust companies, securities companies, fund companies and asset management companies.
4、 Impact on the company
The company adheres to standardized operation. On the premise of ensuring capital safety and ensuring that it does not affect the normal production and operation of the company, the company uses idle funds to buy bank financial products and adheres to the principle of prudence, which is conducive to improving capital use efficiency and capital income, reducing financial costs and in line with the interests of the company and all shareholders.
Carrying out securities investment business is the daily business behavior of Zijin finance company. By carrying out investment and financial management business, Zijin finance company will help to improve Zijin finance company’s participation in the capital market, enhance its development potential, improve the income of cash assets and realize comprehensive development.
In accordance with the relevant provisions and guidelines of the Ministry of finance, such as accounting standards for Business Enterprises No. 22 – recognition and measurement of financial instruments, accounting standards for Business Enterprises No. 37 – presentation of financial instruments, accounting standards for Business Enterprises No. 39 – fair value measurement, the company conducts corresponding accounting treatment for the investment and wealth management business to be carried out and reflects it in the relevant items of the balance sheet and income statement.
5、 Risk tips
The investment scope of the company’s entrusted wealth management is mainly bank wealth management products with high security and good liquidity. The investment scope of Zijin finance company’s entrusted wealth management includes marketable securities, fixed income or low-risk wealth management products, trust products, asset management products, funds, etc.
The main risks of entrusted financial management include the risk of market fluctuation, the risk caused by changes in macroeconomic situation, monetary policy and fiscal policy, the relevant risks may be caused by the operation errors of staff, and the actual income of entrusted financial management is uncertain.
6、 Implementation of decision-making procedures and opinions of independent directors
The company held the first extraordinary meeting of the seventh board of directors in 2022 on January 14, 2022, and deliberated and adopted the proposal on carrying out financial management business in 2022. These matters do not need to be submitted to the general meeting of shareholders for deliberation. The independent directors of the company express the following independent opinions on the above matters: on the premise of ensuring the liquidity and safety of funds, the company uses its own idle funds to purchase low-risk financial products, which is conducive to improving the use efficiency of funds, will not affect the development of the company’s main business, and is beneficial to the interests of the company and all shareholders; Zijin finance company’s business scope includes securities investment. By carrying out investment and financial management business, it can improve economic benefits and enhance comprehensive strength; The relevant approval procedures of this proposal comply with relevant national laws, regulations and the articles of Association; The company and Zijin finance company have formulated relevant systems, standardized business processes and risk prevention measures in place; The company and Zijin finance company will not damage the interests of the company and all shareholders by carrying out the entrusted financial management business in 2022. We agree to carry out this business.
7、 As of the date of this announcement, the company has used its own funds or raised funds for entrusted financial management in the last 12 months (I) Zijin Mining Group Company Limited(601899)
Amount: 10000 yuan
Sequence financial product type actual investment amount actual principal recovered actual income No. principal amount not yet recovered
1 bank financial products 622770 614677 2150.14 8093
The maximum daily investment amount in the last 12 months is 105000
Maximum investment amount in a single day in the last 12 months / net assets attributable to the parent company in the last year 1.86%
（%）
Cumulative income from entrusted financial management in the last 12 months / net profit attributable to parent company in the last year (%) 0.33%
Currently used financial management quota 8093
Unused financial limit 291907
Total financial limit 300000
(II) Zijin finance company
Amount: 10000 yuan
Sequence financial product type actual investment amount actual principal recovered actual income No. principal amount not yet recovered
1 bank financial products 229998 229998 749.97 0
2 trust products 138950 138000 988.38 950
3 bonds 1766 763 15.59 1003
Total 370714 368761 1753.94 1953
The maximum amount invested in a single day in the last 12 months is 119063
Maximum investment amount in a single day in the last 12 months / 2.11% of net assets attributable to the parent in the last year
（%）
Cumulative income from entrusted financial management in the last 12 months / net profit attributable to parent company in the last year (%) 0.27%
Currently used financial limit 1953
Unused financial limit 118047
Total financial limit 120000
Note: there are no financial products that have expired but have not been recovered.
Zijin Mining Group Company Limited(601899) board of directors
January 17, 2002
