This week, the review results of the Program for the Development and Utilization of the Mineral Resources of Muzong Lithium Mine in Yajiang County, Sichuan Province are in the public notice period. Earlier this year, nearly one million tons of lithium oxide resources were detected, which is a large-scale hard rock-type monolithic lithium mine so far proved in Asia. The one who owns the prospecting right of Muzong lithium mine is Yajiang County Huizhong Mining Industry Limited Liability Company, which was established in 2015. Its shareholding structure is 15.1% held by Sichuan Shengtun Lithium, a wholly-owned subsidiary of Shengxin Lithium, and 70.97% by Sichuan Qicheng Mining. The Ministry of Natural Resources website released a public notice of the review results. The Ministry of Natural Resources Oil and Gas Resources Strategic Research Center organized experts to review the and has passed.

The total proved resources of Ι and Ⅱ ore bodies within the lithium ore prospecting right of Muzhong Mining Area are: 61.095 million tons of proved ore, 989.636 million tons of lithium oxide, with an average grade of 1.62%. Taking 0.8 coefficient for the inferred resources in the filed resources, the ore volume reaches 49.91 million tons. The designed production scale of the mine is 3 million tons/year, with a service life of 24 years (including 5 years of infrastructure period), and is mined in underground mode. According to 6 tons of raw ore production of a ton of lithium concentrate, 7 tons of lithium concentrate production of a ton of lithium carbonate ratio projection, 3 million tons / year of raw ore equivalent lithium carbonate for about 70,000 tons. And then according to 1 ton of lithium carbonate is equal to 2.47 tons of lithium oxide discounting, 989.636 million tons of lithium oxide can produce about 2.4 million tons of lithium carbonate. However, this is only the ideal state of the projected data, lithium carbonate equivalent by the recovery rate, mine construction progress and other factors. For the review of mine safety, environmental protection, soil and water conservation and other programs, the "use of the program" proposed measures for separate approval.