Yulong Copper to transfer exploration permit of Chating Copper-Polymetallic

Western Mining Co., Ltd.'s holding subsidiary, Tibet Yulong Copper Co., Ltd., announced plans to make a cash capital injection of RMB3,800 million (USD559.44 million) into its wholly-owned affiliate, Anhui Xikuang Yulong Chating Mining Co., Ltd., while simultaneously transferring the exploration permit for the Chating Copper-Polymetallic Project in Xuanzhou District, Anhui Province, to the same entity for RMB8,689 million (USD1,279 million). The relevant proposals have been approved by the Company's board of directors and are now subject to review and approval at the shareholders' meeting.

Prior to the capital injection, Chating Mining had a registered capital of RMB200 million (USD29.44 million). Upon completion of the transaction, its registered capital will increase to RMB4 billion (USD588.88 million), with Yulong Copper retaining 100% equity in Chating Mining and the ownership structure remaining unchanged. According to the capital increase agreement, the additional capital will be subscribed at a 1:1 ratio, with full payment to be made within 24 months following the signing of the agreement.

Following the capital injection, Yulong Copper will proceed with the internal transfer of the exploration permit for the Chating Copper-Polymetallic Project in Xuanzhou District. The permit covers copper exploration across an area of 10.447 square kilometers and is valid from February 6, 2026, to January 15, 2031. Both the capital increase agreement and the exploration permit transfer agreement have yet to be formally signed and will become effective only after they are reviewed and approved by the internal governing bodies of both parties and duly executed with signatures and seals.