In May 2021, a production line on Indonesia's Obi Island was ignited, and an HPAL (High-Pressure Acid Leach) unit shattered the global nickel industry's decades-long landscape. Ore with nickel grades below 1.5%, once discarded as waste, became a critical raw material for new energy batteries. Lygend Resources & Technology Co.,Ltd. is rewriting the global nickel industry's map with this production line.

From a nickel ore trader in 2009 to a globally leading smelting producer now listed in Hong Kong and advancing toward the A-share main board, Lygend has completed vertical integration over more than a decade. On September 10, 2026, the company disclosed its prospectus for an initial public offering on the main board, officially launching its Shenzhen main board issuance. Moving forward, this "A+H" enterprise will continue connecting China's downstream industries with global mineral resources.

Where the Journey Begins

In 2009, founder Cai Jianyong began purchasing laterite nickel ore from countries rich in nickel deposits, selling it to smelters both domestically and internationally. This trading model persisted until 2018, when Lygend decided to jointly invest in and build a smelter on Obi Island with local Indonesian partners, completing the company's transformation from a pure trader to an industrial producer. What followed was accelerated expansion: the first production line of the hydrometallurgical Phase I project began operations in 2021, all six hydrometallurgical production lines reached full capacity in 2024, and by 2026, all pyrometallurgical projects were fully operational. The KPS Phase II project of the RKEF program achieved full production across all lines, giving the company a scaled production capacity of 400,000 tonnes of nickel metal annually.

Financial data best confirms this acceleration. From 2023 to 2025, revenue surged from RMB 21.286 billion to RMB 40.255 billion, with a compound annual growth rate exceeding 37%. Net profit attributable to shareholders rose from RMB 1.050 billion to RMB 2.862 billion, with a compound annual growth rate approaching 65%. Each extension of the industry chain adds a more efficient gear to the company's profit engine.

The core of this growth lies in the "hydrometallurgical + pyrometallurgical" dual-process system: the hydrometallurgical process employs third-generation HPAL technology, capable of processing low-grade laterite nickel ore that traditional pyrometallurgy cannot economically handle; the pyrometallurgical process uses the RKEF (Rotary Kiln-Electric Furnace) process to efficiently produce ferronickel, underpinning the basic needs of the global stainless steel industry. This flexible product structure ultimately points to sustained and stable profitability. Behind this lies a stable mineral supply source: supply agreements with Indonesian partners lock in 20 years of raw material security. Additionally, Lygend has maintained stable, long-term partnerships exceeding a decade with leading Philippine nickel ore miners, creating a moat that competitors find difficult to replicate.

Dominant Market Position, World's Largest in Nickel Product Trading

Data shows that in 2024, Lygend accounted for 10.4% of global nickel product trading volume, ranking first worldwide; second-place Trafigura held only 6.0%, meaning Lygend's trading volume was 1.7 times that of Trafigura. This is not just scale leadership but an overwhelming market advantage. In the domestic market, Lygend's control is even more pronounced. As China's largest nickel ore supplier, it commands 35.8% of domestic nickel ore supply, meaning 36 out of every 100 tonnes of nickel ore purchased domestically come from Lygend.

Trading scale demonstrates market position, while production scale reflects technological strength. In the hydrometallurgical field, as of the end of 2024, among globally stable operating nickel hydrometallurgical HPAL smelting projects, Lygend ranked second worldwide by controlling project capacity, with a 19.7% market share. The Obi Island project is Indonesia's first successfully operational hydrometallurgical project, achieving the shortest construction and ramp-up times among all greenfield projects. This not only demonstrates Lygend's technological capability but also reflects its comprehensive strength in project management and cost control.

In the pyrometallurgical arena, Lygend shows even faster expansion. Its controlling subsidiary KPS operates 12 ferronickel production lines using the RKEF process, with an annual design capacity of 185,000 tonnes of nickel metal in ferronickel. Construction began in June 2023, with production lines coming online in batches starting from the end of 2024, full production achieved in May 2026, and full capacity reached in August 2026. Additionally, its wholly-owned subsidiary Huiran Industrial operates 3 ferronickel production lines using the RKEF process, with an annual design capacity of 18,000 tonnes of nickel metal in ferronickel.

Dual "A+H" Platform, Mature Capital Operations

In December 2022, Lygend listed on the Hong Kong Stock Exchange. Hong Kong, a global capital market hub, requires passing rigorous standards in finance, governance, and disclosure, all tested by international markets. For resource-based enterprises, this international endorsement is invaluable. It sends a clear signal to global investors, upstream suppliers, and downstream customers: this is a company operating to world-class standards.

Now, Lygend's move to list on the A-share main board stems from multiple motivations. Financing is the foundational consideration: multi-channel financing effectively reduces capital costs and time costs, providing ample capital support for the company's rapid expansion. Policy direction presents a key opportunity: at the 2026 Lujiazui Forum, the CSRC Chairman Wu Qing explicitly stated support for eligible Hong Kong-listed companies to list domestically, better promoting coordinated development between the two markets. This regulatory stance releases a clear policy signal, opening a smooth institutional channel for quality Hong Kong-listed industrial entities to return to the A-share market, also providing a favorable external environment for Lygend to coordinate the use of both domestic and overseas markets while deepening its global industrial layout.

National strategy represents the deeper logic: nickel is a strategically important national mineral, essential to both the new energy and stainless steel industries. Documents from multiple ministries including MIIT and NDRC explicitly call for "cultivating chain-leader enterprises in non-ferrous metal industry chains such as nickel." Lygend's global footprint and domestic supply guarantee capabilities directly impact the realization of national mineral strategy. An A-share listing allows Lygend to integrate more deeply into the domestic capital market, creating strategic industrial synergy.

Notably, in terms of governance systems, Lygend has already met the standards of world-class listed companies. A mutually coordinating and check-and-balance operating mechanism exists among the shareholders' meeting, board of directors and its specialized committees, and senior management. Strict monitoring of related-party transactions, standardized information disclosure management, and rigorous execution of investment decision procedures are essential safeguards for the company's stable operations.

From H-shares to A-shares, Lygend is building a truly international capital platform. This platform not only broadens financing channels but also provides the core nickel industry enterprise with sufficient capital strength to deeply integrate global mineral resources and command industry chain influence. Against the backdrop of global energy transition, whoever controls nickel resources controls the future of the new energy industry. Lygend's "A+H" layout is the complete embodiment of this logic.

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