Zhongqing Iron (01053) issued an announcement that the company's iron ore purchases rely heavily on imports, and the expected amount of exchange traded for the full year of 2024 is 632 million US dollars. It is extremely important for the company's production and operation to correctly identify the risks brought by exchange rate fluctuations and take appropriate countermeasures. Therefore, in order to more effectively cope with the risks of exchange rate fluctuations, it is necessary for the company to conduct forward exchange transactions. At the same time, in order to minimize the company's financial costs and broaden financing channels, it is necessary for the company to quickly establish a US dollar financing channel to achieve the maximum possible cost reduction and efficiency improvement.

The company plans to carry out financial derivative trading business with a total cumulative amount not exceeding 250 million US dollars, of which the total amount of forward exchange contracts will not exceed 200 million US dollars, and the total amount of currency swaps will not exceed 50 million US dollars. This includes the margin and option premiums provided for trading, and the amount can be recycled and rolled over within the approval period. At any point in time within the approval validity period, the maximum contract value held does not exceed the above amount.