On July 17, Zangge Mining announced that its wholly-owned subsidiary, Zangge Potash Fertilizer, received the Notice on Ordering the Immediate Stop of Lithium Resources Development and Utilization Activities issued by Haixi Natural Resources Bureau and Haixi Salt Lake Administration on July 16.
The Notice calls for immediate cessation of illegal mining activities and active rectification, improvement of the legal procedures for lithium resources, and resumption of production only after the application is approved after the legal compliance of the procedures for lithium resources. Founded in 2002
, Zangge Mining is a comprehensive mining enterprise and the second largest potassium chloride production enterprise in China. Its main business covers the mining of mineral resources, the production and sale of potash fertilizer and lithium carbonate. In May
this year, Zijin International Holdings, a wholly-owned subsidiary of Zijin Mining, acquired 26.18% of Zangge Mining at a consideration of 13.729 billion yuan, and gained control over Zangge Mining.