On May 1, Wang Jianhua, Chairman of the Company, Lyu Xiaozhao, Co-Chairman of the Company, Paul, Director and Executive President of the Company and CEO of LXML, Zhou Xinbing, Executive President of the Company, and other delegations went to the frontline of Wassa Mine in Ghana for investigation.

During the investigation, Chairman Wang Jianhua and his party went underground to inspect the working faces such as tunnel entrance, drilling area, tunneling, stope, paste filling and ventilation shaft, and deeply understood the progress of tunneling work, filling design, grade control and pit drilling; the core depot, concentrator, tailings pond, paste filling station and open-pit mining area were inspected on the spot.

On the afternoon of May 3, local time, the management of Wassa held a special work meeting in the mine conference room, and made a detailed report to the research team on the current work progress and the next work plan of Wassa Mine.

Mark Williams, Deputy Manager of Productive Geology of Wassa Mining, systematically reported the exploration results of Wassa, the drilling plan for 2022 and the long-term planning for 2023-2024. Wassa Mine plans to drill no less than 70,000 meters in 2022, including four underground roadway drills mainly carrying out resource upgrading work in three target areas and surface drilling exploration work in five target areas and one target area of Wassa. At the same time, it will continue to increase the exploration workload in other areas, especially verify geochemical anomalies in the forest areas in the southwest of the mining area, and discover new orebodies with shallow open-pit resources and high-grade new resources found in the south extension area of B orebody.

Mark Williams said that the Wassa Mine is located in the largest metallogenic belt in Ghana, with great resource potential, and the geological exploration work has maintained good continuity in history; he is very supportive of Chifeng Gold's strategic plan to continuously increase exploration efforts, and is confident that the gold resources in Wassa Mine will reach a new level through efforts.

Mine Manager George Asango reported on mining at the Wassa Mine. He said that in the first quarter, the work indicators such as pit drilling, deep hole construction and capital gallery driving in Wassa Mine were completed beyond the plan, and good work results were achieved in underground gold production in the first quarter. In the second quarter, the underground mining area was expanded and equipment and personnel were increased; at present, most equipment such as DD-421 tunneling trolley, underground truck and deep-hole trolley have been put in place, which provides a reliable guarantee for realizing the annual gold output index.

George Asango said that the next step is to improve the gold output of Wassa through several measures: First, improve the tunneling efficiency and increase the current tunneling efficiency of 26 meters/day to 42 meters/day; second, increase the mining intensity of surrounding open pits; third, relying on the huge resource potential around the mining area, mining work should be carried out in Hwini Butre, Father Brown and Adoikrom as soon as possible; fourth, increase shaft lifting, and gradually improve the problem that truck transportation efficiency of ramp gradually decreases with the increase of mining depth; fifth, upgrade and transform the concentrator and enhance the treatment scale.

Kwabena Owusu Akyaw, Senior Concentrator Manager of Wassa Mining, gave a systematic report on the beneficiation work. He introduced the current beneficiation process and showed various technological links such as crushing, grinding, classification, gravity separation, carbon leaching and filling; the expansion plan and filling progress of tailings pond were also reported.

At the meeting, the heads of other departments reported on sustainable development, continuous improvement, business procurement, equipment maintenance and community relations.

Lyu Xiaozhao, Co-Chairman of the Company, said, after the successful delivery of Wassa Mine in Ghana, the senior management team stationed by the Company is highly integrated with the local team with an open, sincere, trusting and united attitude and spirit, and integrates Chifeng Gold's struggle culture of rejecting mediocrity, unremitting pursuit and courage to challenge and the core values of “benefit more people with the development of Chifeng Gold” into Wassa Mine; Ghana has a stable political situation, simple folk customs and great support from the local government; it is hoped that Wassa team will continue to look for high-quality resource M&A projects in Ghana based on mine development and focus on the future, and build the base camp of Chifeng Gold's development in Africa.

After listening to the report, Chairman Wang Jianhua said that through the on-site investigation and exchange in recent days, we have seen the positive and enthusiastic working attitude of Wassa team, the high spirit of struggle, the careful working ideas, the working atmosphere of mutual unity and trust, and the bright and brilliant future of Wassa.

Chairman Wang Jianhua said that scale and intelligence are the main development directions of mines in the future. In recent years, Chifeng Gold has adhered to the development concept of "building a large mine and increasing scale". The production scale of Wulong Mining's concentrator has increased from 800 tons to 3,000 tons per day, and its intelligence level is at the leading level in China. Other mines in China are also undergoing large-scale upgrading and transformation. During his career, he personally participated in the construction projects of four 10,000-ton concentrators, all of which benefited from the medium and long term. He said that Wassa has great resource potential, a strong and executive team, and is fully qualified and capable of increasing the current processing capacity from 5,000 tons/day to 10,000 tons/day. The Group Company will give Wassa firm support in mine exploration, engineering construction and technical transformation.

Chen Zhiyong, Chairman of Wassa Mining, Chen Tiehe, General Manager, and Sharek, Managing Director, said that the Wassa team will firmly believe in “not stopping until 10,000 tons”, and will certainly realize the long-term goal of building Wassa Mine into a world-class mine with an annual output of not less than 10 tons of gold, so that more people can benefit from the development of Wassa.