Lead Market Report August 2015

Introduction 4
1. International Market Review 4
1.1 LME lead futures drop further during August 4
2. Chinese market review 5
2.1 Chinese lead concentrate supply continues to increase, lead treatment charges rise 5
2.2 Chinese lead market firm in August 6
2.3 Secondary lead market stable during August 7
2.4 Lead acid battery demand remains weak in China during August 9
3. Production Data 11
3.1 World supply of refined lead metal exceeds demand by 26kt during H1 2015 11
3.2 Lead production in China 12
3.2.Asian Metal Copyright2.Asian Metal Copyright1 China’s refined lead output down by 4.1% YOY in Jan-Jul 2015 12
3.2.Asian Metal CopyrightIntroduction 4 1.Asian Metal Copyright2 China’s lead concentrate output down by 5.93% YOY in Jan-Jul 2015 13
3.2.3 Chinese primary lead smelters’ operating rates continue to rise slightly in August 13
3.2.Asian Metal Copyright3 Top ten Chinese lead oreconcentrate importers in July 2015 23 4.Asian Metal Copyright4 China’s major smelters’ secondary lead output down by 22.64% MOM in August 15
3.2.Asian Metal CopyrightIntroduction 4 1.Asian Metal Copyright5 Lead ingot stocks at Chinese primary lead smelters down by 8.72% MOM late August 2015 16
3.2.6 China’s major smelters’ secondary lead stocks decline by 30% MOM in August 17
4. Import and export data in China 18
4.1 Lead import and export data in China by country: 18
4.2 Analysis of lead import & export data 20
4.2.1 China’s lead ore/concentrate imports up by 25.90% MOM in July 2015 20
4.2.Asian Metal Copyright994%min prices on the Chinese spot market in July-August 2015 7 Graph 5 Secondary Lead 98%min EX-VAT prices on Chinese market in July-August 2015 8 Graph 6 Secondary Lead 99.Asian Metal Copyright2 China’s refined lead exports up by 55.71% YOY in Jan-Jul 2015 22
4.3 Top ten Chinese lead ore/concentrate importers in July 2015 23
4.4China’s lead acid battery exports up by 17.07% MOM in July 23
4.5 Top ten Chinese lead-acid battery export destinations in July 24
5. Company News 25
5.1Nonfemet may start construction of 300ktpy lead and zinc smelting project in late 2015 25
5.2 Hulunbeier Chihong Mining’s lead smelter obtains crude lead in late August 25
5.3 Haicheng Chengxin’s lead smelter to halt production for maintenance in late August 26
6. Related industry Developments 26
6.1 China’s automobile output up by 3.41% MOM in August 2015 26
7．Market Outlook 26

Graph 1: The price graph of lead futures on the LME in August 2015 4
Graph 2: Lead ingot inventories in LME warehouses in July-August 2015 5
Graph 3: Lead concentrate 60%min prices on the Chinese spot market in July-August 2015 6
Graph 4 Lead ingot 99.994%min prices on the Chinese spot market in July-August 2015 7
Graph 5 Secondary Lead 98%min EX-VAT prices on Chinese market in July-August 2015 8
Graph 6 Secondary Lead 99.97%min prices on the Chinese spot market in July-August 2015 9
Graph 7 Processing charges for deep cycle lead battery polar plate in July-August 2015 10
Graph 8 Processing charges of start-type lead battery polar plate in July-August 2015 10
Graph 9 China’s refined lead ingot output Jan 2014-Jul 2015 12
Graph 10 China’s lead concentrate output Jan 2014-Jul 2015 13
Graph 11 China’s major primary lead smelters’ average operation rate Jan 2014-Jul 2015 14
Graph 12 Average operation rates in lead smelters in Henan, Hunan and Yunnan Jan 2014-Aug 2015 15
Graph 13 China's secondary lead output Jan 2014-Aug 2015 16
Graph 14 Lead ingot inventories held by the Chinese primary lead smelters Jan 2014-Aug 2015 17
Graph 15 Secondary lead inventories held by major lead smelters Jan 2014-Aug 2015 18
Graph 16 China’s monthly lead ore/concentrate imports from January 2014 to July 2015 21
Graph 17 China’s refined lead exports during January 2014 and July 2015 22
Graph 18 China's lead acid battery export volume Jan 2014-Aug 2015 24
Graph 19 China's start-type lead acid battery export volume Jan 2014-Aug 2015 24

Table 1: World Refined Lead Supply and Usage 2010-2015 11
Table 2 Average operating rates for lead smelters in Henan, Hunan and Yunnan provinces. 14
Table 3 China’s lead import and export data in July 2015 20
Table 4 Top ten Chinese lead ore/concentrate importers in July 2015 23
Table 5 Top 10 Chinese lead-acid battery export destinations in July 25

.Asian Metal Copyright2Asian Metal Copyright