Hengshi Mining Investments Limited provided consolidated earnings guidance for the six months ended June 30, 2017. Based on the preliminary review of the latest unaudited consolidated management accounts of the group by the management of the company, expected that the group will record a net profit after tax of approximately RMB 14.0 million to RMB 18.0 million for the six months ended 30 June 2017, representing an increase of approximately 99.7% to 156.7% as compared to that of the corresponding period in 2016. It is expected that the main reason for the change of the net profit after tax of the group for the reporting period is that the average selling price of iron ore concentrates of the group during the reporting period (approximately RMB 517.5/tonne) increased by approximately 46.4% as compared to that of the corresponding period in last year. The profit growth of the group during the reporting period was partially offset by the following factors: the sales volume of iron ore concentrates of the group decreased by approximately 14.2% compared to that of the corresponding period in last year; the provision for assets impairment of Laiyuan Xinxin Mining Co. Ltd., a subsidiary of the company, and the provision for goodwill impairment of Xinan Investments Limited and its subsidiaries, which were acquired by the group in July 2016, amounted to a total of approximately RMB 24.5 million.