Lygend Resources & Technology Co., Ltd. announced that the nickel sulfate for NEV batteries of the HPAL Project had been produced successfully on 25 March 2023, which is the first successful production of Nickel Sulfate for NEV batteries in Indonesia. The annual designed production capacity of Nickel Sulfate for NEV batteries of the HPAL project is 240,000 metric tons, which is the largest designed production capacity of Nickel S sulfate production lines in the world, as at the date of this announcement. Reference is also made to the disclosure in the Prospectus relating to the industry and business of the Company.

According to the CIC Report, from 2021 to 2026, the global demand for nickel sulfate from the NEV industry is expected to grow at a CAGR of 30.0%, reaching 1,403.3 thousand metal tons in 2026. The HPAL project on the Obi Island, Indonesia, which the Group has jointly developed with the Indonesian Partner, has six production lines and an aggregate designed production capacity of 120,000 metal tons of nickel-cobalt compound per annum (including 14,250 metal tons of cobalt). The HPAL Project is also equipped with nickel sulfate and cobalt sulfate production lines.