Source: Daily Economic News

A mining rights transaction that began in 2021 broke down four years later in a lawsuit.
August 29, August 29, Zhejiang Jiantou(002761.SZ, stock price 9.46 yuan, market value 10.234 billion yuan), The wholly-owned subsidiary has formally filed a lawsuit with the court, suing the counterparty, Lanxi Municipal Natural Resources and Planning Bureau, four years ago.

The amount involved in this lawsuit is as high as 1.88 billion yuan.
Bidding from 1.27 billion yuan to 1.88 billion yuan claim
Time went back to June 2021, when the abbreviation of Zhejiang Jiantou was still "Duixie".
In the fierce bidding, Zhejiang Construction Group successfully acquired the mining rights of the "Lanxi Chenjiajing Mine Area Construction Stone Project" at a high price of 1.27 billion yuan.

The above project is located in Chenjiajing, Yunshan Street, Lanxi City, Zhejiang Province. The mining species are construction sandstone and construction limestone. The planned annual production scale is as high as 7.6 million tons. The estimated control resource of construction stone ore is 37.4581 million tons.
For Zhejiang Construction Group, winning this project is of great strategic significance. The company announcement once clearly stated: "It is conducive to increasing the company's mineral resource reserves and improving the company's sustainable profitability. In the current environment of scarce sand and gravel aggregates, Zhejiang Construction Group won the sand and gravel mining rights, which will effectively expand and extend the group's industrial chain and ensure the stable supply of sand and gravel for construction in Zhejiang Construction Group in the province."
Shortly after the successful auction, Zhejiang Construction Group and Lanxi Municipal Natural Resources and Planning Bureau officially signed the "Zhejiang Province Mining Rights Payment Transfer Contract". The contract stipulates that the total amount of the transfer income of the mining rights is 1.27 billion yuan.
However, this highly anticipated investment has obviously not been going well in the next four years.
On August 29 this year, Zhejiang Construction Investment issued an announcement on the addition of a lawsuit, which completely unveiled the rift of cooperation between the two parties. The announcement shows that the plaintiff is the main body of the project, Zhejiang Jianlanxi Mining, and the defendant is the Lanxi Municipal Natural Resources and Planning Bureau, the transferor of the contract. Zhejiang Jiantou's claim amount is as high as 1.88 billion yuan.
Resource volume and approval obligations are the core of the dispute
Zhejianlanxi Mining not only requested the court to terminate the "Zhejiang Province Mining Rights Payment Transfer Contract" and the Supplementary Agreement signed by both parties, but also made a huge compensation claim.
What happened in the past four years that led to a complete breakup between the two sides?
Zhejiang Construction Investment gave the direct reason in its 2025 litigation announcement. The plaintiff Zhejiang Jianlanxi Mining believes thatThe defendant Lanxi Municipal Natural Resources and Planning Bureau had a number of "performance defects" during the contract performance process. These defects directly led to the inability to continue to perform the transfer contract and supplementary agreement, making the contract purpose of Zhejiang Jianlanxi Mining completely impossible to achieve..
The announcement further disclosed the three core focus of the dispute: mineral resources, forest land use approval procedures and environmental assessment approval, which directly points to the most basic and critical links in the project promotion.Review the announcement at the 2021 project auction, which clearly lists the estimated mining area resource reserves after registered geological reports. Today, Zhejiang Construction Investment regards the issue of "mineral resources" as one of the reasons for prosecution.
In the contract progress announcement on June 29, 2021, the contract terms required Zhejiang Construction Group to comply with relevant laws and regulations on environmental protection and other relevant laws and regulations, and to obtain the approval document for the environmental impact assessment report for mining mineral resources.
It is worth noting that Zhejiang Construction Investment has foreseen some risks in the announcement issued after the successful bidding in June 2021. The company once reminded: "The calculation and compilation of this resource data may still have artificial, technical or other uncontrollable factors, which may lead to the risk of inconsistent with the actual total resource."
At present, the case has not yet been tried. Zhejiang Construction Investment stated that it is temporarily unable to accurately determine the specific impact of the lawsuit on the company's profits in this period and after the period. The final result will be subject to the court's judgment. The company will continue to pay attention to subsequent progress and fulfill its disclosure obligations.
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