Zhaojin Mining's stock plummeted 5.06% during intraday trading on Friday, extending recent losses.

The sharp decline follows a fatal safety accident at a wholly-owned subsidiary mine, which has prompted local authorities to order a full halt to production at all mines in the Zhaoyuan region for comprehensive safety inspections. This incident has heightened market concerns over operational risks, including significant short-term production losses and potential delays to key projects, despite the company reporting strong first-quarter financial results.

This marks the second fatal accident for the company this year, leading investors to apply a persistent safety-risk discount to the stock's valuation, which outweighed positive fundamental performance.