Mount Everest Gold Group Company Limited (Everest Gold) has moved to safeguard raw-material supply for its jewellery business by enlarging its 2026 silver-ingot procurement limit and locking in a three-year renewal agreement.
On 12 June 2026 the group signed: 1) A Supplemental Agreement amending its existing 2024-2026 Framework Purchase Agreement with Jiangxi Longtianyong Non-ferrous Metals (Longtianyong). 2) A new 2027-2029 Framework Purchase Agreement with Zhejiang Fuyin Lithium Industry (Zhejiang Fuyin).
Key amendments for 2026 • Annual cap for purchases from Longtianyong raised from RMB200 million to RMB500 million. • Scope of counterparties broadened to cover affiliates of both Longtianyong and Everest Gold’s operating arm, Jiangxi Jiyin. • As of 31 May 2026, Everest Gold had already used RMB147.80 million, or 73.90 % of the previous cap, driven by a surge in silver prices and higher customer demand. • The revised cap is based on an estimated 2026 silver price of about RMB18.40 million per tonne, versus RMB5.80 million assumed when the framework was approved in 2023.
New 2027-2029 framework • Zhejiang Fuyin (parent of Longtianyong and wholly owned by substantial shareholder China Silver Group) will supply silver ingots from 1 January 2027 to 31 December 2029. • Annual caps are set at RMB400 million for each of the three years. • Pricing will follow prevailing market rates, referencing Shanghai Huatong quotations, and must be no less favourable than offers from independent suppliers.
Regulatory context Both Longtianyong and Zhejiang Fuyin are connected persons under Chapter 14A of the HKEX Listing Rules. Because the highest applicable percentage ratios exceed 5 %, the revised 2026 cap, the Supplemental Agreement and the 2027-2029 framework are all classified as non-exempt continuing connected transactions. They require announcement, circular, independent financial advice, independent shareholders’ approval and annual review.
Everest Gold plans to convene an extraordinary general meeting by end-July 2026; China Silver Group and its controlling shareholder Mr Chen Wantian will abstain from voting. A circular detailing the transactions and including advice from Carlyon Capital Limited, the appointed independent financial adviser, is expected on or before 7 July 2026.
Rationale and controls Management cites soaring commodity prices, rising order volumes and the need for supply security as primary drivers for the revisions. Established relationships, geographic proximity of facilities and competitive pricing terms underpin the decision to continue sourcing from the Zhejiang Fuyin/Longtianyong group.
Internal safeguards include: • Mandatory price benchmarking against at least two independent quotations for each purchase order. • Ongoing oversight by the audit committee, annual reviews by independent non-executive directors and external auditors to ensure compliance with agreed terms and caps.
Everest Gold, whose operations centre on online and offline jewellery retailing in mainland China, remains 36.09 % owned by China Silver Group.