Safety Management System-ZANGGE MINING COMPANY LIMITED

Safety in production is the foundation on which an enterprise is built and developed. Zangge Mining is committed to continuously improving its safety management system and fostering a strong safety culture. By strengthening its safety governance structure, reinforcing accountability for safety targets, and enhancing full-process control, the Company systematically advances safety education and training as well as the cultivation of a safety-oriented culture. The Company continues to consolidate the foundations of production safety management, providing solid support for the safe and stable operation of its production and business activities.

Safety System Construction

Zangge Mining strictly complies with domestic and overseas laws and regulations on production safety and continues to improve its production safety management system covering the headquarters and its subsidiaries. In 2025, the Company revised and optimized a number of safety management policies, further clarifying safety responsibilities at all levels, strengthening full-process operational control and front-end risk prevention, and continuously enhancing the standardization of safety management. At the same time, the Company continued to improve its safety management mechanism by establishing the Safety, Environmental Protection, Security, Firefighting and ESG Committee, with the President serving as the primary person responsible for production safety, and by building a production safety management system that extends from the headquarters to frontline teams. As of the end of 2025, ISO 45001 occupational health and safety management system certification coverage for Zangge Potash and Zangge Lithium had reached 100%. The Company also carried out regular internal and external audits to promote closed-loop rectification of identified issues.

Management Structure

The company has established a three-level safety management structure

Includes a Safety Supervisor/Safety Engineer responsible for planning and implementing safety measures and regularly reporting on safety management

The leadership body responsible for organizing, guiding, and coordinating safety production across relevant departments

Responsible for daily safety management in production departments

Assist workshop managers or directors in overseeing workshop safety operations

Objectives and Assessment

The company has issued a Safety Objective Responsibility Agreement, requiring all employees to sign. In 2024, the signing rate of safety and environmental responsibility agreements across production sites reached 100%. The company has also strengthened the fire safety accountability system, clarifying responsibilities at all levels, signing 398 fire safety responsibility agreements, and formulating 12 Fire Safety Management System policies.
To ensure accountability and achieve safety objectives, a safety responsibility assessment mechanism has been established. The Safety Production Responsibility Assessment Team evaluates company leadership, functional departments (workshops), and work teams using both process- and result-based assessments on a quarterly and annual basis. Annual Safety Committee review meetings are held to reward or penalize production units based on the completion of safety objectives, continuously improving safety performance.

Contractor Management

The company implements internal regulations such as Outsourced Construction Safety Management and Business Outsourcing Management System, managing contractor prequalification, selection, work preparation, and operation supervision.
The Safety Production Management Agreement clarifies mutual safety responsibilities, requiring contractors to sign prior to construction, undergo safety training, pass assessments, and submit medical check-ups. For outsourced contractors, safety responsibility agreements are included as contract attachments to ensure a controlled, safe, and healthy working environment.

Whistleblowing

Reporting Hotline:+86-028-89992276

Reporting Email:jc@email.zanggekuangye.com

Mailing Address:Audit and Supervision Office, CAG Mining Co., Ltd., 19th Floor, Building 2, No. 1199 North Section of Tianfu Avenue, Chengdu High-tech Zone, China (Sichuan) Pilot Free Trade Zone, 610041

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