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The Group's principal business activity is in the production and sale of commercial explosives products, comprising explosive devices, initiators and detonators, both under our own brand name ("Yinguang") and those of third parties. We also provide after-sales services to our customers such as technical assistance related to the detonating activities.

The Group's products are mainly used by the mining, hydroelectric and infrastructure construction industries, for activities such as coal mining, oil exploration, construction of hydroelectric dams, roads and railways, and large construction projects. Our range of products can be broadly categorised as follows:

  • Explosive devices, such as boosters. Boosters, which are much safer and reliable than conventional products, are used to enhance the power of the explosions.

  • Industrial fuse and initiating explosive devices, such as detonating cords and non-electric tubes. These devices are used to initiate the detonation process.

  • Industrial detonators, such as non-electric detonators and piston non-electric detonators. These devices are mainly used to initiate explosions, either through boosters or applied directly on the explosives.

Product Distribution and Market Segment

We market our products to both domestic and overseas customers.

In the domestic market, our products are distributed mainly through local distributors in major provinces such as Henan, Shanxi and Zhejiang, and in major cities such as Beijing and Shanghai. We also market and sell directly to end-users such as mining and construction companies.

For the overseas market, we export our products through export distributors to customers in more than 10 countries, including the Australia, South Africa, Mongolia, India, Kazakhstan and Kyrgyzstan. Australia is currently the Group's largest overseas market in terms of revenue contribution. Notably, our products are supplied to global renowned commercial explosives players, such as Orica Limited and Dyno Nobel Group, on an Original Equipment Manufacturer ("OEM") basis. We also sell our products to export distributors in China, who in turn export the products to their overseas customers.