Zijin Bor Copper Mine
Zijin Bor Copper Co., Ltd. (“BOR Copper”), 180 kilometers away from the capital Belgrade, was originally the largest state-owned copper company in Serbia. In September 2018, Zijin Mining Group signed a Strategic Cooperation Agreement with Serbia. On December 18, 2018, the BOR Copper Project was successfully delivered, and Zijin BOR Copper Co., Ltd. was formally established. The shareholding ratio is: Zijin accounts for 63% of the shares, Serbian government nearly 37%, and the remaining minority shareholders share less than one ten thousandth of the shares.
BOR Copper has a large reserve of resources. At the end of 2017, the total amount of ore recorded by the Serbian Resource Reserve Committee was 1.26 billion tons, within which copper metal was 4.74 million tons, with an average grade of 0.375%, and gold 186 tons, average grade 0.15g/t. At present, it has about 5,000 employees, and owns the only productive four low-grade porphyry Cu-Au mines and one smelter in Serbia, detailed as follows:
1. The Majdanpek (MS) mine uses traditional open pit mining method and flotation process to produce copper concentrates, with a designed mining and processing scale of 10 million tons per year, and currently an actual scale of 6 million tons per year.
2. The Veliki Krivelj (VK) mine uses the same method to produce copper concentrates, currently at a scale of 10 million tons per year.
3. New Cerovo (NC) mine, open pit as well, mainly consists of two large porphyry deposits (C1 and Primarno). The next step is to develop the Primarno mine.
4. Jama (JM) mine uses underground mining method and flotation process to produce copper concentrates, with a designed scale of 1.2 million tons per year, and currently an actual scale of 600,000 tons per year.
5. The Smelter, updated in early 2015, uses flash smelting process to produce cathode copper. It’s fed with 400,000 tons of copper concentrate per year, with an annual of about 80,000 tons of copper cathode and 35-40 million tons of sulfuric acid.
In 2018, BOR Copper sold 41,059 tons of cathode copper, 1.065 tons of gold, and 2.718 tons of silver, achieving operating income of RSD 36.33 billion and profit of RSD 117.158 billion. Excluding non-operating profits of RSD 116.78 billion(PPRP debt relief income of RSD 113.355 billion included), the operating profit was RSD 277 million, which was USD 2.6946 million, calculated according to the current exchange rate of 1 US dollar = 102.8 RS dinars.
BOR Copper has great potential for technical upgrades. In the next 6 years, the company plans to invest more than one billion US dollars in the upgrading, expansion or construction of the four mines and the smelter. After the completion of the first phase of the project, it is estimated that the annual output of 82,000 tons of copper in concentrates, and the smelter will produce 80,000 tons of copper cathode per year. After the completion of the second phase (including the first phase), it is estimated that the annual output of the copper concentrate will contain 120,000 tons of copper, and the smelter will produce about 150,000 tons of cathode copper per year.