◎ Highlight: In 2021, the Group’s technical upgrade and expansion projects progressed as planned, including the Binduli Gold Mine of Norton in Australia, the Buriticá Gold Mine in Colombia and projects managed under Shanxi Zijin, Guizhou Zijin and Zeravshan in Tajikistan. These have laid the foundation for our growth in 2022.
According to the China Mineral Resources Report 2021 prepared by the Ministry of Natural Resources of the PRC, China’s gold reserves were 1,927.37 tonnes, while the gold reserves of the Group were 792.15 tonnes, representing approximately 41.10% of the total volume in China. According to the statistics disclosed by the China Gold Association, the national mined gold production in 2021 was 258.09 tonnes, while the Group’s mined gold production was 47.5 tonnes, representing approximately 18.40% of the total volume in China.
◎ Resources: Gold resources and reserves were 2,372.90 tonnes and 792.15 tonnes, respectively.
◎ Production:The Group produced 319,348kg (10,267,275 ounces) of gold, representing an increase of 1.35% compared with the same period last year (same period last year: 315,084kg).
Of which: 47,459kg (1,525,827 ounces) was mine-produced gold, representing an increase of 17.16% compared with the same period last year (same period last year: 40,509kg);
271,890kg (8,741,448 ounces) of refined, processed and traded gold were produced, representing a decrease of 0.98% year-on-year (same period in 2020: 274,576kg).
◎ Costs: The costs of gold mines remain relatively low in general. In 2021, the unit cost of sales of mine-produced gold was RMB176.22/g, representing a decrease of 0.66% year-on-year (same period in 2020: RMB177.38/g).
◎ Contribution: Gold business is an important source of revenue and profit contribution of the Group. Sales income generated from the gold business represented 45.12% (after elimination) of the operating income during the reporting period, and the gross profit of the gold business represented 21.31% of the gross profit of the Group. (1 troy ounce = 31.1035 g).
◎ Growth potential: The Group has accelerated the technological upgrade and expansion for incremental gold projects. With subsequent mergers and acquisitions and self-initiated exploration, resources/reserves are expected to increase.