Zijin hits a new record in the first three quarters of 2023
Gold, copper and lithium segments support strong growth
On October 27, Zijin Mining announced that the production of its main metals products in the first three quarters of the year reached a new record. The company’s gold production increased by 22% to 50 tonnes, while copper production saw a 13% rise to 754,000 tonnes. It achieved a revenue of RMB 225 billion and a net attributable profit of RMB 16.2 billion. Its net profit attributable to shareholders in the third quarter alone reached RMB 5.86 billion, a substantial 45% year-on-year increase of 45% and a 21% growth compared to the previous quarter.
In 2023, Zijin’s strategic approach of improving quality, controlling costs, and boosting profitability has yielded significant results. Its production has remained on a stable yet upward trajectory, with mineral output reaching historic highs, making the company a prominent contributor to the global growth of gold and copper production.
Benefiting from the stable production of three world-class copper mines, including the Kamoa-Kakula Copper Mine, Zijin’s mined copper output continued to grow rapidly. In the first half of the year, Zijin’s advanced two places to become the world’s fourth-largest copper producer, and in the third quarter, it maintained a double-digit growth rate in copper output.
In the gold segment, the newly-acquired Rosebel Gold Mine in Suriname has become another major gold producer for Zijin. A number of de-bottlecking and new projects, such as the Taror Gold Mine in Tajikistan and the Binduli Project of Norton Gold Fields in Australia, have been progressing rapidly. Capitalizing on high gold prices, Zijin has set new records in gold production and sales, ranking among the leading gold companies globally by production growth.
According to statistics from Mining.com, the market capitalization of the top 50 mining companies in the world at the end of the third quarter has significantly declined compared to the beginning of the year. On the contrary, Zijin has won broad recognition from the market and investors, with a 14% increase in its market cap.
In August 2023, Zijin acquired the Zhunuo Copper Mine in Tibet, adding 1.72 million tonnes of attributable copper resources to its portfolio. The acquisition increased the company’s total copper resources to more than 75 million tonnes. The Zhunuo Copper Mine is expected to have an annual production capacity of 100,000 tonnes of copper.
In October, Zijin Mining and Barrick Gold, through their joint venture company in Papua New Guinea, received a special mining lease from the government of the PNG, paving the way for the recommissioning of the Porgera Gold Mine.
In the same month, the company also obtained an exploration license in the northeast of the Manono Lithium Mine in the Democratic Republic of Congo. The project is one of the world’s largest known lithium-rich LCT (lithium, cesium, tantalum) pegmatite deposits. With substantial exploration potential and favorable condition for large-scale, open-pit mining, the project offers good prospects for mine development and production.
In addition, Zijin acquired three major lithium projects over the past two years, including the Tres Quebradas Salar in Argentina, the Lakkor Tso Lithium Salar in Tibet, and the Xiangyuan Hard-Rock Lithium Mine in Dao County, Hunan Province. The three lithium projects are progressing rapidly and are expected to collectively achieve a lithium carbonate production capacity of 120,000 to 150,000 tonnes by 2025.
Translator: Jian Reviser: Lin Xindi Editor-in-Chief: Wang Jie