Corporate Vision and Mission - The company aims to become a leading international mining group with a focus on green and high-tech development[1]. - The mission is to support economic growth in China and globally through high-quality mineral resources[1]. - The company emphasizes sustainable development, aiming to benefit more people through its operations[1]. - Zijin Mining Group aims to become a "green, high-tech, first-class international mining group" by 2030, focusing on sustainable development and low-carbon technologies[14]. - The company is committed to building a unique "Environmental, Social, and Governance (ESG)" system to align with international standards[15]. - The company is committed to sustainable development, emphasizing green practices and social benefits as part of its corporate philosophy[114]. Financial Performance - The financial summary indicates significant growth in revenue and profit, with specific figures to be detailed in the full report[2]. - Total revenue for 2021 reached RMB 225.1 billion, a 31.2% increase from RMB 171.5 billion in 2020[9]. - Net profit attributable to shareholders was RMB 15.7 billion, up 141.5% from RMB 6.5 billion in 2020[9]. - The total comprehensive income for 2021 was RMB 20.5 billion, a significant increase from RMB 9.2 billion in 2020[9]. - The company reported a significant increase in revenue, achieving a total of 15 billion RMB in 2021, representing a year-on-year growth of 20%[27]. - The company reported a significant increase in revenue, achieving a total of 19.5 billion CNY for the year, representing a year-over-year growth of 15%[30]. - The company achieved a sales revenue of RMB 225.102 billion, representing a year-on-year growth of 31.25% compared to RMB 171.501 billion in the previous year[115]. Operational Highlights - The management discussion highlights user data and market trends that support future growth strategies[2]. - Future outlook includes expansion plans and potential mergers and acquisitions to enhance market presence[2]. - New product and technology development initiatives are underway to improve operational efficiency and sustainability[2]. - The company continues to explore opportunities in various regions to diversify its mining portfolio and reduce risks[2]. - The company emphasized the successful launch of major projects, including the Kamoa-Kakula copper mine in the Democratic Republic of Congo, contributing to significant production increases[12]. - The company aims to enhance its global competitiveness through innovation and expansion in overseas markets[12]. - The company plans to produce 860,000 tons of copper in 2022, with a target of 1,000,000 to 1,100,000 tons by 2025[25]. - Significant projects include the completion of the Kamoa-Kakula copper mine in the Democratic Republic of Congo, expected to produce 200,000 tons of copper annually[21]. Resource Management and Production - The company primarily engages in the exploration, mining, smelting, and sales of gold, copper, zinc, and other metal resources, focusing on gold, copper, and zinc development[7]. - The company has a copper resource reserve of 6.277 million tons, accounting for 75.25% of China's total copper reserves[26]. - The company produced 584,000 tons of copper, a year-on-year increase of 28.83%, and 47.5 tons of gold, up 17.16%[35]. - The company has established projects in 13 overseas countries, with overseas copper and gold resource contributions exceeding domestic levels, accounting for 76% and 74% of total resources respectively[39]. - The company holds a total of 10,435,052 tons of resources, with a confirmed metal quantity of 1,084,693 tons[105]. - The company has confirmed reserves of copper are 2,032.83 million tons, gold 792.15 tons, zinc (lead) 525.05 million tons, and silver 1,630.31 tons[98]. Research and Development - Research and development expenses increased to RMB 770.7 million, a 32.3% rise compared to RMB 582.5 million in 2020[9]. - The company has established new engineering technology companies to enhance mining technology R&D and innovation capabilities[142]. - The company achieved 161 independent intellectual property research results and received 83 provincial and ministerial-level scientific and technological awards by the end of 2021[144]. - The company is actively engaged in the development of new technologies to enhance mining efficiency and resource recovery[108]. Market Expansion and Strategic Acquisitions - The company has successfully completed the acquisition of a world-class lithium project in Argentina, marking a significant step into the new energy minerals sector[14]. - The company plans to increase its investment in new energy and materials industries, particularly in solar, wind, and hydrogen energy[15]. - The company is actively pursuing market expansion, targeting new regions in Southeast Asia, which is projected to increase market share by 5%[30]. - A strategic acquisition of a smaller mining firm is in progress, which is anticipated to enhance operational capabilities and increase production capacity by 25%[31]. - The company signed an arrangement agreement to acquire all issued and outstanding common shares of Neo Lithium Corp at a price of CAD 6.5 per share, totaling approximately CAD 960 million, completed on January 25, 2022[172]. Environmental and Social Responsibility - The company emphasizes the importance of risk prevention in the face of global challenges and uncertainties in the mining sector[15]. - The company is focusing on clean energy and ecological environmental protection in mining and smelting operations[51]. - The company has paid RMB 3,622,000 in environmental protection tax and RMB 257,321,000 in resource tax during the reporting period[164]. - The company is actively promoting the establishment of an international ESG governance system to enhance environmental protection and social responsibility[197]. Financial Health and Investment - The company reported a cash and cash equivalents balance of RMB 13.6 billion, up from RMB 11.8 billion in 2020[11]. - The current ratio improved to 93.6%, compared to 83.5% in 2020[11]. - The company’s market capitalization increased by 8.2% year-on-year, reaching RMB 358.4 billion by the end of 2021, ranking 9th among global metal mining companies[43]. - The company’s total liabilities decreased by 75.78% for trading financial liabilities, primarily due to changes in hedging instruments[156]. Challenges and Future Outlook - The company is facing rising costs due to stricter environmental regulations and the need for green energy, which may impact the profitability of the non-ferrous metal industry[186]. - The company anticipates a significant increase in demand for key metals such as copper and lithium due to the transition to renewable energy, with copper demand in the decarbonization sector projected to reach 6.35 million tons by 2030, four times the 2020 levels[184]. - The company is committed to enhancing its resource production capabilities and improving strategic material reserve systems to ensure supply security amid rising geopolitical tensions[186].

Financial Performance - The company's operating revenue for Q1 2022 was RMB 64,770,745,546, representing a year-on-year increase of 36.35%[4] - Total profit for the quarter reached RMB 8,910,988,313, a significant increase of 104.81% compared to the same period last year[4] - Net profit for Q1 2022 was RMB 7,415,265,303, reflecting a year-on-year growth of 117.03%[4] - The net profit attributable to shareholders of the listed company was RMB 6,123,805,269, marking an increase of 143.88% year-on-year[4] - The basic earnings per share for the quarter was RMB 0.233, up 135.35% from the previous year[5] - The diluted earnings per share also stood at RMB 0.233, representing a 145.26% increase year-on-year[5] - Total revenue for Q1 2022 reached CNY 64,770,745,546, a significant increase of 36.3% compared to CNY 47,502,179,195 in Q1 2021[22] - Operating profit for Q1 2022 was CNY 8,982,461,625, representing an increase of 101.8% from CNY 4,455,491,340 in Q1 2021[22] - The total comprehensive income for Q1 2022 was 8,715,765,250 CNY, significantly higher than 2,836,360,813 CNY in Q1 2021, representing an increase of approximately 207.5%[23] - Basic earnings per share for Q1 2022 were 0.233 CNY, up from 0.099 CNY in Q1 2021, reflecting a growth of about 135.4%[23] Cash Flow and Assets - The net cash flow from operating activities was RMB 7,427,862,528, which is a 41.53% increase compared to the same period last year[4] - The company's cash and cash equivalents increased to approximately 23.30 billion yuan from 14.22 billion yuan year-on-year[19] - The company's inventory rose to approximately 22.67 billion yuan, compared to 19.31 billion yuan in the previous year[19] - The operating cash flow for Q1 2022 was 70,052,027,257 CNY, up from 47,862,962,006 CNY in Q1 2021, reflecting a growth of approximately 46.4%[25] - The cash and cash equivalents at the end of Q1 2022 totaled 22,544,066,885 CNY, compared to 15,258,202,968 CNY at the end of Q1 2021, indicating an increase of approximately 48.0%[26] - The ending balance of cash and cash equivalents was CNY 9,417,271,405, up from CNY 6,580,049,090 at the end of Q1 2021, reflecting a growth of 43.5%[33] Production and Operations - In Q1 2022, the company achieved a gold production increase of 17% year-on-year, copper production up by 53%, and zinc production up by 12%[13] - The mining enterprise gross margin was 61.12%, an increase of 3.87 percentage points year-on-year, while the overall gross margin was 17.32%, up 2.36 percentage points year-on-year[13] - The company plans to produce 20,000 tons of battery-grade lithium carbonate annually from its lithium project in Argentina, expected to be operational by the end of 2023[17] - The second phase of the Kamoa-Kakula copper mine is set to process 3.8 million tons of ore annually, with production expected to exceed 450,000 tons of copper, making it the fourth-largest copper mine globally[17] - The company aims to complete the technical transformation of the Kamoa-Kakula copper mine to increase its processing capacity from 7.6 million tons to 9.2 million tons per year[17] Liabilities and Equity - Total liabilities amounted to CNY 132,098,603,359, an increase of 14.1% from CNY 115,697,507,579 in the previous year[21] - The company’s total equity reached CNY 101,476,161,548, reflecting a growth of 9.2% from CNY 92,897,170,544 in the previous year[21] - Long-term borrowings increased to CNY 46,245,165,682, up 28.1% from CNY 36,126,816,893 in the previous year[21] Research and Development - Research and development expenses for Q1 2022 were CNY 176,802,866, an increase of 35.7% compared to CNY 130,207,419 in Q1 2021[22] - Research and development expenses for Q1 2022 were $72,461,841, up from $54,758,193 in Q1 2021, indicating a rise of 32.2%[30] Tax and Other Income - The company reported a tax expense of 1,495,723,010 CNY for Q1 2022, compared to 934,107,159 CNY in Q1 2021, which is an increase of about 60.3%[23] - Other comprehensive income after tax for Q1 2022 was 1,300,499,947 CNY, contrasting with -580,286,767 CNY in Q1 2021, indicating a significant turnaround[23] - The company reported investment income of $346,979,244 in Q1 2022, compared to $254,162,911 in Q1 2021, an increase of 36.5%[30]

Financial Performance - Total revenue for Q1 2022 reached RMB 64.77 billion, an increase of 36.35% year-on-year[4] - Total profit for the period was RMB 8.91 billion, reflecting a significant growth of 104.81% compared to the same period last year[4] - Net profit amounted to RMB 7.42 billion, representing a year-on-year increase of 117.03%[4] - Net profit attributable to shareholders was RMB 6.12 billion, up 143.88% year-on-year[4] - Basic earnings per share increased by 135.35% to RMB 0.233[5] - Diluted earnings per share rose by 145.26% to RMB 0.233[5] - Operating profit for Q1 2022 was ¥8.98 billion, up 102.5% from ¥4.46 billion in Q1 2021[26] - Net profit for Q1 2022 was ¥7.42 billion, representing a 117.5% increase compared to ¥3.42 billion in Q1 2021[27] - Basic earnings per share for Q1 2022 were ¥0.233, compared to ¥0.099 in Q1 2021, reflecting a 135.4% increase[27] - The total comprehensive income for Q1 2022 was ¥8.72 billion, compared to ¥2.84 billion in Q1 2021, marking a 206.5% increase[27] Production and Sales - The company attributed revenue growth to increased production and sales of major products, along with rising metal prices[8] - Gold production increased by 17% year-on-year, while copper production surged by 53% and zinc production rose by 12%[14] - The gross profit margin for mining enterprises was 61.12%, up by 3.87 percentage points year-on-year, while the overall gross profit margin improved to 17.32%, an increase of 2.36 percentage points[14] Assets and Liabilities - Total assets at the end of the reporting period were RMB 233.57 billion, an increase of 11.98% from the end of the previous year[5] - As of March 31, 2022, the company's cash and cash equivalents increased to ¥23.30 billion from ¥14.22 billion as of December 31, 2021, representing a growth of approximately 63.5%[22] - Total current assets reached ¥61.81 billion, compared to ¥47.06 billion at the end of 2021, reflecting a growth of approximately 31.4%[22] - Total liabilities increased to ¥132.10 billion from ¥115.70 billion, representing a rise of about 14.1%[24] - The company's total assets reached ¥233.57 billion, compared to ¥208.59 billion, reflecting an increase of approximately 12.0%[24] - The total equity attributable to shareholders increased to ¥78.53 billion from ¥71.03 billion, indicating a growth of approximately 10.6%[24] Cash Flow - Cash flow from operating activities was RMB 7.43 billion, up 41.53% year-on-year[4] - Cash flow from operating activities for Q1 2022 was ¥7.43 billion, an increase of 41.4% from ¥5.25 billion in Q1 2021[28] - The net cash flow from investing activities was -12,217,669,025 RMB, compared to -5,199,469,124 RMB in the previous year, indicating a significant increase in cash outflows[29] - The net cash flow from financing activities was 13,718,508,962 RMB, significantly higher than 3,351,166,428 RMB from the previous year, showing a strong financing position[29] Project Developments - The company commenced construction of its first lithium project in Argentina, aiming for an annual production of 20,000 tons of battery-grade lithium carbonate by the end of 2023[19] - The second phase of the Kamoa-Kakula copper mine is expected to process 3.8 million tons of ore annually, with production exceeding 450,000 tons of copper, making it the fourth largest copper mine globally[19] - The company is advancing multiple key projects, including the Pegg copper-gold mine and the Binduli North low-grade ore project, both expected to commence production in 2022[20] - The company is planning to expand its mining operations with the second phase of the Julong Copper Mine project and the new construction of a 6,000 tons/day intelligent mining project in Shanxi, expected to add 3-4 tons of gold annually upon completion[21] Challenges and Resilience - The company successfully navigated external challenges such as the COVID-19 pandemic and geopolitical conflicts, achieving a strong start to the year[13]

Dividend and Financial Performance - The board proposed a cash dividend distribution plan for 2021, recommending a payout of 2 RMB per 10 shares (including tax), with no stock distribution or capital reserve conversion[7]. - Total revenue reached 225.1 billion yuan in 2021, a 31% increase from 171.5 billion yuan in 2020[34]. - The net profit attributable to shareholders rose to 15.7 billion yuan in 2021, marking a 141% increase compared to 6.5 billion yuan in 2020[34]. - The company reported a total sales revenue of 1,108.04 billion yuan from the top five customers, accounting for 49.22% of total annual sales[156]. - The company's market capitalization increased by 8.2% year-on-year, reaching 358.4 billion CNY by the end of 2021, with earnings per share rising by 140% to 0.60 CNY[65]. - The company achieved a significant increase in investment income, reaching ¥1.69 billion compared to a loss of ¥0.52 billion in the previous year[142]. - The company's total assets increased to 208.6 billion yuan in 2021, a 14% rise from 182.3 billion yuan in 2020[34]. - The company’s operating cash flow reached 26.1 billion yuan in 2021, an 83% increase from 14.3 billion yuan in 2020[34]. - The company reported a net impairment loss of 1,993 million yuan, significantly lower than the previous year's 22,649 million yuan[162]. Production and Resource Development - In 2021, Zijin Mining achieved significant growth with a comprehensive increase in metal production and prices, resulting in a "super expected" performance across key metrics[19]. - The company reported a strong production growth in copper, gold, and zinc, with copper production increasing from 45,000 tons in 2020 to 58,400 tons in 2021, representing a 29% increase[34]. - The company plans to produce 86,000 tons of copper and 60 tons of gold in 2022, with further increases expected by 2025[39]. - The company produced 1,205,499 tons of copper, a year-on-year increase of 17.14%, with mined copper at 584,165 tons (up 28.83%) and refined copper at 621,334 tons (up 7.94%)[78]. - The company’s total resource reserves as of December 31, 2021, include 6,277,050 tons of copper and 2,372.90 tons of gold[115]. - The company holds 2,032.83 million tons of copper reserves, representing 75.25% of China's total copper reserves[78]. - The company has a total of 763,000 tons of lithium resources (LCE equivalent) from the 3Q lithium salt lake project in Argentina, with a lithium ion concentration grade of 400 mg/L[108]. - The company has a total of 1,000,000 tons of gold reserves with a boundary grade of 0.15 grams per ton[122]. Strategic Goals and International Expansion - The company aims to become a leading global mining company with a focus on green and high-tech development, contributing to both domestic and international economies[14]. - Zijin Mining aims to enhance its global competitiveness by focusing on green, low-carbon, and high-tech development, with a strategic goal of becoming a "first-class international mining group" by 2030[21]. - The company is actively seeking strategic acquisitions of quality mid-to-large mining assets globally to bolster its resource reserves[22]. - The company has expanded its international presence, operating in 13 overseas countries with 21,695 employees, contributing 51% of its profits from overseas operations, with copper and gold resource contributions at 76% and 74% respectively[60]. - The company successfully completed the acquisition and construction of the world-class 3Q lithium project in Argentina, marking a key step into the new energy minerals sector[21]. Environmental and Sustainability Initiatives - The company plans to increase investments in clean energy sources such as photovoltaic, wind, and hydrogen energy, contributing to global carbon neutrality goals[22]. - The company’s clean energy projects have generated 13,655 million kWh of electricity, equivalent to planting 63,442 trees[109]. - The company has established a comprehensive digital and intelligent mining system, achieving 90% automation in the mineral processing system at Tibet Julong Copper Industry[173]. - The company emphasizes risk prevention and is optimistic about future demand for mineral products, driven by monetary expansion and supply concerns[22]. - The company has implemented measures to mitigate the impact of rising raw material costs, including increasing production and cost control[192]. Research and Development - The company’s research and development expenses rose by 32.30% to ¥770.66 million, compared to ¥582.51 million in 2020[142]. - The number of R&D personnel was 4,474, representing 10.25% of the total workforce, with 42 holding doctoral degrees and 420 holding master's degrees[167]. - The company established several new engineering and technology companies to enhance mining technology R&D and accelerate the development of new energy materials[169]. Market and Pricing Trends - The company reported a 24% increase in copper prices and a 27% increase in zinc prices during the reporting period, while gold prices saw a slight decline of 3%[68]. - The international copper price reached a historic high of $4.89 per pound, with refined copper demand increasing by 4.1% year-on-year[71]. - The average price of copper concentrate (excluding Kamoa) increased by 42.90%, while the average price of electrolytic copper rose by 44.19%[136]. Governance and Financial Management - The company has a well-structured governance system, enhancing decision-making efficiency and operational mechanisms[128]. - The company achieved a cash interest coverage ratio of 13.14, up from 8.25, indicating improved debt servicing capability[177]. - The company has a total bank credit line exceeding RMB 190 billion, indicating strong creditworthiness and ample financing channels[178].

Financial Performance - Revenue for Q3 2021 reached ¥59.11 billion, an increase of 25.00% year-over-year[4] - Total profit for Q3 2021 was ¥6.97 billion, reflecting a significant increase of 111.15% compared to the same period last year[4] - Net profit for Q3 2021 amounted to ¥5.62 billion, up by 107.78% year-over-year[4] - The net profit attributable to shareholders was ¥4.65 billion, representing a 116.34% increase compared to the same quarter last year[4] - Basic earnings per share for Q3 2021 were ¥0.178, a rise of 109.41% year-over-year[5] - The company reported a total profit of ¥18.44 billion for Q3 2021, compared to ¥7.40 billion in Q3 2020, marking a 149.4% increase[23] - The company’s total comprehensive income for Q3 2021 was ¥14.75 billion, compared to ¥5.37 billion in Q3 2020, reflecting a 174.5% increase[24] - The company’s financial performance indicates strong growth and improved profitability metrics compared to the previous year[22][23][24] Assets and Liabilities - Total assets at the end of Q3 2021 were ¥203.98 billion, an increase of 11.88% from the end of the previous year[5] - As of September 30, 2021, the company's total current assets reached RMB 48.1 billion, an increase of 22.5% from RMB 39.3 billion on December 31, 2020[17] - The company's total liabilities as of September 30, 2021, were RMB 111.74 billion, an increase from RMB 107.72 billion at the end of 2020, reflecting a growth of 3.0%[20] - The company's total non-current assets reached RMB 155.87 billion, up from RMB 143.05 billion, indicating a growth of 9.0%[19] Cash Flow - Cash flow from operating activities for the year-to-date was ¥17.81 billion, up by 79.86% year-over-year[5] - The net cash flow from operating activities was CNY 17,814,544,258, an increase from CNY 9,904,944,976 in the previous year, representing an increase of approximately 79%[26] - The total cash outflow from investing activities was CNY 23,690,287,585, compared to CNY 25,012,793,644 in the previous year, indicating a decrease of about 5%[26] - The net cash flow from financing activities was CNY 4,450,325,358, down from CNY 14,962,953,112 in the previous year, reflecting a decrease of approximately 70%[26] - The total cash and cash equivalents at the end of the period amounted to CNY 12,874,274,676, up from CNY 7,055,434,325 in the previous year, marking an increase of about 83%[27] Production and Operations - The company achieved operating revenue of RMB 168.976 billion in Q3 2021, representing a year-on-year growth of 29.55% compared to RMB 130.434 billion in the same period last year[11] - The total gold production reached 34,457 kg in 2021, up from 29,463 kg in 2020, with a sales volume of 32,586 kg[12] - The copper production amounted to 408,113 tons in 2021, an increase from 345,338 tons in 2020, with a sales volume of 390,039 tons[12] - The overall gross profit margin for the mining sector improved to 59.23% in 2021, up from 47.27% in the previous year, marking an increase of 11.96 percentage points[13] - The company has raised its production guidance for copper concentrate to between 85,000 tons and 95,000 tons for 2021[14] - The first phase of the Kamoa-Kakula copper mine in the Democratic Republic of Congo has reached a daily production capacity of 12,600 tons of ore, exceeding the designed capacity by 10.5%[14] - The Timok copper-gold mine in Serbia commenced trial production in June 2021, with an expected output of 50,000 tons of copper concentrate and 3 kg of gold in 2021[14] - The construction of the 40,000 tons/day processing plant at the Zijin Copper Company is progressing well, with completion expected in Q1 2022[14] - The construction of the first phase of the Tibet Julong copper polymetallic mine is nearing completion, with production expected to commence by the end of 2021[14] Investments and Future Plans - The company plans to invest RMB 4.94 billion to acquire 100% equity of Canadian Lithium Company, which has a lithium resource of 7.565 million tons, including 1.845 million tons of high-grade lithium[15] - The company has a planned annual production capacity of 20,000 tons of battery-grade lithium carbonate, with potential expansion to 40,000-60,000 tons[15] - The feasibility study for the lithium project is expected to be completed in Q4 2021, with construction to begin after obtaining environmental approval[15] Shareholder Information - The company reported a total of 804,249 common shareholders at the end of the reporting period[8] - The top shareholder, Minxi Xinghang State-owned Assets Investment Management Co., Ltd., holds 23.11% of the shares[8]

Financial Performance - The company achieved a revenue of RMB 109.863 billion, representing a year-on-year increase of 32.14% compared to RMB 83.142 billion in the same period last year[18]. - Total profit reached RMB 11.470 billion, a significant increase of 180.12% from RMB 4.095 billion in the previous year, with net profit attributable to shareholders at RMB 6.649 billion, up 174.60% from RMB 2.421 billion[18]. - The company achieved significant progress in sustainable development, with a focus on environmental protection and the issuance of the first "carbon-neutral" bond in the Chinese precious metals industry[32]. - The company reported a net profit of RMB 10,545 million from the Paddington gold mine, with a 100% holding interest[60]. - The company reported a total profit of RMB 11.47 billion for the first half of 2021, compared to RMB 4.09 billion in the same period of 2020, reflecting a growth of approximately 180.5%[166]. Production and Operations - Gold production amounted to 22.02 tons, an increase of 8.78% year-on-year, while total gold production for the group was 149.933 tons, a decrease of 7.58%[19]. - Copper production reached 240,626 tons, reflecting a year-on-year growth of 4.30%, with total copper production for the group at 555,872 tons, up 6.52%[21]. - Zinc production increased by 23.46% year-on-year to 196,400 tons, supported by a significant rise in zinc prices, which averaged USD 2,850 per ton, up 44.30% from USD 1,975 per ton in the previous year[15]. - The company is focused on expanding its mining operations in 12 countries and 14 provinces in China, aiming to enhance its operational capabilities in gold, copper, zinc, and other strategic minerals[10]. - The company is actively pursuing mergers and acquisitions in the copper sector, with increased exploration investments and a robust market for copper resources[15]. Strategic Focus and Development - The company has identified new energy and new materials as key development directions, aligning with its strategic and sustainable development goals[8]. - The company is focused on expanding its market presence and enhancing its product offerings in response to the growing demand for clean energy and new materials[63]. - The company is committed to developing new technologies and products to meet the evolving market demands and regulatory requirements[63]. - The company is enhancing its global operational management system to improve efficiency and value creation, aiming for a more streamlined and effective operational framework[68]. - The company is committed to sustainable development by integrating ESG standards into its operations and enhancing its competitive capabilities in the global mining sector[70]. Financial Position and Assets - The company’s total assets increased by 8.97% to RMB 198.662 billion, with net assets attributable to shareholders rising by 18.30% to RMB 66.887 billion[18]. - The company’s capital debt ratio improved to 1.2468 from 1.5192 year-on-year, indicating a stronger equity position[50]. - The total liabilities reached RMB 110,242,902,186, up from RMB 90,339,334,762 in the previous year, indicating growth in financial obligations[50]. - The company’s total operating revenue reached RMB 109.86 billion, a year-on-year increase of 32.14%[43]. - The company’s gross profit margin and cost structure are primarily influenced by mining, smelting, and processing costs, which include mining, ore selection, and transportation[38]. Environmental and Social Responsibility - The company invested RMB 670 million in environmental ecological projects during the reporting period, with RMB 162 million specifically for ecological restoration, representing an increase of 85.6% and 200% year-on-year respectively[109]. - The company has implemented a photovoltaic power generation project, generating 1.45 million kWh of electricity by the end of June, equivalent to a CO2 reduction of 1,419.55 tons and replacing 580 tons of standard coal[110]. - The company has established a social responsibility department to oversee poverty alleviation and rural revitalization initiatives[111]. - The company invested approximately RMB 76 million in poverty alleviation and rural revitalization efforts during the reporting period[112]. - The company is actively participating in international biodiversity initiatives, including joining the UN's biodiversity convention and implementing biodiversity monitoring and ecological restoration measures[109]. Shareholder and Governance - The company has enhanced its corporate governance structure, complying with various legal and regulatory requirements, leading to improved operational standards[151]. - The company has appointed six independent non-executive directors, with at least one possessing relevant financial expertise[159]. - The company has enhanced the independence of its audit and internal control committee and linked executive compensation to ESG performance[152]. - The company has established a global operational management system focusing on ESG sustainability and responsible supply chain resilience[153]. - The company distributed a cash dividend of RMB 1.20 per 10 shares, totaling RMB 3,159,312,268.8, fully implemented by July 9, 2021[155].

Financial Performance - The company's operating revenue for the first half of 2021 reached CNY 109.86 billion, representing a 32.14% increase compared to CNY 83.14 billion in the same period last year[14]. - Total profit for the first half of 2021 was CNY 11.47 billion, a significant increase of 180.12% from CNY 4.09 billion in the previous year[14]. - Net profit for the first half of 2021 amounted to CNY 8.91 billion, up 188.27% from CNY 3.09 billion year-on-year[14]. - The net profit attributable to shareholders of the listed company was CNY 6.65 billion, reflecting a 174.60% increase from CNY 2.42 billion in the same period last year[14]. - Basic earnings per share increased by 175.79% to RMB 0.262 compared to the same period last year[15]. - The company reported a comprehensive gross profit margin of 14.48%, an increase of 3.5 percentage points year-on-year, primarily due to increased margins from copper and zinc mining[44]. - The company achieved operating revenue of 109.863 billion yuan, a year-on-year increase of 32.14% compared to 83.142 billion yuan in the same period last year[41]. - The company reported a total comprehensive income of RMB 10.39 billion for the first half of 2021, significantly higher than RMB 2.43 billion in the same period of 2020[148]. Assets and Liabilities - The net assets attributable to shareholders of the listed company at the end of the reporting period were CNY 66.89 billion, an 18.30% increase from CNY 56.54 billion at the end of the previous year[14]. - The total assets of the company at the end of the reporting period were CNY 198.66 billion, representing an 8.97% increase from CNY 182.31 billion at the end of the previous year[14]. - The total liabilities stood at RMB 110.24 billion, slightly up from RMB 107.72 billion, marking an increase of about 2.0%[144]. - The company's long-term borrowings increased to RMB 31.59 billion from RMB 29.08 billion, representing a rise of about 8.6%[144]. - The company's total equity attributable to shareholders at the end of June 2021 was RMB 50,309,683,638, compared to RMB 51,185,965,026 at the beginning of the year, reflecting a decrease of approximately 1.7%[150]. Production and Operations - Gold production amounted to 22.02 tons, an increase of 8.78% year-on-year[25]. - Copper production reached 240,600 tons, reflecting a year-on-year growth of 4.30%[25]. - Zinc production increased by 23.46% to 196,400 tons during the reporting period[25]. - The group produced 555,872 tons of copper, a year-on-year increase of 6.52% compared to 521,848 tons in the same period last year[29]. - The overseas projects contributed 53.97% of the total gold production, 42.68% of copper, and 51.90% of zinc during the reporting period[37]. - The company has made significant progress in major project construction, including the commissioning of the world-class Kamoa-Kakula copper mine in the Democratic Republic of Congo[37]. Environmental and Social Responsibility - The company invested CNY 670 million in environmental ecological projects during the reporting period, with CNY 162 million specifically for ecological restoration, representing an increase of 85.6% and 200% year-on-year respectively[78]. - The company has implemented clean energy alternatives, generating 1.45 million kWh of solar power by the end of June, equivalent to a reduction of 419.55 tons of CO2 emissions and replacing 580 tons of standard coal[79]. - The company has initiated a project to train 86 local graduates in collaboration with the local government, aiming to address employment issues in the region[70]. - The company invested approximately 76 million yuan in poverty alleviation and rural revitalization efforts during the reporting period[80]. - Xinjiang Zijin Zinc Industry was recognized as a "National Advanced Collective in Poverty Alleviation," directly providing 168 jobs, accounting for about 40% of the total workforce[80]. Financial Management and Investments - The total borrowings of the group as of June 30, 2021, were ¥72.89 billion, with approximately ¥30.08 billion due within one year[47]. - The company's investment income surged by 2,054.73%, reaching ¥586.94 million compared to ¥27.24 million in the previous year[46]. - The company has committed USD 1.07 billion to the Colombia Continental Gold project, which is expected to increase annual gold production from 7.8 tons to 9.1 tons after the technical upgrade[54]. - The company has pledged shares of Zijin (Americas) Gold Mining for a total loan of USD 568 million (approximately RMB 3.706 billion) as of June 30, 2021[52]. - The company has extended shareholder loans totaling 74.43 million USD to a related company, with specific repayment deadlines set for 2023[85]. Compliance and Governance - The company has not faced any significant risks that would affect the authenticity, accuracy, and completeness of the disclosed interim report[5]. - The company has maintained compliance with all commitments made by its controlling shareholders and has not engaged in any non-operational fund occupation[82]. - The company has not faced any major litigation or arbitration matters during the reporting period[83]. - The company is implementing a global operational management system characterized by efficiency and compliance, enhancing its ESG governance framework[64]. Shareholder Information - The total number of ordinary shareholders as of the end of the reporting period is 821,018[101]. - The company has 95,980,600 restricted shares under the incentive plan, which were issued on January 28, 2021[100]. - The top ten shareholders include State Street Bank & Trust Company and BlackRock, Inc., holding 1.44% and 1.37% of the total shares, respectively[105]. - The company has implemented an equity incentive plan, resulting in significant share increases for several directors and executives during the reporting period[107]. Risk Factors - The company faces potential risks from geopolitical tensions and fluctuations in metal prices due to the ongoing global economic uncertainties[58]. - The company is focused on expanding its mining projects in Colombia and Guyana to contribute to new production increments[61].

[Company Information](index=2&type=section&id=%E5%85%AC%E5%8F%B8%E8%B5%84%E6%96%99) Zijin Mining Group Co., Ltd. is a joint-stock company listed on the Hong Kong Stock Exchange and Shanghai Stock Exchange, primarily engaged in the exploration, mining, smelting, and sales of gold, copper, zinc, and other metal mineral resources - Zijin Mining Group Co., Ltd. is a joint-stock company registered in the People's Republic of China, with shares listed on the Hong Kong Stock Exchange (stock code: **02899**) and Shanghai Stock Exchange (stock code: **601899**)[2](index=2&type=chunk)[11](index=11&type=chunk) - The company primarily engages in the exploration, mining, smelting, and sales of gold, copper, zinc, and other metal mineral resources. As of the end of 2020, the Group held **291 prospecting rights** and **236 mining rights**[15](index=15&type=chunk) [Financial Highlights](index=8&type=section&id=%E8%B4%A2%E5%8A%A1%E6%91%98%E8%A6%81) The company achieved significant financial growth in 2020, with revenue increasing by 26.01% and net profit attributable to parent company shareholders rising by 51.93%, alongside substantial growth in total assets and liabilities 2020 Key Financial Data Summary | Indicator | 2020 (RMB) | 2019 (RMB) | Year-on-Year Change | | :--- | :--- | :--- | :--- | | **Operating Revenue** | 171,501,338,490 | 136,097,978,018 | +26.01% | | **Operating Profit** | 11,239,742,530 | 7,242,074,162 | +55.20% | | **Total Profit** | 10,846,027,174 | 6,974,278,766 | +55.51% | | **Net Profit** | 8,458,038,953 | 5,060,904,684 | +67.12% | | **Net Profit Attributable to Parent Company Shareholders** | 6,508,553,913 | 4,283,957,365 | +51.93% | 2020 Year-End Key Balance Sheet Data Summary | Indicator | 2020 Year-End (Thousand RMB) | 2019 Year-End (Thousand RMB) | Year-on-Year Change | | :--- | :--- | :--- | :--- | | **Total Assets** | 182,313,250 | 123,830,947 | +47.23% | | **Total Liabilities** | 107,716,809 | 66,751,349 | +61.37% | | **Total Equity Attributable to Parent Company Shareholders** | 56,538,554 | 51,185,965 | +10.46% | [Chairman's Report](index=10&type=section&id=%E8%91%A3%E4%BA%8B%E9%95%BF%E6%8A%A5%E5%91%8A) Despite the global pandemic and economic recession in 2020, the company achieved exceptional growth in key economic indicators, significant progress in project construction, and major M&A achievements, doubling its total market capitalization - In 2020, amidst the COVID-19 pandemic and global economic recession, the company's key economic indicators grew beyond expectations, with significant achievements in project construction and major mergers and acquisitions. The company's total market capitalization doubled from **RMB 114.8 billion** at the end of 2019 to **RMB 224.9 billion** at the end of 2020[20](index=20&type=chunk) - The company's resource reserves significantly increased, with gold exceeding **2,300 tons** and copper exceeding **62 million tons**, laying a solid foundation for sustainable development. Newly acquired Buriticá Gold Mine in Colombia and Aurora Gold Mine in Guyana generated profits in the same year, and the acquisition of Tibet Julong Copper was successfully completed[21](index=21&type=chunk) - The company established a five-year (2+3) plan and 2030 development goals, aiming to become a large-scale, high-tech, and efficient international mining group. In 2021, the focus will be on promoting reforms, accelerating the conversion of resource advantages, increasing resource ownership, leveraging capital markets, and adhering to technological innovation[22](index=22&type=chunk) [Business Overview](index=13&type=section&id=%E4%B8%9A%E5%8A%A1%E6%A6%82%E5%86%B5) The company is a large multinational mining group with operations across 12 countries and 14 provinces in China, primarily engaged in the exploration and development of gold, copper, and other mineral resources [Global Presence and Industry Position](index=15&type=section&id=%E4%B8%9A%E5%8A%A1%E6%A6%82%E5%86%B5-%E5%85%A8%E7%90%83%E5%B8%83%E5%B1%80%E4%B8%8E%E8%A1%8C%E4%B8%9A%E5%9C%B0%E4%BD%8D) The company is a large multinational mining group with operations across 12 countries and 14 provinces in China, primarily engaged in the exploration and development of gold, copper, and other mineral resources, holding a leading position in overseas copper and gold reserves and production among Chinese enterprises - The company holds significant mining investment projects in **12 countries globally** and **14 provinces (regions) in China**, ranking among the largest and most profitable Chinese enterprises in terms of controlled overseas copper and gold resource reserves and mineral product output[43](index=43&type=chunk) - The company holds a prominent position in the industry, ranking **3rd among global gold companies** and **7th in the non-ferrous metal mining industry** in Forbes Global 2000 in 2020[44](index=44&type=chunk) [Core Competencies](index=18&type=section&id=%E4%B8%9A%E5%8A%A1%E6%A6%82%E5%86%B5-%E6%A0%B8%E5%BF%83%E7%AB%9E%E4%BA%89%E5%8A%9B) The company's core competence lies in innovation, having pioneered the "Ore Flow Five-in-One" mining engineering management model, achieving significant resource discoveries and breakthroughs in developing low-grade, refractory resources - The company created the "Ore Flow Five-in-One" mining engineering management model, integrating geological exploration, mining, mineral processing, metallurgy, and environmental protection for comprehensive research and full-process control to maximize economic and social benefits[57](index=57&type=chunk) - Autonomous exploration has yielded fruitful results, with cumulative new discoveries of **27.88 million tons of copper**, **1,207 tons of gold**, and **8.11 million tons of zinc (lead)**. Notably, the newly discovered Kamoa-Kakula copper mine in Congo (DRC) boasts over **18 million tons of copper resources**[59](index=59&type=chunk) - The company possesses leading technology in processing low-grade and refractory resources, having built China's largest gold mine, the world's first ten-million-ton-level copper bio-metallurgy system, and China's first gold mine pressure pre-oxidation plant, among other industry benchmarks[64](index=64&type=chunk) [Five-Year (2+3) Plan and 2030 Development Goals](index=20&type=section&id=%E4%B8%9A%E5%8A%A1%E6%A6%82%E5%86%B5-%E4%BA%94%E5%B9%B4%EF%BC%882%2B3%EF%BC%89%E8%A7%84%E5%88%92%E5%92%8C2030%E5%B9%B4%E5%B1%95%E7%9B%AE%E6%A0%87) The company has formulated a "three-step" development plan for the next decade, aiming to become a large-scale, high-tech, and efficient international mining group by 2030, with specific production targets for each phase - The company plans to achieve its 2030 development goals in three phases: - **Phase 1 (2021-2022):** Achieve leapfrog growth in output and economic indicators, and initially establish a globalized operation and management system - **Phase 2 (2023-2025):** Comprehensively develop resources, intensify M&A and exploration, and largely reach the level of a world-class metal mining company - **Phase 3 (2026-2030):** Fully establish a large-scale, high-tech, and efficient international mining group, striving to enter the **top 3-5 globally** in comprehensive indicators[66](index=66&type=chunk)[67](index=67&type=chunk) Major Mineral Product Output Plan | Product | 2020 Actual | 2021 Plan | 2022 Plan | 2025 Plan | | :--- | :--- | :--- | :--- | :--- | | **Mined Gold (tons)** | 40.5 | 53-56 | 67-72 | 80-90 | | **Mined Copper (10,000 tons)** | 45.3 | 54-58 | 80-85 | 100-110 | | **Mined Zinc (Lead) (10,000 tons)** | 37.8 | 45-48 | 47-50 | - | | **Iron Concentrate (10,000 tons)** | 387 | 350-380 | 290-330 | - | [Key Growth Projects](index=21&type=section&id=%E4%B8%9A%E5%8A%A1%E6%A6%82%E5%86%B5-%E9%87%8D%E7%82%B9%E5%A2%9E%E9%87%8F%E9%A1%B9%E7%9B%AE) The company is advancing several world-class key growth projects across China, Colombia, Serbia, and Congo (DRC), covering core minerals like gold and copper, with most projects under construction or technical upgrade, expected to contribute significant benefits upon commissioning Key Project Overview | Project Name | Location | Mineral Type | Status | Highlights | | :--- | :--- | :--- | :--- | :--- | | **Buriticá Gold Mine, Colombia** | Colombia | Gold, Silver | In Production + Expansion | World-class ultra-high-grade large gold mine, commenced production in 2020, annual gold output to reach **9.1 tons** after technical upgrade | | **Timok Copper-Gold Mine, Serbia** | Serbia | Copper, Gold | Under Construction | Super-large copper-gold mine, upper zone expected to commence production in June 2021, peak annual output of **135,000 tons of copper** and **6.1 tons of gold** | | **Kamoa-Kakula Copper Mine, Congo (DRC)** | Congo (DRC) | Copper | Under Construction | World's fourth-largest undeveloped high-grade copper mine, Phase I expected to commence production by end of Q2 2021, annual copper output up to **400,000 tons** | | **Tibet Julong Copper** | China Tibet | Copper | In Production + Under Construction | China's largest proven porphyry copper deposit, Phase I planned to commence production by end of 2021, annual copper output approximately **160,000 tons**[73](index=73&type=chunk)[76](index=76&type=chunk)[82](index=82&type=chunk)[84](index=84&type=chunk) [Profiles of Directors, Supervisors, and Senior Management](index=26&type=section&id=%E8%91%A3%E4%BA%8B%E3%80%81%E7%9B%91%E4%BA%8B%E3%80%81%E9%AB%98%E7%BA%A7%E4%BA%BA%E5%91%98%E7%AE%80%E4%BB%8B) The company's core leadership comprises experienced industry experts, including Chairman Chen Jinghe, who is renowned in geological exploration and mining engineering management, supported by a team with extensive professional knowledge in various fields - The company's core leadership consists of experienced industry experts. Chairman Mr. Chen Jinghe is the company's founder and core leader, highly regarded in geological exploration and mining engineering management. Other directors, supervisors, and senior management possess extensive professional knowledge and practical experience in corporate management, geology, mineral processing, metallurgy, finance, and law[86](index=86&type=chunk)[87](index=87&type=chunk)[88](index=88&type=chunk) [Management Discussion and Analysis](index=33&type=section&id=%E7%AE%A1%E7%90%86%E5%B1%82%E8%AE%A8%E8%AE%BA%E4%B8%8E%E5%88%86%E6%9E%90) This section provides an in-depth analysis of the company's business operations, financial performance, investment activities, and future outlook, highlighting key achievements and identified risks [Company Business Overview](index=33&type=section&id=%E7%AE%A1%E7%90%86%E5%B1%82%E8%AE%A8%E8%AE%BA%E4%B8%8E%E5%88%86%E6%9E%90-%E5%85%AC%E5%8F%B8%E4%B8%9A%E5%8A%A1%E6%A6%82%E8%A6%81) The company engages in global mining exploration and development, with a business model covering resource exploration, M&A, mine design, construction, operation, and management, extending to smelting and mineral trade, holding a prominent position as one of China's largest producers of gold, copper, and zinc - The company's business model core is mining development, adhering to a dual strategy of independent exploration and resource M&A, and pioneering the "Ore Flow Five-in-One" mining engineering management model to achieve full-process control over geological exploration, mining, mineral processing, metallurgy, and environmental protection[96](index=96&type=chunk) - The company is one of China's largest producers of mined gold, copper, and zinc, holding a significant position in domestic resource reserves and output. In 2020, the company's copper resource reserves accounted for approximately **52.56%** of China's total, and mined copper output accounted for **27.10%** of the domestic total[99](index=99&type=chunk)[100](index=100&type=chunk)[101](index=101&type=chunk) - The company's core competencies include: sound corporate governance and institutional advantages, robust resource base, continuously growing production capacity, strong technological innovation, leading low-cost operations, and an excellent team and corporate culture[105](index=105&type=chunk)[106](index=106&type=chunk)[107](index=107&type=chunk)[108](index=108&type=chunk)[109](index=109&type=chunk)[110](index=110&type=chunk) [Discussion and Analysis of Operations](index=36&type=section&id=%E7%AE%A1%E7%90%86%E5%B1%82%E8%AE%A8%E8%AE%BA%E4%B8%8E%E5%88%86%E6%9E%90-%E7%BB%8F%E8%90%A5%E6%83%85%E5%86%B5%E8%AE%A8%E8%AE%BA%E4%B8%8E%E5%88%86%E6%9E%90) In 2020, despite pandemic challenges, the company achieved high-speed growth in performance, with sales revenue reaching RMB 171.501 billion (+26.01%) and net profit attributable to parent company RMB 6.509 billion (+51.93%), driven by stable increases in major product output and significant resource reserve enhancements from M&A and project construction 2020 Major Mineral Product Output | Product | Output | Year-on-Year Change | | :--- | :--- | :--- | | **Mined Gold** | 40,509 kilograms | -0.79% | | **Mined Copper** | 453,447 tons | +22.60% | | **Mined Zinc (Zinc in Concentrate)** | 342,131 tons | -8.54% | | **Mined Lead (Lead in Concentrate)** | 36,072 tons | +5.30% | | **Mined Silver** | 298,715 kilograms | +13.50% | | **Iron Concentrate** | 3.87 million tons | +9.63% | 2020 Resource Reserves (by Equity) | Mineral | Unit | 2020 Year-End | 2019 Year-End | Growth Rate (%) | | :--- | :--- | :--- | :--- | :--- | | **Gold Ore** | Metal tons | 2,333.64 | 1,886.87 | 23.68 | | **Copper Ore** | Metal 10,000 tons | 6,205.58 | 5,725.42 | 8.39 | | **Zinc Ore** | Metal 10,000 tons | 1,032.70 | 855.83 | 20.67 | | **Silver Ore** | Metal tons | 2,923.55 | 1,860.64 | 57.13 | - Through successful acquisitions of Buriticá Gold Mine, Guyana Aurora Gold Mine, and Julong Copper Mine, the company added **385.53 tons of gold**, **5.3684 million tons of copper**, and **867.44 tons of silver** in resource reserves by equity, providing a solid resource guarantee for future growth[124](index=124&type=chunk) - The company's overseas business experienced rapid growth, with overseas mineral product output, mining assets, and profits approaching or exceeding half of the company's total. In the reporting period, overseas mined gold, copper, and zinc output accounted for **58%**, **44%**, and **50%** of the company's total, respectively[129](index=129&type=chunk) [Analysis of Main Business](index=43&type=section&id=%E7%AE%A1%E7%90%86%E5%B1%82%E8%AE%A8%E8%AE%BA%E4%B8%8E%E5%88%86%E6%9E%90-%E4%B8%BB%E8%90%A5%E4%B8%9A%E5%8A%A1%E5%88%86%E6%9E%90) During the reporting period, rising mineral product prices combined with increased sales volume significantly boosted gross profit, with a comprehensive gross margin of 47.71%, while effective cost control was maintained despite an increase in financial expenses Unit Sales Cost and Gross Margin by Product | Product Name | 2020 Unit Sales Cost | 2020 Gross Margin (%) | 2019 Gross Margin (%) | | :--- | :--- | :--- | :--- | | **Mined Gold** | 177.38 RMB/gram | 51.40 | 41.82 | | **Mined Copper** | 20,095 RMB/ton | 46.15 | 41.42 | | **Mined Zinc** | 6,570 RMB/ton | 31.71 | 37.99 | | **Mined Silver** | 1.45 RMB/gram | 54.19 | 42.71 | | **Iron Concentrate** | 174.91 RMB/ton | 71.97 | 68.99 | - The increase in mineral product gross margin was primarily due to the year-on-year rise in mineral product sales prices (contributing **RMB 3.076 billion** to gross profit growth) and effective cost control (contributing **RMB 454 million** to gross profit growth)[135](index=135&type=chunk) - Net cash inflow from operating activities was **RMB 14.268 billion**, a year-on-year increase of **RMB 3.603 billion**, mainly due to higher gross profit from rising gold and copper prices and increased sales volume[156](index=156&type=chunk) [Analysis of Investment Status](index=58&type=section&id=%E7%AE%A1%E7%90%86%E5%B1%82%E8%AE%A8%E8%AE%BA%E4%B8%8E%E5%88%86%E6%9E%90-%E6%8A%95%E8%B5%84%E7%8A%B6%E5%86%B5%E5%88%86%E6%9E%90) The company in 2020 completed two significant equity investments, acquiring Guyana Goldfields and a majority stake in Tibet Julong Copper, substantially increasing gold and copper reserves, while also progressing major non-equity projects to lay the foundation for future capacity release - Acquired **100% equity in Guyana Goldfields** for approximately **CAD 323 million** in cash, whose Aurora Gold Mine is an operating mine that can rapidly increase the company's gold output[174](index=174&type=chunk) - Acquired **50.1% equity in Tibet Julong Copper** for **RMB 3.883 billion** in cash, a company that owns China's largest porphyry copper deposit, the Qulong Copper Mine[174](index=174&type=chunk) Progress of Major Non-Equity Investment Projects | Project Name | Project Amount | Investment in Reporting Period (RMB 100 million) | Cumulative Investment (RMB 100 million) | Progress and Benefits | | :--- | :--- | :--- | :--- | :--- | | **Zijin Bor Copper Technical Upgrade, Serbia** | 1.294 billion USD | 35.11 | 44.78 | Upon completion, annual copper output will be **120,000 tons**, and smelting copper output **180,000 tons** | | **Julong Copper** | 14.6 billion RMB | 23.55 | 96.24 | Qulong Phase I project expected to commence production by end of 2021, with average annual copper output of approximately **160,000 tons** | | **Xinjiang Zijin Nonferrous Zinc Smelting** | 1.497 billion RMB | 6.60 | 15.29 | Qualified zinc ingots produced in December 2020, planned annual output of **100,000 tons** | [Future Development and Risks](index=61&type=section&id=%E7%AE%A1%E7%90%86%E5%B1%82%E8%AE%A8%E8%AE%BA%E4%B8%8E%E5%88%86%E6%9E%90-%E6%9C%AA%E6%9D%A5%E5%8F%91%E5%B1%95%E4%B8%8E%E9%A3%8E%E9%99%A9) The company plans a "three-step" strategy for the next decade, focusing on globalization, large-scale projects, and asset securitization, prioritizing gold and copper businesses to become a global leading mining group, while actively managing identified risks such as metal price volatility and cross-cultural management 2021 Major Mineral Product Output Plan | Product | 2021 Planned Output | | :--- | :--- | | **Mined Gold** | 53-56 tons | | **Mined Copper** | 54-58 10,000 tons | | **Mined Zinc (Lead)** | 45-48 10,000 tons | | **Mined Silver** | 240-300 tons | | **Iron Concentrate** | 350-380 10,000 tons | - The company faces major risks including: - **Metal Price Risk**: Operating performance is highly correlated with fluctuations in gold, copper, and other metal prices - **Safety and Environmental Risk**: Potential for safety and environmental accidents and natural disasters during mining production - **Cross-Cultural Management Risk**: Overseas projects face geopolitical, policy, regulatory, and community risks - **Financial Market Risk**: Changes in interest rates, exchange rates, and stock prices may lead to operational pressure - **International Rules and Standards Application Risk**: Changes in international rules and standards may affect production and operations[203](index=203&type=chunk) [Board of Directors' Report](index=68&type=section&id=%E8%91%A3%E4%BA%8B%E4%BC%9A%E6%8A%A5%E5%91%8A) The Board of Directors proposed a 2020 profit distribution plan, approved a restricted stock incentive plan, and successfully issued convertible bonds to support the company's global development - The Board of Directors proposed a 2020 profit distribution plan of **RMB 1.2 per 10 shares** (tax inclusive) in cash dividends, with an estimated total dividend of approximately **RMB 3.057 billion**, accounting for **46.97%** of net profit attributable to parent company shareholders[206](index=206&type=chunk)[208](index=208&type=chunk) - The company commenced a restricted stock incentive plan in November 2020, proposing to grant no more than **100 million A-shares**. The initial grant of **95.9806 million shares** to **686 incentive recipients** was completed in January 2021[211](index=211&type=chunk) - The company successfully issued **RMB 6 billion** A-share convertible corporate bonds ("Zijin Convertible Bonds") on November 3, 2020, with a conversion price of **RMB 7.01 per share**, providing financial support for the company's global development[216](index=216&type=chunk) [Independent Directors' Report](index=93&type=section&id=%E7%8B%AC%E7%AB%8B%E8%91%A3%E4%BA%8B%E6%8A%A5%E5%91%8A) The company's Board of Directors includes a significant proportion of independent directors with diverse expertise, who actively participate in governance and provide objective opinions on major matters, safeguarding the interests of the company and minority shareholders - The company's Seventh Board of Directors comprises **13 directors**, including **6 independent directors**, accounting for nearly half, which complies with governance requirements. Independent directors possess extensive professional knowledge in mining, finance, accounting, and law[275](index=275&type=chunk) - Independent directors actively participated in the Board and various special committees, providing objective and fair independent opinions on significant matters such as related party transactions, external guarantees, use of raised funds, and equity incentive plans, effectively safeguarding the interests of the company and minority shareholders[274](index=274&type=chunk)[282](index=282&type=chunk)[283](index=283&type=chunk)[284](index=284&type=chunk) [Supervisory Board Report](index=97&type=section&id=%E7%9B%91%E4%BA%8B%E4%BC%9A%E6%8A%A5%E5%91%8A) In 2020, the Supervisory Board held nine meetings, reviewed 28 proposals, and oversaw the company's legal operations, financial status, major M&A, and related party transactions, ensuring compliance and safeguarding shareholder interests - In 2020, the Supervisory Board held **9 meetings**, reviewed **28 proposals**, and attended Board and relevant meetings, supervising the company's lawful operations, financial status, major M&A, and related party transactions[293](index=293&type=chunk) - The Supervisory Board believes that the company's decision-making procedures are legal and compliant, financial reports are true and fair, and internal control systems are sound, with no instances of directors or senior management harming the interests of the company or shareholders found[297](index=297&type=chunk) - The Supervisory Board continuously improved the "Five-in-One" supervision mechanism (Supervisory Board, Discipline Inspection Commission, Supervision, Audit, Internal Control), strengthened oversight of key areas such as infrastructure projects and material procurement, and promoted anti-corruption efforts to foster a clean and upright development environment[295](index=295&type=chunk) [Work on Actively Fulfilling Social Responsibilities](index=104&type=section&id=%E7%A7%AF%E6%9E%81%E5%B1%A5%E8%A1%8C%E7%A4%BE%E4%BC%9A%E8%B4%A3%E4%BB%BB%E7%9A%84%E5%B7%A5%E4%BD%9C%E6%83%85%E5%86%B5) The company actively fulfills its social responsibilities by establishing an ESG governance system, responding to the pandemic, prioritizing occupational health and safety, investing in environmental protection, and engaging in community development and targeted poverty alleviation [ESG Key Performance Construction](index=104&type=section&id=%E7%A7%AF%E6%9E%81%E5%B1%A5%E8%A1%8C%E7%A4%BE%E4%BC%9A%E8%B4%A3%E4%BB%BB%E7%9A%84%E5%B7%A5%E4%BD%9C%E6%83%85%E5%86%B5-ESG%E5%85%B3%E9%94%AE%E7%BB%A9%E6%95%88%E5%BB%BA%E8%AE%BE) The company established a top-down ESG governance system and issued eight policy statements, actively responding to the COVID-19 pandemic, strengthening occupational health and safety, investing in environmental protection, and promoting community development - The company established a top-down ESG governance system by the Board of Directors and issued **8 policy statements** covering ecological environmental protection, human resources, health and safety, business ethics, supply chain, whistleblowing management, water resources, and human rights protection[306](index=306&type=chunk) - Actively participated in the global fight against the pandemic, donating approximately **RMB 30 million** in funds and supplies, and co-building a "Huoyan" virus testing laboratory in Serbia[307](index=307&type=chunk) 2020 Water Resource Utilization Data | Indicator | Data | | :--- | :--- | | **Total Water Consumption** | 693.5447 million tons | | **New Water Usage** | 49.8149 million tons | | **Total Wastewater Discharge** | 41.9274 million tons | | **Water Recycling Rate** | 92.82% | [Targeted Poverty Alleviation Work](index=108&type=section&id=%E7%A7%AF%E6%9E%81%E5%B1%A5%E8%A1%8C%E7%A4%BE%E4%BC%9A%E8%B4%A3%E4%BB%BB%E7%9A%84%E5%B7%A5%E4%BD%9C%E6%83%85%E5%86%B5-%E7%B2%BE%E5%87%86%E6%89%B6%E8%B4%AB%E5%B7%A5%E4%BD%9C) The company actively responded to national calls by continuously promoting rural revitalization in poverty-stricken areas surrounding mining sites, investing approximately RMB 120 million in 2020 through various initiatives to improve local living and production conditions 2020 Targeted Poverty Alleviation Achievements Summary | Indicator | Quantity and Situation | | :--- | :--- | | **Funds Invested** | 117.9003 million RMB | | **Number of Registered Poor People Lifted Out of Poverty** | 722 persons | | **Investment in Industrial Poverty Alleviation Projects** | 3.145 million RMB | | **Investment in Ecological Protection Poverty Alleviation** | 20.15 million RMB | | **Investment in Education for Poverty Alleviation** | 3.1475 million RMB | - The company's subsidiary, Xinjiang Zijin Zinc Industry Co., Ltd., was awarded "National Advanced Collective for Poverty Alleviation" in 2020 for its outstanding contributions to the "One Hundred Enterprises Helping One Hundred Villages" initiative[314](index=314&type=chunk)[323](index=323&type=chunk) [Corporate Governance Report](index=122&type=section&id=%E4%BC%81%E4%B8%9A%E7%AE%A1%E6%B2%BB%E6%8A%A5%E5%91%8A) The company is committed to high-level corporate governance, largely complying with the Hong Kong Corporate Governance Code, with a diverse Board of Directors and effective committees overseeing internal control and risk management - The company is committed to maintaining a high level of corporate governance and largely complied with the provisions of the Hong Kong "Corporate Governance Code" during the reporting period. The Board of Directors consists of **13 directors**, including **6 independent non-executive directors**, ensuring a diversified composition that meets regulatory requirements[349](index=349&type=chunk)[351](index=351&type=chunk) - The Board of Directors has established a Strategy and Sustainable Development (ESG) Committee, an Executive and Investment Committee, an Audit and Internal Control Committee, and a Nomination and Remuneration Committee, all of which effectively fulfilled their duties during the reporting period, supporting the Board's scientific decision-making[358](index=358&type=chunk) - The company has established a sound internal control and risk management system, with the Board of Directors, Supervisory Board, and management jointly responsible for the establishment, implementation, and supervision of internal controls, ensuring legal and compliant operations, asset security, and true and complete financial reporting[394](index=394&type=chunk)[395](index=395&type=chunk) [Audit Report](index=135&type=section&id=%E5%AE%A1%E8%AE%A1%E6%8A%A5%E5%91%8A) Ernst & Young Hua Ming LLP issued an unqualified audit opinion on the company's 2020 financial statements, affirming their fair presentation in accordance with accounting standards, while highlighting non-current asset impairment and business combinations as key audit matters - Ernst & Young Hua Ming LLP issued a standard unqualified audit opinion on the company's 2020 financial statements, stating that the financial statements were prepared in all material respects in accordance with enterprise accounting standards, fairly reflecting the company's financial position, operating results, and cash flows[401](index=401&type=chunk) - The audit report identified two key audit matters: - **Impairment of Non-current Assets**: Involving the impairment assessment of fixed assets, construction in progress, intangible assets, and goodwill, due to their material amounts and the significant management estimates involved in their calculation - **Business Combinations Not Under Common Control**: Involving the acquisitions of Continental Gold, Julong Copper, and Guyana Goldfields, due to their material amounts and the complex valuation techniques required to determine the fair value of identifiable assets and liabilities[405](index=405&type=chunk)[407](index=407&type=chunk) [Financial Statements](index=138&type=section&id=%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8) This section presents the company's consolidated financial statements, including the income statement, balance sheet, and cash flow statement, providing a detailed overview of its financial performance and position for the reporting period [Consolidated Income Statement](index=141&type=section&id=%E5%90%88%E5%B9%B6%E5%88%A9%E6%B6%A6%E8%A1%A8) In 2020, the company's operating revenue grew by 26.01% to RMB 171.501 billion, with operating profit increasing by 55.2% to RMB 11.240 billion, resulting in a net profit attributable to parent company shareholders of RMB 6.509 billion, up 51.93% 2020 Consolidated Income Statement Summary | Item | 2020 (RMB) | 2019 (RMB) | | :--- | :--- | :--- | | **Operating Revenue** | 171,501,338,490 | 136,097,978,018 | | **Operating Cost** | 151,070,863,441 | 120,582,627,749 | | **Operating Profit** | 11,239,742,530 | 7,242,074,162 | | **Total Profit** | 10,846,027,174 | 6,974,278,766 | | **Net Profit** | 8,458,038,953 | 5,060,904,684 | | **Net Profit Attributable to Parent Company Shareholders** | 6,508,553,913 | 4,283,957,365 | | **Basic Earnings Per Share** | 0.25 | 0.18 | [Consolidated Balance Sheet](index=138&type=section&id=%E5%90%88%E5%B9%B6%E8%B5%84%E4%BA%A7%E8%B4%9F%E5%80%BA%E8%A1%A8) As of year-end 2020, total assets increased by 47.23% to RMB 182.313 billion, driven by significant M&A and project investments, while total liabilities rose by 61.37% to RMB 107.717 billion, and total equity attributable to parent company shareholders grew by 10.46% to RMB 56.539 billion 2020 Year-End Consolidated Balance Sheet Summary | Item | December 31, 2020 (RMB) | December 31, 2019 (RMB) | | :--- | :--- | :--- | | **Total Current Assets** | 39,262,403,933 | 28,594,396,116 | | **Total Non-current Assets** | 143,050,846,470 | 95,236,551,103 | | **Total Assets** | **182,313,250,403** | **123,830,947,219** | | **Total Current Liabilities** | 47,035,701,043 | 33,362,656,029 | | **Total Non-current Liabilities** | 60,681,107,884 | 33,388,693,126 | | **Total Liabilities** | **107,716,808,927** | **66,751,349,155** | | **Total Equity Attributable to Parent Company Shareholders** | 56,538,554,204 | 51,185,965,026 | | **Total Shareholders' Equity** | **74,596,441,476** | **57,079,598,064** | [Consolidated Cash Flow Statement](index=145&type=section&id=%E5%90%88%E5%B9%B6%E7%8E%B0%E9%87%91%E6%B5%81%E8%A1%A8) In 2020, net cash inflow from operating activities increased by 33.78% to RMB 14.268 billion, while net cash outflow from investing activities significantly rose to RMB 29.174 billion due to major M&A and capital expenditures, with net cash inflow from financing activities at RMB 20.928 billion 2020 Consolidated Cash Flow Statement Summary | Item | 2020 (RMB) | 2019 (RMB) | | :--- | :--- | :--- | | **Net Cash Flow from Operating Activities** | 14,268,403,423 | 10,665,557,013 | | **Net Cash Flow from Investing Activities** | (29,174,439,163) | (14,102,830,060) | | **Net Cash Flow from Financing Activities** | 20,928,195,130 | (325,810,301) | | **Net Increase in Cash and Cash Equivalents** | 5,701,094,790 | (3,847,246,701) | | **Cash and Cash Equivalents at Year-End** | 11,786,686,240 | 6,085,591,450 |

Financial Performance - Net profit attributable to shareholders rose by 157.58% to CNY 3.42 billion, with a net profit margin of 7.18%[5] - Operating revenue grew by 31.36% to CNY 47.50 billion, driven by increased production and sales of major mineral products[5] - Basic earnings per share reached CNY 0.099, reflecting a 141.46% increase year-on-year[6] - The company's comprehensive gross profit margin for mining products increased to 57.25%, up from 44.67% in the same period last year[11] - The gross profit margin for gold ingots decreased to 48.74% in 2021 from 49.80% in 2020, while the gross profit margin for copper concentrate increased to 63.74% from 45.28%[12] - The company reported a significant increase in minority shareholders' profit by 216.22% to CNY 905.66 million in Q1 2021 from CNY 286.41 million in Q1 2020[19] - The company’s total comprehensive income for Q1 2021 was ¥2.84 billion, compared to a loss of ¥1.16 billion in Q1 2020[32] Cash Flow and Liquidity - Cash flow from operating activities surged by 125.63% to CNY 5.25 billion, indicating improved liquidity[5] - Cash and cash equivalents increased by 31.93% to CNY 15.77 billion at the end of the period from CNY 11.96 billion at the beginning[17] - The net cash flow from operating activities for Q1 2021 was ¥5,248,175,316, an increase of ¥2,922,142,161 or 125.63% compared to Q1 2020[22] - The company reported a net cash increase of CNY 3,471,516,728 in Q1 2021, compared to CNY 1,601,124,906 in Q1 2020, which is an increase of approximately 117%[39] - The total cash inflow from operating, investing, and financing activities resulted in a net increase in cash and cash equivalents of CNY 1,872,821,780 for the quarter[41] Assets and Liabilities - Total assets increased by 4.42% to CNY 190.38 billion compared to the end of the previous year[5] - Current liabilities rose to CNY 50.21 billion, compared to CNY 47.04 billion, marking an increase of about 4.6%[27] - Total liabilities increased to CNY 110.96 billion from CNY 107.72 billion, reflecting a growth of approximately 2.1%[28] - The company's equity attributable to shareholders rose to CNY 59.06 billion from CNY 56.54 billion, an increase of about 4.4%[28] - Non-current assets totaled CNY 62.00 billion, slightly down from CNY 62.58 billion, a decrease of approximately 0.9%[29] Expenses - Sales expenses decreased by 23.22% to CNY 117.07 million in Q1 2021 from CNY 152.47 million in Q1 2020[14] - Management expenses, including R&D, increased by 34.85% to CNY 1.40 billion in Q1 2021 from CNY 1.04 billion in Q1 2020, primarily due to new acquisitions[15] - Financial expenses rose by 6.73% to CNY 432.75 million in Q1 2021 from CNY 405.46 million in Q1 2020, mainly due to a decrease in foreign exchange gains[16] - Tax expenses increased by 93.22% to CNY 934.11 million in Q1 2021 from CNY 483.45 million in Q1 2020, reflecting improved profitability[19] Production and Operations - Gold production increased to 11,178 kg in 2021 from 10,551 kg in 2020, while copper production rose to 126,802 tons from 114,852 tons[12] - The company is progressing well with key projects, including the Timok copper-gold project in Serbia, expected to be operational by June 2021[24] - The company signed a binding framework agreement with the Papua New Guinea government regarding the Porgera project, aiming to resume operations in 2021[24] Shareholder Information - The number of shareholders reached 830,901, indicating a broadening of the shareholder base[7] - The company granted 95,980,600 restricted shares at a price of ¥4.95 per share to 686 individuals as part of its incentive plan[24]