Production and Financial Performance - MMG achieved a 15% year-on-year increase in copper production and an 8% increase in zinc production in 2024[10]. - Net profit for 2024 increased to 366million,upfrom122.1 million in 2023, representing a significant growth[19]. - EBITDA reached 2,048.7million,a40125.9 million EBITDA from Khoemacau[19]. - Copper production increased by 15% year-on-year to 399,758 tons, with Las Bambas exceeding its annual guidance[20]. - Zinc production grew by 8% year-on-year to 219,901 tons, reflecting operational improvements at Dugald River and Rosebery[20]. - The company reported a significant increase in mineral resources, with a net increase of 2.6 million tons of copper and 1.4 million tons of zinc[12]. - The total mineral resource increased by 2.6 million tons of copper and 1.4 million tons of zinc, marking the most significant organic growth since the company's establishment in 2009[20]. - The company reported a total revenue of 2,977.6millionfromLasBambas,processing51,586,909tonsofore[92].−ThetotalproductionofcopperconcentrateatLasBambaswas322,912tons[92].−ForthefiscalyearendingDecember31,2024,thecompany′srevenueincreasedby34,479.2 million compared to 4,346.5millionin2023[75].−EBITDAforthesameperiodroseby402,048.7 million, up from 1,461.9millioninthepreviousyear[80].AcquisitionsandInvestments−ThecompanysignedanagreementtoacquireanickelbusinessinBrazilfromAngloAmerican,enhancingitsglobalresourceportfolio[13].−MMGcompletedtheacquisitionofKhoemacaumineonMarch22,2024,foratotalconsiderationofapproximately1,734.7 million[139]. - MMG announced an agreement to acquire 100% of a Brazilian nickel company for up to 500million,markingitsfirstinvestmentinBrazil[141].−TherightsissueonJune4,2024,resultedintheallocationof3,465,432,486shares,raisingatotalof1,152.4 million after costs, with a subscription price of HK2.62pershare[142].−Therightsissuewasoversubscribedbyapproximately2.8times,indicatingstronginvestorinterest[142].SafetyandGovernance−MMG′sboardemphasizestheimportanceofsafety,costmanagement,andgovernancetosupportsustainablegrowth[13].−Thecompany’scommitmenttosafetyandhealthimprovementsremainsatoppriorityforitsoperations[7].−Thetotalrecordableinjuryfrequency(TRIF)was2.06permillionhoursworked,withasignificantimprovementinsafetyperformance[18].ResourceManagementandExploration−Thecompanyisfocusingonexpandingitsminingoperationsandenhancingresourceextractionefficiency[34].−Thecompanyplanstocontinueexploringnewtechnologiestoimproveminingprocessesandreducecosts[34].−TheinferredresourcesintheKhoemacauareaincreasedfrom370milliontonsin2023to450milliontonsin2024,reflectingasignificantgrowthinmineralreserves[39].−ThetotalestimatedlossfromillegalminingattheLasBambasSulfobambadepositreached74thousandtonsofcopperoverthepast12months[56].−Thecompanyhasaqualifiedteamoverseeingmineralresourcesandreserves,ensuringcompliancewithindustrystandards[54].FinancialPositionandDebtManagement−Thecompanyachieveditslowestdebt−to−equityratioandthestrongestbalancesheetinadecadebyimplementingvariousstrategicmeasures[19].−Thedebt−to−equityratioimprovedto0.41in2024from0.50in2023,indicatingastrongerfinancialposition[137].−Availablebutundrawndebtfinancingdecreasedto2,950 million as of December 31, 2024, down from 4,325millionin2023[138].−Asofthereportdate,thecompanyhasutilized611 million for the repayment of short-term Khoemacau acquisition financing[145]. - The remaining proceeds from the rights issue will be used for various debt repayments, enhancing financial flexibility for ongoing operations and capital expenditures[145]. Market Conditions and Price Assumptions - The average prices for copper, zinc, gold, and silver increased in 2024, while lead, molybdenum, and cobalt prices decreased[85]. - The price assumptions for copper, zinc, lead, gold, silver, molybdenum, and cobalt have been adjusted based on inflation and market forecasts, with copper priced at 4.08perpoundfororereservesand4.90 for mineral resources[61]. - A 10% increase in copper prices is expected to result in a profit increase of 9.3millionfor2024,whilea10(8.8) million[171]. Operational Efficiency and Cost Management - The company continues to focus on creating value from operations and exploring diversification opportunities around existing regions and commodities[25]. - Operating expenses decreased by 514.9million(182,299.2 million, primarily due to reduced inventory costs at Las Bambas[89]. - C1 costs for 2024 were 1.51perpound,adecreasefrom1.60 per pound in 2023, driven by increased copper production and reduced cash production costs[98]. - The C1 cost for zinc at Dugald River decreased to 0.65perpoundin2024from0.93 per pound in 2023, attributed to increased zinc production, lower processing costs, and higher by-product revenues[125]. Community Engagement and Environmental Responsibility - Kinsevere established new agreements for water monitoring, environmental audits, and other services to ensure operational stability and social responsibility[150]. - Dugald River made significant progress in supply chain management and operational efficiency, focusing on renewable energy applications and local community procurement[153]. - Rosebery signed a three-year power supply agreement with a local supplier and successfully operated hybrid loaders to reduce carbon footprint[154]. Employee Engagement and Corporate Culture - Employee satisfaction is on the rise, with a majority committed to the company's success, reflecting a strong corporate culture[22]. - As of December 31, 2024, the company employed 5,195 full-time employees, with total employee benefits expenses amounting to $434.4 million, reflecting growth due to the acquisition of Khoemacau[156].
