Resource and Production - As of December 31, 2020, the total resource amount for the four nickel-copper mines is estimated at 97,630,708 tons, with a total metal content of 484,587 tons of copper and 477,723 tons of nickel[10]. - The reserves for the Kalatongke nickel-copper mine are estimated at 19,437,837 tons, with a copper grade of 1.0% and a nickel grade of 0.60%, yielding 195,053 tons of copper and 117,577 tons of nickel[10]. - The company holds a 51% stake in the Xianghe Street and Mujiahe vanadium mines, which have a total resource amount of 26,569,500 tons and a total vanadium pentoxide content of 242,315 tons as of December 31, 2020[11]. - The company is the second-largest producer of electrolytic nickel in China, primarily engaged in the mining, selection, smelting, refining, and sales of nickel, copper, and other non-ferrous metals[8]. - The company acquired 100% ownership of the Kalatongke, Huangshandong, Huangshan, and Xiangshan nickel-copper mines, with the latter three acquired in 2009[8]. - The company produced 11,819 tons of electrolytic nickel in 2020, a growth of 6.65% from 2019[23]. - The company produced 11,001 tons of cathode copper in 2020, an increase of 27.9% from 2019[23]. - The company produced 795,765 tons of ore from the Kalatongke mine and 1,525,411 tons from Xinjiang Yakes and Hami Jubao in 2020[28]. - The company plans to produce 11,800 tons of electrolytic nickel and 11,277 tons of cathode copper in 2021, reflecting an expected increase in production levels compared to the previous year[33]. Financial Performance - In 2020, the company achieved operating revenue of RMB 1,853.9 million, an increase of 11.8% compared to 2019[24]. - The net profit for 2020 was RMB 179.2 million, a significant increase from RMB 24.8 million in 2019[24]. - The comprehensive profit attributable to the company's shareholders was RMB 151.8 million in 2020, compared to RMB 27.4 million in 2019[24]. - The average selling price of electrolytic nickel in 2020 was RMB 106,136 per ton, an increase of 8.5% from 2019[24]. - The average selling cost of electrolytic nickel decreased by 12.0% to RMB 69,826 per ton in 2020[24]. - The company sold 11,325 tons of electrolytic nickel in 2020, a decrease of 5.6% compared to 2019[24]. - The revenue from cathode copper was RMB 465.1 million in 2020, a 45.9% increase from RMB 318.8 million in 2019, with sales volume rising by 46.5%[46]. - The gross profit margin for the main business in 2020 was 22.4%, an increase of 3.9 percentage points from 18.5% in 2019[47]. - The company's total assets decreased by 4.1% to RMB 7,263.3 million in 2020, down from RMB 7,573.0 million in 2019[52]. - The net cash inflow from operating activities was RMB 352.3 million in 2020, an increase of RMB 76.1 million from RMB 276.2 million in 2019[52]. - The company's debt-to-equity ratio improved to 26.38% in 2020 from 29.94% in 2019, indicating a stronger financial position[54]. Investments and Future Plans - The company plans to expand its market presence through strategic partnerships and potential acquisitions in the non-ferrous metals sector[14]. - The company aims to increase its resource exploration activities to support future growth and sustainability initiatives[14]. - The company plans to invest RMB 257 million in 2021 for further enhancements in mining and environmental standards at the Kalatongke mine[36]. - The company has successfully acquired several mining companies, enhancing its nickel and copper resource reserves and production capacity, and plans to continue pursuing mergers and acquisitions in 2021[40]. - The company is focusing on improving management and operational efficiency in 2021 to ensure stable production and potential growth in electrolytic nickel and cathode copper output[32]. Corporate Governance - The board consists of eight members, including one executive director, four non-executive directors, and three independent non-executive directors[93]. - The board has adopted a diversity policy to enhance corporate governance, considering factors such as gender, age, cultural background, and professional experience when appointing directors[94]. - The board's responsibilities include approving the overall development strategy and annual business plans, as well as overseeing management performance[100]. - The company emphasizes a commitment to diversity and inclusion within the board, ensuring that all opinions are heard and respected[94]. - The company has a structured process for nominating and selecting board candidates, including background checks and assessments of independence[113][115]. Environmental and Social Responsibility - The company emphasizes safety and environmental protection, achieving its safety production goals in 2020 while adhering to national regulations[31]. - The company has implemented strict internal management to prevent child labor and forced labor, with no serious violations reported in 2020[165]. - The company is committed to investing in new technologies and processes to improve resource utilization and environmental protection[176]. - The company achieved a 100% utilization rate of industrial waste through various recycling measures, including using mining waste for underground filling and road paving[169]. - The company has a sulfur dioxide removal rate of 99.0% to 99.6% from its flue gas, meeting national emission standards[167]. Employee Management - The total number of employees as of December 31, 2020, was 2,151, with 878 employees under 35 years old, 850 between 35 and 50 years old, and 423 over 50 years old[153]. - The employee turnover rate for those under 35 years old was 3.30%, for those between 35 and 50 years old was 0.70%, and for those over 50 years old was 0.09%, with an overall turnover rate of 4.09%[153]. - The percentage of employees trained in 2020 was 78.24% for senior management, 75.95% for middle management, and 91.39% for other employees[162]. - The average training hours completed per employee in 2020 were 67 hours for senior management, 53 hours for middle management, and 28.76 hours for other employees[162]. Risk Management - The company has established a risk management policy that includes assessing business objectives, identifying risk factors, and implementing appropriate measures to manage risks[140]. - The board has conducted at least two reviews of the risk management and internal control systems during the year, focusing on management structure, accounting standards, and compliance with relevant laws[139]. - The internal audit department has been set up to ensure accurate and timely recording of accounting and management data, and to review the effectiveness of the risk management system[140].
新疆新鑫矿业(03833) - 2020 - 年度财报