Zijin Mining(SH:601899) Xin Lang Cai Jing·2025-03-23 04:35Core Viewpoint - Zijin Mining reported a significant increase in net profit and plans to distribute over 10 billion yuan in dividends for the first time, reflecting strong operational performance and growth in metal production [1][2]. Financial Performance - In the last fiscal year, Zijin Mining achieved an operating revenue of 303.64 billion yuan, a year-on-year increase of 3.49%, and a net profit attributable to shareholders of 32.051 billion yuan, up 51.76% [1][2]. - The company plans to implement a cash dividend of 7.44 billion yuan for 2024, combined with a previously completed semi-annual cash dividend of 2.66 billion yuan, totaling over 10 billion yuan in annual cash dividends for the first time [2]. Production and Resource Data - Zijin Mining's production figures for last year included 1.07 million tons of copper, 73 tons of gold, 450,000 tons of zinc (lead), and 436 tons of silver, with year-on-year growth rates of 6% for copper, 8% for gold, and 6% for silver, while zinc (lead) saw a decline of 6% [2]. - The company ranks among the top four globally in copper production and is the only Asian company to exceed 1 million tons of copper output [2]. - Zijin Mining's gold production ranks in the top six globally, with a compound annual growth rate of 12% over the past five years [2]. Market Conditions and Price Trends - In 2024, significant fluctuations in metal prices are expected, with the average price of spot gold projected at $2,388 per ounce, a 23% increase year-on-year, and LME copper averaging $9,147 per ton, up 7.9% [3]. - The company reported that its iron concentrate has the highest gross margin at 73.41%, followed by gold and copper concentrates at 68.64% and 66.03%, respectively [3]. Cost Management and Exploration - Despite global mining cost pressures, Zijin Mining managed to reduce sales costs for copper and gold concentrates by 4.3% and 0.43%, respectively, maintaining a competitive cost position [5]. - As of the end of last year, Zijin Mining's confirmed reserves included 50.432 million tons of copper, 1,486.6 tons of gold, and 3,253.1 tons of silver, among others [5]. - The company invested 395 million yuan in exploration, resulting in significant new resource discoveries, including a major copper resource in Heilongjiang [5][6]. Mergers and Acquisitions - Zijin Mining has completed acquisitions in Peru and is progressing with the acquisition of the Akyem gold mine in Ghana, which will add 89 tons of gold resources [7]. - The company is also pursuing control of Zangge Mining, which has significant lithium, potassium, and copper assets [7]. Strategic Outlook - Zijin Mining aims to establish a lithium production capacity of 40,000 tons by 2025, positioning itself among the leading lithium producers globally [10]. - The company emphasizes a strategy focused on copper, gold, and lithium, with plans for further mergers and resource expansion [10].