Zhong Guo Jing Ying Bao·2025-05-31 01:52Core Viewpoint - Zijin Mining is planning to spin off its subsidiary, Zijin Gold International, for an independent listing on the Hong Kong Stock Exchange, marking the company's third IPO since its establishment [1][5]. Spin-off Listing - The spin-off involves Zijin Mining's overseas gold mining assets, which include eight world-class large gold mines located in South America, Central Asia, Africa, and Oceania [3][6]. - The total resource amount of these eight gold mines is 1,799.79 tons, with a total reserve of 696.83 tons and a combined production of 46.22 tons in 2024 [3][4]. Financial Performance - In 2024, Zijin Mining achieved a revenue of 303.64 billion yuan, a year-on-year increase of 3.49%, and a net profit of 39.393 billion yuan, up 48.43% [2]. - Gold sales revenue accounted for 49.64% of Zijin Mining's total revenue in 2024, with gold production from its mines reaching 72,938 kilograms, a 7.70% increase year-on-year [2]. Market Context - The spin-off coincides with an upward trend in gold prices, which is expected to enhance the valuation of the company's gold assets [5]. - The global demand for gold investment reached 1,180 tons in 2024, reflecting a 25% year-on-year increase, driven by geopolitical factors [4]. Strategic Implications - The spin-off is anticipated to improve Zijin Mining's overall value and shareholder value, as well as enhance its market capitalization management and asset securitization levels [5][6]. - The independent listing is expected to accelerate Zijin Mining's internationalization process and strengthen its gold business segment, while also reducing operational risks abroad [6]. Company Expansion - Zijin Mining has a history of strategic expansions, having previously listed on the Hong Kong Stock Exchange in 2003 and the Shanghai Stock Exchange in 2008, raising significant capital in both instances [7]. - As of the end of 2024, Zijin Mining's copper resources reached 110 million tons, ranking second globally, while its gold resources amounted to 3,972.53 tons, placing it fifth worldwide [7].