SMM, 29 Nov-the long list of negotiations on the import of copper concentrate in 2019 has come to an end, and the story of overseas mines is basically well known to the market. However, the situation of domestic copper concentrate is slightly blurred, and the output of large mines in Tibet is gradually rising. The production plans of most listed companies have basically met expectations, but in recent years, under the high pressure of environmental protection, the living conditions of many small and medium-sized mines are more worrying, and some new mines have even been stopped. According to our calculation, the output of copper concentrate in China is expected to be 1.633 million metal tons in 2019, an increase of 103000 tons over 2018, an increase of 6.7 percent, mainly from the second phase expansion of Duobaoshan Copper Mine, Pulang Copper Mine and Jiama Copper Mine. Below, we will take an inventory of the changes in the major copper mines in China next year.
Duobaoshan Copper Mine-Zijin Mining Industry
As an important jigsaw puzzle of Zijin Mining domestic copper mine, the first phase technical transformation and the second phase expansion of Dobaoshan have always been the projects vigorously promoted by the Group. The estimated investment of the project is 2.4770233 billion yuan (including the second phase of construction and the first phase of technical transformation). At present, the first phase of technical transformation has been basically completed, with 18800 tons of mineral copper in Dobaoshan in the first half of 2018, an increase of 17 per cent over the same period last year. In addition, the second phase is expected to be formally put into production in early 2019, when the first phase of technical transformation and the second phase of expansion will be completed, the production capacity will reach 80,000 tons of copper per year. We expect the Dobaoshan copper mine to increase by 25000 tons in 2019.
Jiama Copper Mine-Gold in China
The second phase expansion of Jiama Copper Mine was officially commercialized in the middle of July 1, 2018, resulting in a great increase in its output, reaching 13700 tons in the second quarter, an increase of 99 percent over the same period last year. The current washing capacity has reached 50, 000 tons per day from 28000 tons per day. It has become the first world-class copper mine in Tibet to reach an annual output of 50,000 tons, with an increase of 10,000 tons in 2019.
Pulang Copper Mine-Yunnan Copper Industry
As the largest copper resource under the Yunnan copper industry in the future, Pulang copper mine is expected to see rapid growth in the future. From January to July, Plang copper ore copper 17700 tons, accounting for about 49 per cent of the full-year production target (36kt-Cu). Its designed mining / selection capacity is 12.5 million tons / year, and the current output is still some way from its production, so in the future, we expect the increment brought about by Plang Copper Mine to be 15000 tons in 2019.
Qulong Copper Mine-Zangge Stock
Qulong Copper Mine is the largest copper mine project under construction in China. It has received a lot of attention since it came out. The first phase of the design capacity is 100000 tons per day, but because of the capital problems of its parent company's Tibetan shares, The project has also been delayed again and again, and there is a good chance that the original plan for formal production in 2019 will fail. According to the current progress, we expect that it will not be ready for production until 2020, and because it shares a tailing reservoir with Zhibela Copper Mine. As a result, it is difficult to keep production high.
In recent years, a considerable number of small and medium-sized mines have been eliminated under the heavy pressure of environmental protection, and large mines have also been forced to transform and add environmental protection equipment, which has had a deep impact on domestic copper mines. This is also one of the reasons for the decline in domestic copper production in 2016. with the integration of the industry, the current qualified mines are also on the way to recovery, and some of the mines closed in the early stage have hope of resuming production. We expect this part of the volume to increase in 2019. (SMM grandson Yang)
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