SHANGHAI, Aug 25 (SMM) – Recently, Zijin Mining released its 2022 semi-annual report, which showed that the company's production capacity of main mineral resources including copper has increased significantly. In the first half of 2022, Zijin Mining produced 410,000 mt of copper concentrates from its own mine, a year-on-year increase of 70.47%.
Construction of key projects is speeding up
In terms of copper projects, the Phase II of the company's Kamoa-Kakula copper mine project was put into production ahead of schedule as the company accelerated the construction of a technological transformation project with a capacity of 450,000 mt/year. At the same time, the Phase III of the project and a copper smelter with a capacity of 500,000 mt/year has been proceeding smoothly. The mining and beneficiation project of Serbia Zijin Copper's VK mine as well as the expansion project of its smelter is to be completed soon. The Phase I of Julong Copper Mine in Tibet was put into operation, and the Phase II is under construction. The mining and beneficiation of Heilongjiang Duobaoshan Copper Mine is also progressing smoothly. In addition, major progress has also been made in the application of caving-related technology in mining.
In early 2022, the international copper prices once hit a record high, but in the second quarter, the resurgence of covid-19 pandemic, tightening of the Fed's monetary policy and the weakening of global macroeconomics prompted the copper prices to drop steeply. However, the fundamentals remained basically unchanged. The company reported that its copper prices generally rose before falling in the first half year.
Copper Business
Zijin Mining was reported to have produced 756,523 mt of copper in the first half of 2022, a year-on-year increase of 36.1%. In particular, copper concentrate production stood at 410,190 mt, a year-on-year increase of 70.47%; copper cathode output amounted to 346,333 mt, up 9.86% on the year. The sales revenue of the copper business accounted for 20.18% of the total revenue of the company in the first half of 2022 (after offsetting), and the gross profit of copper products accounted for 54.63% of the total gross profit.
