Reporter of the Economic Business: Zhao Linan Reporter of the Economic Business Business: Dong Xingsheng
On October 21, Zijin Mining (SH601899, stock price 7.93 yuan, market value 208.8 billion yuan) released its third quarter report. In the first three quarters of this year, Zijin Mining achieved operating income of approximately 204.191 billion yuan, and increased by 20.84% year-on-year; net profit attributable to shareholders of listed companies was approximately 16.667 billion yuan, a year-on-year increase of 47.47%.
" Daily Economic News " reporter noticed that with the continuous increase in volume of multiple mines under Zijin Mining, the company's mining copper production sales achieved a significant increase in the first three quarters of this year, and the sales of mining gold production also achieved growth.
It is worth noting that on the same day, Zijin Mining also released the "Plan for Public Issuance of A-share Convertible Corporate Bonds", Zijin Mining plans to raise no more than 10 billion yuan of funds and invest in multiple projects. Among them, including the Anhui Shapinggou molybdenum mine project disclosed on the same day, Zijin Mining plans to acquire the equity of the related company for RMB 5.91 billion.
Zijin Mining introduced that Shapinggou Molybdenum Mine is a world-class super-large porphyry-type molybdenum polymetallic deposit , with a molybdenum resource of 2.4594 million tons.
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Mine copper production sales increased by 64%
According to Zijin Mining, from January to September 2022, its mineral gold production increased by 18.94% year-on-year, mineral copper production increased by 54.98% year-on-year, and mineral zinc production increased by 4.83% year-on-year. Regarding the reasons for the year-on-year increase in output, Zijin Mining explained that it was the successful start of key projects such as the Peggy Copper and Gold Mine Upper Belt Mine, Kamoa-Kakula Copper Mine , and Tibet Julong Copper Mine." In terms of sales volume of
, with the significant increase in production of Zijin Mining, the corresponding sales volume has also shown a significant increase. In the first three quarters of this year, Zijin Mining's mine's gold production sales volume was about 45 tons, a year-on-year increase of 38%; the mine's copper production sales volume was about 640,000 tons, a year-on-year increase of 64%. In terms of price of
, although the prices of the main commodity have shown a certain decline since this year, the average sales unit price of Zijin Mining is not much different from last year. Among them, the average unit price of gold production in mines was 355.71 yuan/gram, an increase of 1% compared with last year; the average unit price of copper production in mines was 50,924 yuan/ton, a decrease of 4% compared with last year. In terms of cost of
, in the first three quarters of this year, the cost of mine gold production and mining copper production both increased compared with last year, and the increase exceeded the increase of , which also led to a certain decline in the gross profit margin of mineral enterprises. The gross profit margin of mining enterprises was 56.38%, a year-on-year decrease of 2.85 percentage points. But overall, Zijin Mining's comprehensive gross profit margin was 15.60%, an increase of 0.82 percentage points year-on-year.
It is worth noting that in the first three quarters of this year, the significant increase in investment income also contributed to the growth of Zijin Mining's net profit. In the first three quarters of this year, Zijin Mining's investment income was about 3.1 billion yuan, an increase of about 1.8 billion yuan year-on-year. Among them, the investment income in joint ventures and joint ventures was approximately RMB 2.7 billion, an increase of RMB 1.1 billion year-on-year.
In addition, in the third quarter of this year, the top ten shareholders of Zijin Mining changed significantly. Among them, the shareholding of the Hong Kong Central Clearing Co., Ltd. and the National Social Security Fund 114 combination in Zijin Mining has decreased.
Gaoyi Capital increased its holdings in Zijin Mining in the third quarter, among which Shanghai Gaoyi Asset Management Partnership (Limited Partnership) - Gaoyi Xiaofeng No. 2 Letter Fund, China Foreign Economic and Trade Trust Co., Ltd. - Foreign Trade Trust -Gaoyi Xiaofeng Hongyuan Collective Fund Trust Plan and Shanghai Gaoyi Asset Management Partnership (Limited Partnership) - Gaoyi - Xiaofeng No. 1 Ruiyuan Securities Investment Fund Holdings both increased. The number of shares held by Zijin Mining in the National Social Security Fund 103 portfolio and the Basic Pension Insurance Fund 804 portfolio also increased.
plans to issue convertible bonds to raise funds
On the same day, Zijin Mining released the "Plan for Public Issuance of A-share Convertible Corporate Bonds". According to the plan, Zijin Mining plans to raise no more than 10 billion yuan by issuing convertible corporate bonds.
raised funds mainly focus on the acquisition of 30% equity projects in the Shandong sea area gold mine, the acquisition of Anhui Shapinggou Molybdenum Mine project, the acquisition of Suriname Rosebel Gold Mine Project and the first phase of the Aurora Gold Mine Land Mining Project in Guyana.
"Through this issuance of convertible bonds, it will help the company seize the opportunities of mergers and acquisitions of high-quality medium and large mining assets with great strategic significance, and at the same time further leverage the company's traditional advantages in geological exploration and continuously increase the reserves of important mineral resources, which is of great significance to the company's strategic goal of catching up with the world's top-notch metal mining companies." Zijin Mining said.
In view of the specific impact of the above projects, Zijin Mining analyzed that after the acquisition of the Anhui Shapinggou Molybdenum Mine project is completed, Zijin Mining will own the largest molybdenum ore in Asia, and molybdenum will become an important product category of the company, with a new molybdenum resource of 1.96 million tons ( equity method ). After the acquisition of the 30% equity project of Shandong Sea Gold Mine and the Rosebel Gold Mine Project in Suriname is completed, Zijin Mining will add 169 tons and 191 tons of gold resources respectively (equity method), and the equity gold resources are expected to reach about 2,800 tons. Regarding the first phase of the Aurora gold mine in Guyana, Zijin Mining expects the project to reach full production to increase the annual output of 4.5 tons of mineral gold.
It is worth noting that the "acquisition of Anhui Shapinggou Molybdenum Mine Project" in the above project was the first disclosed by Zijin Mining. Zijin Mining plans to acquire 84% of the equity of Anhui Jinsha Molybdenum Co., Ltd. (hereinafter referred to as Jinsha Molybdenum) for RMB 5.91 billion. Jinsha Molybdenum Holds the exploration rights of Shapinggou Molybdenum polymetallic ore in Jinzhai County, Anhui Province, and is currently undergoing the transfer procedures for exploration and transfer. Zijin Mining introduced that Shapinggou Molybdenum Mine is a world-class super-large porphyry-type molybdenum polymetallic deposit to be developed, with a molybdenum resource of 2.4594 million tons, of which prospecting rights has a molybdenum resource of 2.3378 million tons, with an average grade of 0.143%.
Zijin Mining said that molybdenum and its alloys are widely used in metallurgy, chemical industry, energy, aerospace, machinery manufacturing and other fields, and have broad development prospects. "If the company successfully acquires and develops, it will quickly rank among the forefront of global molybdenum manufacturers, which is of great strategic significance to the company's future development." Zijin Mining said.
Daily Economic News
