MINEX Forum

Tag: KGHM Polska Miedź

  • KGHM Announces Impressive Results for 2023: Effective Production and Strategic Investments

    KGHM Announces Impressive Results for 2023: Effective Production and Strategic Investments

    KGHM, a leading global copper and silver producer, has released its results for the year 2023, highlighting efficient production, increased investments, financial stability, and a commitment to sustainable development.

    In 2023, KGHM exceeded its production targets for copper in concentrate, silver in concentrate, electrolytic copper, and metallic silver. Consolidated revenues of the KGHM Group reached PLN 33.5 billion, with adjusted EBITDA at nearly PLN 5.4 billion and equity of the Group at PLN 26.8 billion.

    Investments in 2023 focused on advancing mining projects, such as connecting the GG-1 shaft to the Rudna mine and commencing preparatory work for the GG-2 shaft. The company also completed work on a Central Air Conditioning System and a Surface-based Air Conditioning Station at the Rudna mine. Additionally, KGHM continued to develop the Żelazny Most Tailings Storage Facility and the Hybrid Smelter program at the Legnica Copper Smelter and Refinery.

    KGHM ended 2023 in a strong financial position, with PLN 33.5 billion in consolidated revenues and a Group operating result of nearly PLN 5.4 billion. Cash and cash equivalents increased by PLN 0.5 billion, and the company maintained a safe level of debt, with net debt/EBITDA at 1.1.

    The company is committed to sustainable development and has enhanced actions related to responsible production. KGHM is advancing its Climate Policy and projects involving energy transformation. By 2030, the company aims to significantly reduce CO2 emissions through the increased use of renewable energy sources.

    KGHM’s safety initiatives include operating under the “Zero harm” principle, employing early warning systems and innovative solutions to improve workplace safety, and conducting over 300 assistance and charitable actions in 2023. The company also commenced a KGHM Academy, which offers preventive programs, workshops, and pro-social actions.

    In summary, KGHM’s 2023 results demonstrate efficient production, increased investments, financial stability, and a commitment to sustainable development, positioning the company for continued success in the global copper and silver markets.

  • Poland extracts key metal needed for energy evolution, looks for rare earths abroad

    Poland extracts key metal needed for energy evolution, looks for rare earths abroad

    “Copper is the driving force behind the energy revolution and a crucial strategic resource. Without it, the energy transformation is not possible,” emphasized Tomasz Zdzikot, CEO of KGHM Polska Miedź, during the XXXII Economic Forum in Karpacz. Poland is also actively engaged in geological explorations in Mongolia to locate deposits of rare earth elements.

    Zdzikot participated in a panel discussion titled “Raw Materials of the Future – Which Raw Materials Should Poland Extract.” He highlighted the significance of “The State Raw Materials Policy 2050,” a strategic document accepted by the government last year, which identifies critical resources for Poland.

    The CEO of KGHM stressed that copper plays a pivotal role in the energy revolution. He pointed out that the US Energy Department added copper to its list of strategic raw materials in August, signaling a projected doubling of global copper demand by 2035. Additionally, copper is classified as a strategic raw material in the European Union.

    Zdzikot underlined the copper requirements for green technologies, noting that an electric car necessitates 150 kilograms of copper, while a 3MW wind turbine requires nearly 5 tons of the metal.

    He also emphasized KGHM’s role in ensuring Poland’s raw material security, highlighting that 50 percent of the EU’s total copper output comes from copper extraction in Poland’s Lower Silesia. Furthermore, KGHM is recognized as the world’s second-largest producer of silver.

    In the same discussion panel, Poland’s chief geologist, Piotr Dziadzio, disclosed the country’s geological work in Mongolia to locate rare earth element deposits. These geological surveys are conducted in collaboration with the local geological service.

    Dziadzio noted that various countries have established strategies for identifying rare earth element deposits, which are expected to yield benefits in the long run. He emphasized the need for transparent partnerships and community engagement in mining these minerals, ensuring they are not perceived as a form of colonialism.

    Furthermore, Dziadzio indicated that Poland has proposals for additional cooperation on rare earth element projects, including one in the Dominican Republic.