On 12th Jul, CMOC announced its 1H24 preliminary result with net profit at RMB5,189-5,735mn, up 638%-716% YoY. The recurring net profit in1H24 is expected to be RMB5,375-5,941mn, up 2,343%-2,600% YoY. 

The significant increase in performance is attributed to the substantial increase in the production of copper and cobalt, cost optimization, and the effects of technological improvements. In 1H24, with the achievement in production targets of Mixed Ore Project, TFM, the world’s fifth-largest copper mine in the DRC, has ramped up production. KFM, the other world-class mine in the DRC, continued to make new monthly production records.

The comprehensive economies of scale of these two world-class mines are gradually being realized, with copper and cobalt production in 1H24 reaching historic highs for the same period. Copper metal production in 1H24 was 313,788 tons, up 101% YoY, reaching 58% of the production guidance midpoint and 75% of the annual copper production in 2023. Cobalt metal production was 54,024 tons, up 178% YoY, reaching 83% of the production guidance midpoint and 97% of the annual cobalt production in 2023. 

Alongside the production increase, CMOC also recorded substantial growth in sales volume, while the copper market price strengthened in 2024, contributing to the improved performance. LME copper price reached a historical high of 11,104.5 USD/ton in May this year, compared to the range of 8,200-8,700 USD/ton around the same period last year.

Currently, TFM has an annual copper production capacity of 450,000 tons, and KFM also maintains continuous fast-paced production. As 58% of the annual copper production target completed, it is highly probable that CMOC will exceed the upper limit of the annual production guidance of 520,000-570,000 tons and become the largest incremental source of global copper production in 2024.

Aligned with production and performance improvements, CMOC continued to practice a high standard of ESG principles. According to the MSCI ESG Rating report released in July 2024, CMOC maintained its AA MSCI ESG rating consecutively following 2023, ranking in the top 19% of the MSCI ratings in the global non-ferrous metal industry. In June of this year, CMOC’s Copper-Cobalt Mine TFM was awarded The Copper Mark certification, a globally recognized ESG standard in the copper industry, becoming the first mine in Africa and the first Chinese-operated mine in the world to receive such a certification.