Association: Major minerals output in China hits new high

An employee works on a production line of Zijin Mining in Longnan, Gansu province. (LI YALONG/CHINA NEWS SERVICE)

China's output of key mineral resources hit a new high this year with the extraction of 10 major nonferrous metals reaching a peak of 72.288 million metric tons in the first 11 months, a 4.4 percent year-on-year increase, the China Mining Association said on Monday.

The trade body estimated annual total output of the 10 major nonferrous metals, such as copper and aluminum, to reach 78.8 million tons this year.

Additionally, iron ore production also rose 1.9 percent year-on-year to 952 million tons in the first 11 months, and is expected to hit 1.038 billion tons by year-end, it said.

The exploration of new mines also yielded ample results.

From January to September, a total of 984 exploration rights were granted nationwide, including 570 strategic mineral exploration rights, marking a 218.4 percent year-on-year increase.

Significant achievements have been made in Hunan province, the Xinjiang Uygur autonomous region, the Inner Mongolia autonomous region, and Shandong and Guizhou provinces.

For instance, Hunan has discovered over 40 gold veins this year, with the highest gold grade reaching 138 grams per ton and gold reserves of 300.2 tons in the core exploration area.

"As a global powerhouse in mineral production, trade, and consumption, China's mining industry not only plays a pivotal role in domestic economic and social development but also holds significant influence over international mining investment, mergers and acquisitions and trades," said Che Changbo, secretary-general of the association.

China's major listed mining companies have established a complete industrial chain of exploration, mining, selection, and smelting, Che added.

Last year, about 87 percent of China's listed mining companies were profitable, with two each reporting profits exceeding 100 billion yuan ($13.7 billion). Over the past four years, two companies have seen average annual net profit growth rates exceeding 45 percent, with Zijin Mining at 49 percent and CMOC Group at 45.2 percent.

In recent years, Zijin Mining, Shandong Gold Group, and Ganfeng Lithium have rapidly expanded their asset bases, with annual asset value growth rates exceeding 20 percent, with Ganfeng Lithium topping the list at 59.4 percent.

"In the mining sector, many companies have played a crucial role in global resource distribution by expanding abroad, contributing significantly to both national and global energy and resource security. Particularly in the past decade, mining enterprises have actively strengthened overseas mining investments, conducting greenfield exploration and project acquisitions for high-quality resources," said Cheng Liwei, head of the association.

In a recent PwC ranking of the top 40 global listed mining companies in terms of market capitalization, eight Chinese companies have made it to the list.