Quick Facts / Company Snapshot
- Company Name: MMG Limited
- Stock Exchange Listing: Hong Kong Stock Exchange (HKEx: 1208)
- Headquarters: Melbourne, Australia; Beijing, China; Hong Kong, China
- Founded: June 2009
- Major Shareholder: China Minmetals Corporation (CMC)
- FY 2024 Revenue: US$ 4,479.2 million
- FY 2024 EBITDA: US$ 2,048.7 million
- FY 2024 Net Profit After Tax: US$ 366.0 million
- FY 2024 Profit Attributable to Equity Holders: US$ 161.9 million
- Total Assets (2024): US$ 14,985.9 million
- Total Equity (2024): US$ 6,278.5 million
- Gearing Ratio: 0.41 (Net Debt / Net Debt + Total Equity)
- Primary Commodity: Copper (73.9% of Revenue)
- Secondary Commodities: Zinc, Lead, Gold, Silver, Molybdenum, Cobalt
- Key Operations: Las Bambas (Peru), Kinsevere (DRC), Khoemacau (Botswana), Dugald River (Australia), Rosebery (Australia)
- Total Workforce: 5,195 full-time equivalent employees (excluding contractors)
- Total Copper Production (2024): 399,758 tonnes
- Total Zinc Production (2024): 219,901 tonnes
- Safety Performance (TRIF): 2.06 per million hours worked
- 2025 Capex Guidance: US$ 1,200 – 1,300 million
Company Overview
MMG Limited is a leading international mining company focused on the exploration, development, and mining of base metals deposits globally. Headquartered with a dual presence in Melbourne and Beijing, the company serves as the premier international growth platform for its major shareholder, China Minmetals Corporation (CMC).
Vision and Mission The company’s stated vision is to create a leading international mining company for a low carbon future. Its mission is to mine to build wealth through the development of its people, partnering with local communities to drive economic growth and delivering value to shareholders.
Strategic Framework MMG operates under a strategic framework defined by four key pillars:
- China Champion: Leveraging the strength of the world’s largest commodity consumer to create sustainable competitive advantages.
- Business Miner: Adopting an excellence-driven mindset in owning and operating mines to generate superior returns.
- Federation of MMG: Utilizing an empowered operating structure with core group disciplines.
- Delivering Progress: Driving social progress through local contributions and delivering materials essential for a changing world.
Operational Scale As of December 2024, MMG operates five major mining sites across four continents. The company maintains a “lean corporate office” structure to maximize operational efficiency. It has successfully integrated the Khoemacau Copper Mine in Botswana into its portfolio in 2024, marking a significant expansion of its African footprint.
Business Segments
MMG Limited structures its business segments primarily around its operating assets. In 2024, the company reported revenue across the following five core mining segments.
1. Las Bambas
- Revenue (2024): US$ 2,977.6 million
- % of Total Revenue: ~66.5%
- EBITDA (2024): US$ 1,594.3 million
- EBITDA Margin: 54%
Operational Profile Las Bambas is the company’s flagship asset and a large-scale, long-life copper and molybdenum mining operation located in the Cotabambas, Apurimac region of Peru. It is one of the world’s significant copper mines. The operation involves open-pit mining and conventional processing to produce copper and molybdenum concentrates. In 2024, the site achieved its highest quarterly production since 2019 during the fourth quarter, driven by the commencement of mining at the Chalcobamba pit.
2. Dugald River
- Revenue (2024): US$ 461.8 million
- % of Total Revenue: ~10.3%
- EBITDA (2024): US$ 169.4 million
- EBITDA Margin: 37%
Operational Profile Located near Cloncurry in North West Queensland, Australia, Dugald River is an underground zinc mining operation. It produces zinc and lead concentrates. The site focuses on high-grade zinc deposits and delivered a fourfold increase in EBITDA in 2024 compared to the previous year, driven by higher prices and lower treatment charges.
3. Kinsevere
- Revenue (2024): US$ 423.6 million
- % of Total Revenue: ~9.5%
- EBITDA (2024): US$ 67.8 million
- EBITDA Margin: 16%
Operational Profile Kinsevere is an open-pit copper mining operation located in the Haut-Katanga Province of the Democratic Republic of the Congo (DRC). It produces copper cathode and has recently expanded into cobalt production. The site is currently undergoing the Kinsevere Expansion Project (KEP), which includes the transition to mining and processing sulphide ore.
4. Rosebery
- Revenue (2024): US$ 306.0 million
- % of Total Revenue: ~6.8%
- EBITDA (2024): US$ 123.2 million
- EBITDA Margin: 40%
Operational Profile Rosebery is an underground polymetallic base metal mining operation located on Tasmania’s west coast in Australia. It has been in operation for over 85 years. The mine produces zinc, lead, and copper concentrates, as well as gold doré. It is known for its contribution of precious metals as by-products.
5. Khoemacau
- Revenue (2024): US$ 295.8 million (Partial year from acquisition in March 2024)
- % of Total Revenue: ~6.6%
- EBITDA (2024): US$ 125.9 million
- EBITDA Margin: 43%
Operational Profile Acquired by MMG in March 2024, Khoemacau is a large, long-life underground copper and silver mining operation located in the Kalahari Copperbelt of north-west Botswana. It produces copper concentrate with significant silver by-product credits. The asset is currently the subject of an expansion feasibility study to increase production capacity.
6. Other (Corporate/Exploration)
- Revenue (2024): US$ 14.4 million
- % of Total Revenue: ~0.3%
- EBITDA (2024): (US$ 31.9 million) Loss
Operational Profile This segment encompasses corporate entities, exploration activities, and other non-mining subsidiaries.
History and Evolution
Founding and Early Years (2009–2010) MMG was established in June 2009. The company was formed following the purchase of the majority of assets of OZ Minerals Limited by China Minmetals Corporation (CMC). This acquisition provided the foundational assets for MMG, including the Rosebery, Century, and Golden Grove mines.
Consolidation and Listing (2010–2012) In December 2010, the company was acquired by Minmetals Resources Limited, a subsidiary of CMC listed on the Hong Kong Stock Exchange. In September 2012, to align the listed entity’s name with its operating brand, Minmetals Resources Limited changed its registered company name to MMG Limited.
Strategic Acquisitions (2014) A pivotal moment in the company’s history occurred in 2014 with the acquisition of the Las Bambas copper mine project in Peru. This transaction transformed MMG into a major global copper producer. The project was successfully constructed and commissioned, with commercial production achieved in subsequent years.
Recent Expansions (2024) In 2024, MMG executed significant growth initiatives. The company completed the acquisition of the Khoemacau Copper Mine in Botswana on March 22, 2024, for a consideration of US$ 1,734.7 million. Additionally, the company advanced the Kinsevere Expansion Project (KEP), achieving mechanical completion in September 2024. In early 2025, the company announced an agreement to acquire Anglo American’s nickel business in Brazil, further diversifying its portfolio.
Products and Services
MMG produces and sells base and precious metals. The revenue breakdown by commodity for the year ended 31 December 2024 is as follows:
1. Copper
- Revenue: US$ 3,308.4 million
- % of Total Revenue: 73.9% Profile: Copper is MMG’s primary commodity, produced at Las Bambas, Kinsevere, Khoemacau, and Rosebery. It is sold primarily as copper concentrate and copper cathode.
2. Zinc
- Revenue: US$ 481.1 million
- % of Total Revenue: 10.7% Profile: Zinc is produced at Dugald River and Rosebery. It is sold as zinc concentrate. Revenue increased by 34% in 2024 due to higher realized prices and volumes.
3. Silver
- Revenue: US$ 246.7 million
- % of Total Revenue: 5.5% Profile: Silver is a significant by-product from Las Bambas, Khoemacau, Dugald River, and Rosebery operations.
4. Gold
- Revenue: US$ 209.2 million
- % of Total Revenue: 4.7% Profile: Gold is produced primarily as a by-product at Las Bambas and Rosebery (as gold doré).
5. Molybdenum
- Revenue: US$ 128.4 million
- % of Total Revenue: 2.9% Profile: Molybdenum is produced at Las Bambas as a separate concentrate. Revenue decreased in 2024 due to lower sales volumes and prices.
6. Lead
- Revenue: US$ 84.9 million
- % of Total Revenue: 1.9% Profile: Lead is produced at Dugald River and Rosebery as lead concentrate.
7. Cobalt
- Revenue: US$ 20.5 million
- % of Total Revenue: 0.5% Profile: Cobalt hydroxide is produced at Kinsevere following the commissioning of the new cobalt plant.
Brand Portfolio
MMG operates as a unified corporate brand. Its “brands” are effectively its operational mines, which maintain distinct identities within the global mining industry.
1. Las Bambas
- Contribution: 66.5% of Group Revenue.
- Profile: A top-tier global copper asset known for its large-scale mineral resources and significant contribution to the Peruvian economy.
2. Dugald River
- Contribution: 10.3% of Group Revenue.
- Profile: Recognized as one of the world’s highest-grade known zinc deposits.
3. Kinsevere
- Contribution: 9.5% of Group Revenue.
- Profile: A prominent copper cathode producer in the DRC, now expanding into cobalt.
4. Rosebery
- Contribution: 6.8% of Group Revenue.
- Profile: A historic and continuously operating mine since 1936, known for its polymetallic output.
5. Khoemacau
- Contribution: 6.6% of Group Revenue (Partial Year).
- Profile: A newly acquired, high-grade copper-silver asset in the Kalahari Copperbelt, representing MMG’s newest strategic “brand” pillar.
Geographical Presence
MMG’s operations and revenue streams are globally diversified. The company reports revenue based on the location of its customers (Credit Risk analysis) and segment assets by location.
Revenue by Customer Location (2024)
- Asia: US$ 3,617.9 million (approx. 80.8% of total revenue based on disclosed credit risk data)
- Profile: China is the dominant market, reflecting the company’s strategic “China Champion” pillar. Major customers include CMC and its subsidiaries.
- Europe: US$ 745.0 million (approx. 16.6%)
- Profile: Significant market for zinc and copper concentrates.
- Others: US$ 75.0 million (approx. 1.7%)
- Profile: Remaining global sales.
Operational Footprint (Assets)
- South America (Peru): Home to Las Bambas. Segment assets: US$ 9,100.3 million.
- Africa (Botswana & DRC): Home to Kinsevere and Khoemacau. Segment assets (combined): ~US$ 4,188.5 million.
- Australia: Home to Dugald River and Rosebery. Segment assets (combined): ~US$ 925.9 million.
Financial Performance Analysis
In 2024, MMG delivered a robust financial turnaround compared to the previous year, driven by improved operational stability and the integration of new assets.
Consolidated Performance Trend
- Revenue Growth: Revenue increased by 3% to US$ 4,479.2 million in 2024, primarily due to higher realized commodity prices which offset lower sales volumes at Las Bambas.
- EBITDA Surge: Total EBITDA rose by 40% to US$ 2,048.7 million. This was driven by improved profitability across all mines and the inclusion of Khoemacau.
- Profitability: Net profit after tax increased by 200% to US$ 366.0 million, compared to US$ 122.1 million in 2023.
Profit and Loss Analysis (2024)
- Revenue: US$ 4,479.2 million.
- Operating Expenses: US$ (2,299.2) million. Decreased by 18% due to reduced stock movement costs at Las Bambas.
- Exploration Expenses: US$ (62.6) million. Increased by 26% due to activity at Las Bambas.
- Administrative Expenses: US$ (26.3) million.
- EBITDA: US$ 2,048.7 million.
- Depreciation & Amortization: US$ (1,058.7) million.
- EBIT: US$ 990.0 million. Increased by 86% from US$ 531.7 million in 2023.
- Net Finance Costs: US$ (368.6) million.
- Income Tax Expense: US$ (255.4) million.
- Profit for the Year: US$ 366.0 million.
Balance Sheet Analysis (As at 31 Dec 2024)
- Total Assets: US$ 14,985.9 million. Increased by US$ 3,085.1 million, largely due to the Khoemacau acquisition.
- Total Liabilities: US$ 8,707.4 million.
- Total Equity: US$ 6,278.5 million. Increased by US$ 1,966.5 million.
- Cash and Cash Equivalents: US$ 192.7 million.
- Total Borrowings: US$ 4,635.1 million.
- Net Debt: US$ 4,442.4 million.
- Gearing Ratio: 0.41. This represents a decrease from 0.50 in 2023, indicating a stronger balance sheet following the Rights Issue and debt repayment.
Cash Flow Analysis (2024)
- Net Operating Cash Flows: US$ 1,611.9 million. A decrease of 13% primarily due to unfavourable working capital movements at Las Bambas.
- Net Investing Cash Flows: US$ (2,970.2) million. Increased significantly due to the US$ 2,042.8 million acquisition cost for Khoemacau.
- Net Financing Cash Flows: US$ 1,104.0 million. This inflow was driven by the US$ 1,152.4 million net proceeds from the Rights Issue and equity contributions from non-controlling interests.
Board of Directors and Leadership Team
Board of Directors
- Mr. XU Jiqing: Chairman and Non-executive Director.
- Mr. CAO Liang: CEO and Executive Director. (Stepping down April 2025).
- Mr. ZHANG Shuqiang: Non-executive Director.
- Dr. Peter CASSIDY: Independent Non-executive Director.
- Mr. LEUNG Cheuk Yan: Independent Non-executive Director.
- Mr. CHAN Ka Keung, Peter: Independent Non-executive Director.
- Ms. CHEN Ying: Independent Non-executive Director (Appointed July 2024).
Executive Committee
- Mr. CAO Liang: Chief Executive Officer.
- Mr. QIAN Song: Chief Financial Officer.
- Mr. Troy HEY: Executive General Manager – Corporate Relations.
- Mr. Nan WANG: Executive General Manager – Operations.
- Mr. ZHAO Jing Ivo: Executive General Manager – Americas (Designated CEO successor effective April 2025).
Subsidiaries, Associates, Joint Ventures
The following entities are disclosed as principal subsidiaries and material joint ventures in the 2024 financial statements:
1. Minera Las Bambas S.A.
- Ownership: 62.5%
- Role: Operator of the Las Bambas mine in Peru.
- Contribution: US$ 2,977.6 million revenue.
2. MMG Africa Resources Company Limited (Khoemacau JV)
- Ownership: 55%
- Role: Investment holding for the Khoemacau mine.
- Contribution: US$ 295.8 million revenue (partial year).
3. MMG Kinsevere SARL
- Ownership: 100%
- Role: Operator of the Kinsevere mine in DRC.
4. MMG Dugald River Pty Ltd
- Ownership: 100%
- Role: Holds Dugald River assets in Australia.
5. MMG Australia Limited
- Ownership: 100%
- Role: Mineral exploration and production management in Australia.
Physical Properties
MMG’s physical asset base consists of large-scale mining operations and exploration tenements.
1. Las Bambas (Peru)
- Type: Open-pit copper mine.
- Key Features: Processing plant, tailings facility, Ferrobamba and Chalcobamba pits.
- Location: Apurimac Region.
2. Kinsevere (DRC)
- Type: Open-pit copper mine.
- Key Features: SXEW plant, new sulphide processing circuit (under construction/ramp-up).
- Location: Haut-Katanga Province.
3. Khoemacau (Botswana)
- Type: Underground copper-silver mine.
- Key Features: Zone 5 underground mine, processing facility.
- Location: Kalahari Copperbelt.
4. Dugald River (Australia)
- Type: Underground zinc mine.
- Key Features: Concentrator plant, underground decline.
- Location: Queensland.
5. Rosebery (Australia)
- Type: Underground polymetallic mine.
- Key Features: Processing plant, tailings storage facility.
- Location: Tasmania.
Segment-wise Performance (YoY Movements)
Las Bambas
- Revenue: Decreased 13% YoY.
- EBITDA: Increased 14% YoY.
- Drivers: Lower sales volumes offset by reduced production costs and higher prices.
Kinsevere
- Revenue: Increased 19% YoY.
- EBITDA: Increased 312% YoY (Turnaround from loss).
- Drivers: Higher copper prices and sales volumes, plus cobalt sales.
Dugald River
- Revenue: Increased 39% YoY.
- EBITDA: Increased 401% YoY.
- Drivers: Strong zinc/silver prices and recovery from 2023 suspension.
Rosebery
- Revenue: Increased 28% YoY.
- EBITDA: Increased 58% YoY.
- Drivers: Strong commodity prices and higher production.
Founders
MMG Limited was formed in 2009 following the purchase of the majority of assets of OZ Minerals by China Minmetals Corporation (CMC). While not founded by a single individual entrepreneur, the corporate entity was established through the strategic vision of CMC to create an international mining platform. The company was later acquired by Minmetals Resources Limited in 2010, which subsequently rebranded to MMG Limited.
Shareholding Pattern
As of 31 December 2024, the shareholding structure is as follows:
- China Minmetals Corporation (CMC): 67.49% (Indirectly held through China Minmetals Non-ferrous Metals Co., Ltd and its subsidiaries).
- Public Shareholders: 32.51%
Institutional and Public Holdings The company maintains a sufficient public float of not less than 25% as required under Listing Rules. The shares are widely held by public investors on the Hong Kong Stock Exchange.
Parent Company
Name: China Minmetals Corporation (CMC) Profile: CMC is a state-owned enterprise incorporated in the People’s Republic of China. It is the ultimate controlling shareholder of MMG. CMC is a major international organization involved in the development, production, trading, and integrated services of metals and minerals. It provides MMG with deep market understanding, access to funding, and strategic support, serving as a pillar for MMG’s “China Champion” strategic driver.
Investments and Capital Expenditure Plans
2025 Capital Expenditure Guidance Total capital expenditure for 2025 is expected to be between US$ 1,200 million and US$ 1,300 million.
Allocation:
- Las Bambas: US$ 550 – 600 million. Focus on tailings dam expansion, Ferrobamba pit infrastructure, and Chalcobamba execution.
- Khoemacau: US$ 300 – 350 million. Includes US$ 170-190 million for expansion studies and early works.
- Kinsevere: US$ 200 million. Spending on debottlenecking and ramp-up of the expansion project.
Strategic Priorities
- Expansion of Khoemacau to 130,000 tonnes capacity.
- Full development of the Chalcobamba pit at Las Bambas.
- Ramping up the Kinsevere Expansion Project.
Future Strategy
MMG’s management has outlined a clear path for future growth, centered on a low carbon future:
- Production Growth: Increasing Las Bambas copper production to 360,000–400,000 tonnes in 2025.
- Expansion: Progressing the Khoemacau expansion feasibility study to double production capacity.
- Diversification: Entering the nickel market through the acquisition of Anglo American’s nickel business in Brazil (Agreement signed Feb 2025).
- Decarbonization: Commitment to net zero Scope 1 and 2 emissions by 2050, with an interim target of 40% reduction by 2030.
Key Strengths
- Strong Balance Sheet: Gearing ratio reduced to a record low of 0.41 in 2024 following a successful Rights Issue.
- Major Shareholder Support: Strong backing from CMC provides access to funding and Chinese markets.
- High-Quality Assets: Las Bambas and Khoemacau are world-class, long-life copper assets.
- Operational Resilience: Demonstrated ability to restore profitability at Dugald River and Kinsevere in 2024.
- Resource Growth: Achieved a significant Mineral Resources increase in 2024 (2.6 million tonnes copper increase).
Key Challenges and Risks
- Geopolitical and Social Risks: Las Bambas faces ongoing risks related to social unrest and community blockades in Peru, which can disrupt logistics and production.
- Commodity Price Volatility: Financial performance is highly sensitive to fluctuations in copper and zinc prices.
- Operational Risks: Risks associated with mining in complex jurisdictions like the DRC (e.g., Mining Code changes).
- Regulatory Compliance: Ongoing tax audits and disputes in Peru involving withholding taxes and income tax assessments (specifically 2014-2018 tax periods).
- Project Execution: Risks related to the timely ramp-up of the Kinsevere Expansion and Khoemacau expansion studies.
Conclusion and Strategic Outlook
MMG Limited successfully navigated a transformative year in 2024, characterized by the strategic acquisition of Khoemacau, the stabilization of operations at Las Bambas, and a robust financial turnaround. With a strengthened balance sheet and a clear strategy focused on copper and low-carbon metals, the company is well-positioned for growth. The impending leadership transition in 2025 and the planned entry into the Brazil nickel market signal a continued aggressive pursuit of its vision to be a leading international mining company.
Official Site: https://www.mmg.com
FAQ Section
1. What is MMG Limited’s primary business focus? MMG Limited focuses on the exploration, development, and mining of base metals, primarily copper and zinc, with operations across Australia, Africa, and South America.
2. Who is the major shareholder of MMG Limited? The major shareholder is China Minmetals Corporation (CMC), which holds approximately 67.49% of the company’s shares.
3. What was MMG’s revenue in 2024? For the financial year ended 31 December 2024, MMG reported a total revenue of US$ 4,479.2 million.
4. Where are MMG’s main mining operations located? MMG operates the Las Bambas mine in Peru, Kinsevere in the DRC, Khoemacau in Botswana, and the Dugald River and Rosebery mines in Australia.
5. What is the production guidance for Las Bambas in 2025? MMG expects Las Bambas to produce between 360,000 and 400,000 tonnes of copper in copper concentrate in 2025.
6. Did MMG acquire any new mines in 2024? Yes, MMG completed the acquisition of the Khoemacau Copper Mine in Botswana in March 2024.
7. What is MMG’s gearing ratio as of 2024? MMG reported a gearing ratio of 0.41 as of 31 December 2024, indicating a strong balance sheet.
8. Who is the CEO of MMG Limited? As of the 2024 Annual Report, Mr. Cao Liang served as CEO, with Mr. Zhao Jing Ivo appointed to succeed him effective April 12, 2025.
Content is based on publicly available corporate filings, regulatory disclosures, annual reports, 10-K filings, Investor Relations materials, and direct mail communication with the company.
