Chinese companies Zijin Copper and Zijin Mining reported significant profits for 2024, with Zijin Mining earning approximately 715 million euros, while Zijin Copper made around 252 million euros. These figures highlight the substantial growth of these companies, especially when compared to local companies like Rudnik Lece, which earned just 14 million euros during the same period.
Despite benefiting Serbia through technological development, job creation, taxes, contributions, and mineral rents, a significant portion of the profits generated by these companies flows beyond the country’s borders. Zijin Mining’s financial report for 2024 reveals that it plans to pay a temporary dividend of 45 billion dinars, with 23 billion dinars paid to its parent company, Čukaru Peki BV, registered in the Netherlands. The remainder, 22 billion dinars, was recorded as a short-term liability.
Zijin Mining, which was officially established in Serbia in October 2021, has quickly become one of the country’s most successful companies, with a profit of 83 billion dinars in 2024 (around 715 million euros), up from 82 billion dinars in 2023. The company’s business income increased to 180 billion dinars in 2024, compared to 131 billion dinars in 2023. Notably, Zijin Mining only generates income from foreign markets, as it does not sell gold to the National Bank of Serbia (NBS).
The company’s expenses also rose, with operating costs reaching 60 billion dinars in 2024, up from 50 billion dinars in 2023. These increases are attributed to rising costs for materials, fuel, energy, wages, and depreciation. Zijin Mining also invested in new machinery and software, and expanded its mining operations in the Upper Zone 2. Additionally, the company discovered a large deposit of gold and copper at the Malka Golaja site, located near the Čukaru Peki mine.
Zijin Mining’s investments in Serbia extend beyond mining. The company has also funded a gold and copper exploration project on Mount Rogozna near Novi Pazar, invested five million dollars in the project, and recently became the owner of the Falkensteiner Hotel in Belgrade. Furthermore, Zijin Mining paid about eight billion dinars in mineral ore exploitation fees to the Serbian state in 2024, up from six billion dinars in 2023.
Meanwhile, Zijin Copper, another subsidiary, reported a profit of 29.5 billion dinars (about 252 million euros) in 2024. The company’s business income grew significantly from 119 billion dinars in 2023 to 207 billion dinars in 2024. A large portion of Zijin Copper’s sales, approximately 45 billion dinars, was made on the domestic market. Operating expenses for Zijin Copper also rose, driven by higher costs for materials, fuel, energy, wages, and depreciation.
Zijin Copper’s financial report also highlights several intangible investments, including the development of spatial plans, geological research, and preparations for the expansion of existing mining sites. The company has been making preparations for further expansion, including plans for the Cerovo mine and new flotation facilities in Veliki Krivelje.
In addition to its regular financial obligations, Zijin Copper paid various environmental fees and contributions in 2024, including payments for the use of mineral resources, water resources, and environmental protection in Serbia. The company also contributed to the Serbian Chamber of Commerce with a membership fee of 10.6 million dinars.
