Mineral Resources Business
Business Overview
Mitsubishi Materials' Resources Business plays a vital role in securing a stable supply of copper concentrates--the primary raw material for the Company's copper smelting and refining operations--through strategic investments in mining assets. At the same time, these investments contribute to the Company's earnings by generating stable, long-term returns.
Against the backdrop of steadily expanding global copper demand, the Company has consistently pursued strategic investments in leading overseas mining operations, including major assets in Chile. As a result, Mitsubishi Materials has established a competitive portfolio of high-quality mining assets and built a resilient, long-term supply structure for copper concentrates.
In addition, leveraging decades of accumulated expertise, the Company provides professional operational support and business management assistance to its investee mining operations, while continuously evaluating opportunities to participate in new mine development projects to further strengthen its resources portfolio.
Business Objectives and Strategies
The Resources Business is committed to securing a stable supply of high‑quality, clean copper concentrates, while enhancing the profitability of its existing mining interests through technical support and other value‑added initiatives at investee operations. The resulting investment returns play an important role in supporting the Group's transition toward a resource‑circulating business model, in accordance with its medium‑ to long‑term growth strategy.
At the same time, by increasing the proportion of equity copper relative to the total volume of copper concentrates processed at the Company's smelters, the Resources Business aims to strengthen a resilient and sustainable earnings base that is less susceptible to fluctuations in the external business environment.
Furthermore, in response to the increasing complexity and difficulty of mine project development, the Company will advance technological development initiatives designed to mitigate rising capital expenditures and operating costs, thereby supporting the sustainable development of mineral resources over the long term.
Topics
Stable Copper Supply and Earnings through the Largest-Scale Copper Mines
The Company has consistently participated in leading overseas copper mines, including those in Chile, since the 1980s. Among these, the Escondida Mine in Chile, in which the Company began participating in 1985, and the Los Pelambres Mine, entered in 1997, are both recognized as some of the world's largest copper mining operations.
These flagship assets form the cornerstone of the Company's copper resources business and play a vital role in building a sustainable earnings base through investment returns.
A New Investment: Mantoverde
In 2021, the Company participated in the Mantoverde Copper Mine project in Chile.
The Mantoverde mine has been in operation since 1995, producing copper cathodes from oxidized ore in the shallow portion of the deposit using leaching and the SX‑EW process. In connection with the development of sulfide ore located in the deeper portion of the deposit, the Company acquired a 30% equity interest in the project. Production of copper concentrates commenced in June 2024.
In addition to producing high-quality copper concentrates with low impurity levels, the Mantoverde mine has confirmed a substantial mineral resource base. While an expansion project is currently underway, further production expansion is also being considered for the future. Moreover, the presence of rare metals such as cobalt, in addition to copper, has been confirmed. The Company positions Mantoverde as one of the core assets underpinning its long-term resources business.
History
The Resources Business of Mitsubishi Materials began in earnest in 1873, when Yataro Iwasaki, the founder of Mitsubishi, acquired and commenced operations at the Yoshioka Mine in Okayama Prefecture. Through the subsequent acquisition and development of major domestic mines, including Osarizawa, Ikuno, and Sado, the Company established a solid foundation for the supply of non ferrous metal resources in Japan.
In 1917, the establishment of the Naoshima Smelter & Refinery marked a significant milestone, enabling the Company to build an integrated business structure encompassing the entire value chain from mining through smelting and refining. Following postwar reorganization, the Company continued to operate domestic mining assets while maintaining and strengthening its smelting and refining business.
Since the 1980s, amid the gradual depletion of domestic mineral resources, the Company has accelerated the expansion of its overseas resources business. In particular, it has participated in leading copper mines in Chile, including Escondida, Los Pelambres, and Mantoverde, thereby establishing a robust international resource portfolio.
| 1985 | Participated in the Escondida Mine, Chile |
|---|---|
| 1997 | Participated in the Los Pelambres Mine, Chile |
| 2013 | Participated in the Zafranal Project, Peru |
| 2021 | Participated in the Mantoverde Mine, Chile |
| 2023 | Capital participation in the parent company of the Casino Copper Mine Project, Canada |
