MCM 2022 and Beyond

The Company’s outlook for 2022 and beyond remains positive with Copper prices projected to hold in the short to medium term mainly due to expected high demand for the metal in the solar and electric vehicle industries.

Mopani’s ore reserves remain very attractive even before considering further exploration opportunities. With the majority of the work already done on the three (3) key shaft sinking projects at Synclinorium, Mindola SV and Mufulira, Mopani only needs to raise enough capital to complete these projects and begin to produce at full capacity by 2024, and that will unlock the full potential of this mining company and completely transform the production and financial performance of the Company.

In the short term though and for the year 2022 in particular, there are still a few bumpy times we have to navigate together. In addition to the payment of the accrued benefits to qualifying employees at the end of January 2022, the Smelter plant in Mufulira is scheduled for a 45-day planned shutdown. This is to undertake routine maintenance of the plant and replacement of furnace refractory bricks. This will ensure the safety and continued integrity of assets and this is conducted every two years. During this shutdown period however, there will be no finished copper production and hence no revenue or cash generation.

So we will all need to work together to produce enough stock to treat after the shutdown as well as keep operating costs under control and ensure production unit cost targets are achieved to allow for a quick recovery.

Finally, I would like to thank you all and your families who have supported you during this year. I wish you all a healthy, safe, Covid-19 free and a productive 2022 as we continue on this journey together.