Kghm Polska Miedz Sa Ord

Thank you very much. 2023. And it is also an opportunity for all those following the transmission to discuss with the Management Board the prospects for the company, the current situation, and the plans. I would like to introduce members of the Management Board. Andrzej Szydło, President of the Management Board. Zbigniew Bryja, Vice President of the Management for Development. for finances. Miroslav Laskowski, Vice President of the Management Board for Production. And Piotr Stryczek, Vice President of the Management Board for Corporate Matters. My name is Janusz Krystasiak. I have the honor of hosting today's meeting, and I already invite you to participate in the Q&A session that will follow the presentations. Now, I would like to give the floor to the CEO. Good afternoon, ladies and gentlemen. Before we proceed to the presentation and discussion, hopefully in the best possible atmosphere, the results of KJJM for 2023, I would like to start with a general background about the company. KJ Jam. against the backdrop of other metal producers, can boast a few advantages. Maybe not huge advantages, but let's say a few characteristics that make it unique. The first of those characteristics is people and experience. The history of KJHM is over 60 years now. On the 1st of May, we will celebrate... a somewhat arbitrary anniversary of 33 years of operations of KJHM in the market. Another characteristic of KJHM is that it owns its own copper deposits. And the third characteristic, a very important one, is we are an integrated technological operator. certain assets. They do not own the full value creation chain. We have modern metallurgy and we can provide a complete end-to-end technological process. Director Kristociak, but I would like to give you a somewhat broader introduction about the management board. Probably you will have some questions. We are a new management board. We have been working as a team for a month and a half now only. However, I would like to highlight that it is a great honor for me to work with such colleagues. First of all, I have never... CEO of KJ Gem. And more importantly, I couldn't have dreamt of a better composition of the management board. We have managers of mining industry and it's a great honor to work with Mr. Bria and Mr. Laskowski for years. I have watched them as mine directors and And I looked up to them as mentors. Mr. Krzyzewski has had the shortest tenure with us, but I would also like to say a few words about him. Sometimes I'm scared by the pace at which he learns the details about his company. And even... If his knowledge becomes much more profound than ours, that's only the best for the company. Mr. Strychak, Vice President for Corporate Matters, is a person with vast experience in management. Additionally, I have known him for a number of years, and I can call him a friend. Talking about those conversations, advantages or characteristics of KGHM that I mentioned at the beginning, I can emphasize once again the huge experience of my colleagues. And before I present the results, I would like to stress the long history of over 60 years of operations. I used to play chess, maybe not as a an eminent chess player. But when we talk about life of mine, how long the mine can operate, we can safely say that KGHM is somewhere halfway. So by analogy to chess game, we can say that we are in the middle of game. We are in a very complex, volatile environment, just as was the case in 2023. We also have a lot of things that may change. If somebody wants to say that after 60 years you should expect I think that's a very inaccurate assessment because KJJAM still faces a future of several dozen years of safe exploitation of its own resources. We have a lot of companies across Europe, I will not enumerate any names here, that use in the metallurgical production foreign input. And KJJAM... provides two-thirds of national production using its own resources, its own concentrates, or its own output. Again, by analogy to a chess game, we as the management board view the company and assess its performance, not with a time horizon of a single year or two years. We take a much longer timeline Realistic investment plans or investment strategies are normally developed five or ten years ahead. But, of course, all that is done bearing in mind the uncertain factors that always can modify the situation. Nevertheless, we are optimistic about the future. This company, which is now at the middle stage of its lifetime, as most mining companies are, has to face increasingly difficult operational conditions. There are a lot of miners that operate open pit mines. KJ German's domestic assets has deep mines and we can expect naturally that mining operations, regardless of macroeconomic situation, will not be easier as the time passes. We will have to go deeper and deeper. Delivery lines will be longer and longer. The grade of deposits can be debatable depending on which area we are discussing. lower grade. And that naturally is related to costs of air conditioning, ventilation, other technological processes. So now the management board sees its role as having to deal with the task of reversing the current trend of counteracting the costs that continue to grow across the mining sector. KGHM has a long standing and unique experience in mining. And we also have to draw on this experience to find new areas for optimization to offset any cost fluctuations. in the areas where there are no natural factors that could drive those costs. We have already managed to become acquainted with the strategy that is currently in place. And if we consider the strategy as a set of long-term goals, we will... with particular attention to core business that is metal production. And the primary objective of our strategy, which I'm convinced we will be able to flesh out soon, will be such projects and such management activities That will allow us to complete efficiency-improving projects that are adjacent to our business, that are aligned with our business, and that are always linked to a positive NPV. This is an essential condition to support our core business, that is metal production. We will inform you about further details once we are ready for that. Now, only a general introduction.

Ladies and gentlemen, let's proceed with the results for 2023.

The details