Property, plant, equipment and development costs (Tables)
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12 Months Ended |
Dec. 31, 2024 |
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| Property, plant, equipment and development costs |
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| Schedule of property, plant and equipment, net |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | Balance as of | | | | | | | | | | | | Balance as of | | | | | | | | | | | | Balance as of | | | January 1, | | | | | | | | Changes in | | Reclassifications | | December 31, | | | | | | | | Changes in | | Reclassifications | | December 31, | | | 2023 | | Additions | | Disposals | | Sales | | estimations | | and transfers | | 2023 | | Additions | | Disposals | | Sales | | estimations | | and transfers | | 2024 | | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | | | | | | | | | | | | | | | | | | | | | | | | | | | Cost: | | | | | | | | | | | | | | | | | | | | | | | | | | | Lands | | 18,765 | | — | | — | | — | | — | | — | | 18,765 | | — | | — | | — | | — | | — | | 18,765 | Mining concessions | | 111,590 | | — | | — | | — | | — | | (34,023) | | 77,567 | | — | | — | | (3) | | — | | (7) | | 77,557 | Development costs | | 904,683 | | 89,127 | | (8) | | — | | — | | — | | 993,802 | | 101,876 | | — | | — | | — | | 1,782 | | 1,097,460 | Buildings, constructions and other | | 1,353,782 | | — | | — | | (5,193) | | — | | 27,011 | | 1,375,600 | | — | | — | | (313) | | — | | 79,815 | | 1,455,102 | Machinery and equipment | | 874,015 | | 1 | | (233) | | — | | — | | 15,428 | | 889,211 | | — | | (1,466) | | (10,567) | | — | | 24,904 | | 902,082 | Transportation units | | 5,657 | | — | | (89) | | (761) | | — | | 723 | | 5,530 | | — | | (68) | | (483) | | — | | 113 | | 5,092 | Furniture and fixtures | | 11,071 | | 2 | | (6) | | — | | — | | 464 | | 11,531 | | — | | — | | (1) | | — | | 1,166 | | 12,696 | Units in transit | | 15,686 | | 36,452 | | — | | — | | — | | — | | 52,138 | | 33,521 | | — | | — | | — | | 247 | | 85,906 | Work in progress | | 91,468 | | 139,610 | | (1,326) | | — | | — | | (43,629) | | 186,123 | | 242,841 | | (7,496) | | — | | — | | (100,177) | | 321,291 | Stripping activity asset | | 190,156 | | 8,953 | | — | | — | | — | | — | | 199,109 | | — | | — | | — | | — | | 1 | | 199,110 | Right-of-use asset (e) | | 30,944 | | 1,929 | | — | | — | | 1,055 | | — | | 33,928 | | — | | — | | — | | 7,842 | | (7,842) | | 33,928 | Mine closure costs | | 310,513 | | — | | — | | — | | 11,879 | | — | | 322,392 | | — | | — | | — | | 73,090 | | (2) | | 395,480 | | | 3,918,330 | | 276,074 | | (1,662) | | (5,954) | | 12,934 | | (34,026) | | 4,165,696 | | 378,238 | | (9,030) | | (11,367) | | 80,932 | | — | | 4,604,469 | Accumulated depreciation and amortization: | | | | | | | | | | | | | | | | | | | | | | | | | | | Development costs | | 388,488 | | 23,802 | | — | | — | | — | | — | | 412,290 | | 33,236 | | — | | — | | — | | 7,461 | | 452,987 | Buildings, construction and other | | 823,918 | | 55,919 | | — | | — | | — | | — | | 879,837 | | 67,469 | | — | | (313) | | — | | (7,124) | | 939,869 | Machinery and equipment | | 744,649 | | 37,510 | | (223) | | (4,792) | | — | | — | | 777,144 | | 31,398 | | (938) | | (10,541) | | — | | 6,602 | | 803,665 | Transportation units | | 5,172 | | 300 | | (85) | | (744) | | — | | — | | 4,643 | | 249 | | (41) | | (483) | | — | | (141) | | 4,227 | Furniture and fixtures | | 10,221 | | 457 | | (6) | | — | | — | | — | | 10,672 | | 501 | | — | | (1) | | — | | (303) | | 10,869 | Stripping activity asset | | 153,928 | | 51,124 | | — | | — | | — | | — | | 205,052 | | — | | — | | — | | — | | (5,942) | | 199,110 | Right-of-use asset (e) | | 18,184 | | 3,988 | | — | | — | | — | | — | | 22,172 | | 5,737 | | — | | — | | — | | (553) | | 27,356 | Mine closure costs | | 232,030 | | 15,016 | | — | | — | | — | | — | | 247,046 | | 18,826 | | — | | — | | — | | — | | 265,872 | | | 2,376,590 | | 188,116 | | (314) | | (5,536) | | — | | — | | 2,558,856 | | 157,416 | | (979) | | (11,338) | | — | | — | | 2,703,955 | Provision for impairment of long-lived assets: | | | | | | | | | | | | | | | | | | | | | | | | | | | Mine closure costs | | 2,206 | | — | | — | | — | | — | | — | | 2,206 | | — | | — | | — | | — | | — | | 2,206 | Development costs | | 3,488 | | — | | — | | — | | — | | — | | 3,488 | | — | | — | | — | | — | | (3) | | 3,485 | Property, plant and other | | 851 | | — | | — | | — | | — | | — | | 851 | | — | | — | | — | | — | | 3 | | 854 | Machinery and equipment | | — | | — | | — | | — | | — | | — | | — | | 4,184 | | — | | — | | — | | — | | 4,184 | | | 6,545 | | — | | — | | — | | — | | — | | 6,545 | | 4,184 | | — | | — | | — | | — | | 10,729 | | | | | | | | | | | | | | | | | | | | | | | | | | | | Net cost | | 1,535,195 | | | | | | | | | | | | 1,600,295 | | | | | | | | | | | | 1,889,785 |
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| Schedule of estimates prices for the current and long-term periods |
As of December 31, 2024 - | | | | | | | 2025 | | 2026-2028 | | | US$ | | US$ | | | | | | Gold | | 2,000 /Oz | | 2,304 /Oz | Silver | | 26.00 /Oz | | 30.00 /Oz | Copper | | 8,900 /MT | | 10,175 /MT | Zinc | | 2,500 /MT | | 2,721 /MT | Lead | | 1,900 /MT | | 2,185 /MT |
As of December 31, 2023 - | | | | | | | 2024 | | 2024-2027 | | | US$ | | US$ | | | | | | Gold | | 1,900 /Oz | | 2,036 /Oz | Silver | | 23.00 /Oz | | 27.00 /Oz | Copper | | 8,500 /MT | | 10,822 /MT | Zinc | | 2,600 /MT | | 3,071 /MT | Lead | | 2,050 /MT | | 2,449 /MT |
As of December 31, 2022 - | | | | | | | 2024 | | 2024-2026 | | | US$ | | US$ | | | | | | Gold | | 1,750 /Oz | | 1,735 /Oz | Silver | | 21.00 /Oz | | 23.17 /Oz | Copper | | 7,900 /MT | | 9,625 /MT | Zinc | | 3,000 /MT | | 2,648 /MT | Lead | | 1,900 /MT | | 2,181 /MT |
(*)OZ= Ounces, MT = Metric Ton.
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| Schedule of net assets for right in use |
| | | | | | | 2024 | | 2023 | | | US$(000) | | US$(000) | | | | | | Buildings | | 5,150 | | 9,236 | Transportation units | | 1,340 | | 1,117 | Machinery and equipment | | 82 | | 1,403 | | | | | | | | 6,572 | | 11,756 |
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| Schedule of discount rate |
| | | | | | | | | 2024 | | 2023 | | 2022 | | | % | | % | | % | | | | | | | | Uchucchacua | | N/A | | 12.04 | | 12.52 | Tambomayo | | 12.73 | | 12.04 | | N/A | Julcani | | N/A | | 12.04 | | N/A | Orcopampa | | 12.73 | | N/A | | 12.52 | El Brocal | | 15.66 | | 14.78 | | 16.58 | Rio Seco | | N/A | | 15.06 | | 16.34 | La Zanja | | 15.18 | | 14.18 | | 14.08 |
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| Schedule of distribution of depreciation expenses |
| | | | | | | | | 2024 | | 2023 | | 2022 | | | US$(000) | | US$(000) | | US$(000) | | | | | | | | Cost of sales of goods | | 149,954 | | 164,543 | | 147,032 | Unabsorbed cost due to production stoppage | | 8 | | 10,420 | | 14,877 | Cost of sales of services | | 2,783 | | 9,037 | | 8,153 | Administrative expenses | | 1,758 | | 2,065 | | 1,886 | Property, plant, equipment and development costs | | 2,400 | | 1,799 | | 1,039 | Exploration in non-operating areas | | 163 | | 98 | | 101 | Selling expenses | | 198 | | 103 | | 93 | Other, net | | 152 | | 51 | | 49 | Discontinued operations, note 1(e) | | — | | — | | 9 | | | | | | | | | | 157,416 | | 188,116 | | 173,239 |
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| Sociedads Minera Cerro Verde S.A.A. |
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| Property, plant, equipment and development costs |
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| Schedule of property, plant and equipment, net |
Property, plant and equipment consist of owned and leased assets (right-of-use assets), and cost and accumulated depreciation accounts as of December 31, 2024 and 2023, are shown below: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Adjustments | | | | | | | | | | Adjustments | | | | | | | | | January 1, | | | | and changes in | | Disposals | | | | December 31, | | | | and changes in | | Disposals | | | | December 31, | | | 2023 | | Additions | | estimates | | and/or sales | | Transfers | | 2023 | | Additions | | estimates | | and/or sales | | Transfers | | 2024 | | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | | | | | | | | | | | | | | | | | | | | | | | Cost | | | | | | | | | | | | | | | | | | | | | | | Land | | 33,202 | | — | | — | | — | | 360 | | 33,562 | | — | | — | | — | | — | | 33,562 | Buildings and other constructions | | 2,608,449 | | — | | — | | (35,964) | | 100,777 | | 2,673,262 | | — | | 716 | | (3,901) | | 11,132 | | 2,681,209 | Machinery and equipment | | 5,197,630 | | — | | — | | (49,382) | | 194,037 | | 5,342,285 | | — | | (716) | | (77,827) | | 226,320 | | 5,490,062 | Transportation units | | 36,377 | | — | | — | | (133) | | 4,388 | | 40,632 | | — | | — | | (306) | | 5,449 | | 45,775 | Furniture and fixtures | | 572 | | — | | — | | — | | — | | 572 | | — | | — | | — | | — | | 572 | Other equipment | | 36,222 | | — | | — | | — | | 182 | | 36,404 | | — | | — | | (436) | | 273 | | 36,241 | Construction in progress and in-transit units (a) | | 184,265 | | 302,302 | | (2,164) | | — | | (299,335) | | 185,068 | | 358,684 | | — | | — | | (243,174) | | 300,578 | Stripping activity asset (see note 2(i)) | | 1,464,027 | | 344,054 | | — | | — | | — | | 1,808,081 | | 312,608 | | — | | — | | — | | 2,120,689 | Asset retirement costs (see note 11(c)) | | 168,484 | | — | | 40,425 | | — | | — | | 208,909 | | — | | (36,885) | | — | | — | | 172,024 | Right-of-use assets (b) | | 97,356 | | 3,946 | | — | | (1,114) | | (409) | | 99,779 | | 1,478 | | — | | (1,410) | | — | | 99,847 | | | 9,826,584 | | 650,302 | | 38,261 | | (86,593) | | — | | 10,428,554 | | 672,770 | | (36,885) | | (83,880) | | — | | 10,980,559 | | | | | | | | | | | | | | | | | | | | | | | | Accumulated depreciation | | | | | | | | | | | | | | | | | | | | | | | Buildings and other constructions (c) | | 595,921 | | 74,690 | | 19,912 | | (32,418) | | — | | 658,105 | | 75,268 | | 418 | | (3,889) | | — | | 729,902 | Machinery and equipment | | 2,787,467 | | 290,691 | | — | | (46,980) | | 123 | | 3,031,301 | | 293,826 | | (418) | | (77,224) | | — | | 3,247,485 | Transportation units | | 20,787 | | 2,514 | | — | | (120) | | — | | 23,181 | | 3,159 | | — | | (261) | | — | | 26,079 | Furniture and fixtures | | 572 | | — | | — | | — | | — | | 572 | | — | | — | | — | | — | | 572 | Other equipment | | 27,168 | | 3,118 | | — | | — | | — | | 30,286 | | 3,088 | | — | | (436) | | — | | 32,938 | Stripping activity asset | | 925,757 | | 133,810 | | — | | — | | — | | 1,059,567 | | 191,070 | | — | | — | | — | | 1,250,637 | Asset retirement costs | | 41,684 | | 5,464 | | — | | — | | — | | 47,148 | | 5,441 | | — | | — | | — | | 52,589 | Right-of-use assets (b) | | 39,851 | | 11,117 | | — | | (1,114) | | (123) | | 49,731 | | 11,152 | | — | | (1,342) | | — | | 59,541 | | | 4,439,207 | | 521,404 | | 19,912 | | (80,632) | | — | | 4,899,891 | | 583,004 | | — | | (83,152) | | — | | 5,399,743 | | | | | | | | | | | | | | | | | | | | | | | | Net cost | | 5,387,377 | | | | | | | | | | 5,528,663 | | | | | | | | | | 5,580,816 |
| (a) | As of December 31, 2024, additions to construction in progress and in-transit units primarily relate to (i) mine support equipment (US$109.3 million), (ii) projects associated with the construction of new in-pit crusher and improvements to existing crushers (US$71.8 million), (iii) tailings dam projects (US$74.2 million), (iv) projects associated with the capitalization of main components of the mine’s heavy equipment (US$49.9 million), (v) belt replacement projects (US$10.8 million) and (vi) expansion of a leach pad (US$7.9 million). |
As of December 31, 2023, additions to construction in progress and in-transit units primarily relate to (i) mine support equipment (US$80.2 million), (ii) tailings dam projects (US$52.5 million), (iii) projects associated with the capitalization of main components of the mine’s heavy equipment (US$42.9 million), (iv) expansion of a leach pad (US$36.1 million), and (v) a direct flotation reactor technology project (US$21.8 million). (b)Set out below are the carrying amounts of right-of-use assets recognized and the movements as of December 31, 2024 and 2023: | | | | | | | | | | | | | | | | | | | December 31, | | | | | | | | December 31, | | | | | | December 31, | | | 2023 | | Additions | | Disposals | | Transfers | | 2023 | | Additions | | Disposals | | 2024 | | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | Cost | | | | | | | | | | | | | | | | | Land | | 10,491 | | — | | — | | — | | 10,491 | | 59 | | — | | 10,550 | Buildings and other constructions | | 56,521 | | 2,283 | | (591) | | — | | 58,213 | | 741 | | (873) | | 58,081 | Machinery and equipment | | 30,344 | | 1,663 | | (523) | | (409) | | 31,075 | | 678 | | (537) | | 31,216 | | | 97,356 | | 3,946 | | (1,114) | | (409) | | 99,779 | | 1,478 | | (1,410) | | 99,847 | | | | | | | | | | | | | | | | | | Accumulated depreciation | | | | | | | | | | | | | | | | | Land | | 6,213 | | 1,661 | | — | | — | | 7,874 | | 1,673 | | — | | 9,547 | Buildings and other constructions | | 21,750 | | 6,205 | | (591) | | — | | 27,364 | | 6,210 | | (804) | | 32,770 | Machinery and equipment | | 11,888 | | 3,251 | | (523) | | (123) | | 14,493 | | 3,269 | | (538) | | 17,224 | | | 39,851 | | 11,117 | | (1,114) | | (123) | | 49,731 | | 11,152 | | (1,342) | | 59,541 | | | | | | | | | | | | | | | | | | Net cost | | 57,505 | | | | | | | | 50,048 | | | | | | 40,306 |
(c) In 2023, adjustments primarily relate to the depreciation of assets whose depreciation method was changed from UOP to straight-line basis.
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| Schedule of net assets for right in use |
| | | | | | | | | | | | | | | | | | | December 31, | | | | | | | | December 31, | | | | | | December 31, | | | 2023 | | Additions | | Disposals | | Transfers | | 2023 | | Additions | | Disposals | | 2024 | | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | | US$(000) | Cost | | | | | | | | | | | | | | | | | Land | | 10,491 | | — | | — | | — | | 10,491 | | 59 | | — | | 10,550 | Buildings and other constructions | | 56,521 | | 2,283 | | (591) | | — | | 58,213 | | 741 | | (873) | | 58,081 | Machinery and equipment | | 30,344 | | 1,663 | | (523) | | (409) | | 31,075 | | 678 | | (537) | | 31,216 | | | 97,356 | | 3,946 | | (1,114) | | (409) | | 99,779 | | 1,478 | | (1,410) | | 99,847 | | | | | | | | | | | | | | | | | | Accumulated depreciation | | | | | | | | | | | | | | | | | Land | | 6,213 | | 1,661 | | — | | — | | 7,874 | | 1,673 | | — | | 9,547 | Buildings and other constructions | | 21,750 | | 6,205 | | (591) | | — | | 27,364 | | 6,210 | | (804) | | 32,770 | Machinery and equipment | | 11,888 | | 3,251 | | (523) | | (123) | | 14,493 | | 3,269 | | (538) | | 17,224 | | | 39,851 | | 11,117 | | (1,114) | | (123) | | 49,731 | | 11,152 | | (1,342) | | 59,541 | | | | | | | | | | | | | | | | | | Net cost | | 57,505 | | | | | | | | 50,048 | | | | | | 40,306 |
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