Southern Copper (SCCO) Corporate Presentation summary

Corporate structure and market fundamentals

• Majority owned by Grupo México, with 88.9% listed on NYSE and 11.1% public float as of March 2025.

• Operations split between Mexico (57% of EBITDA) and Peru (43% of EBITDA).

• Copper market expects a 300K ton deficit in 2025, with low inventories and strong demand from China, the US, and energy transition sectors.

• China accounts for 57% of 2024 copper consumption; construction and electrical networks are the largest end-use sectors.

Operational strengths and ESG initiatives

• Holds the highest copper reserves among listed companies and is the #5 global copper producer.

• Integrated, low-cost operations with a cash cost of $0.77/lb in 1Q2025.

• Strong ESG commitment, maintaining high CDP ratings for climate and water, and significant social investments in Peru and Mexico.

• Diversified revenue: 77% copper, 11% molybdenum, with significant sales in Asia (34%) and Mexico (33%).

Financial performance and investment program

• 2024 net revenues reached $11.4B, EBITDA $6.0B (54% margin), and net income $3.4B.

• Maintains top-tier margins and conservative leverage, with total debt/EBITDA at 1.0x in 2024.

• Dividend yield of 4.6% in 2024, with a history of strong payouts.

• Major investment program aims to increase copper production by 62% to 1.6M tons by 2033, with $1.7B average annual capex planned for 2024–2034.

• Key projects in Peru and Mexico include Tia Maria, Los Chancas, Michiquillay, El Pilar, and El Arco, targeting significant capacity expansion.