NITTETSU MINING

Integrated Report2022

NITTETSU MINING

Supporting people and society
through mining development
Nittetsu Mining provides the world with a wide array of mineral resourcesfrom its numerous mines in Japan and other countries.

We own many limestone mines in Japan—including the largest, the Torigatayama Quarry

Complex—from which we sell limestone to domestic manufacturers of steel, cement, and otheressential products in addition to exporting to Australia, Taiwan, and other countries.
Our limestone and other important materials are used in many industries
to create the things we need to live.

Japan’s leading supplier of limestone for steelmaking
Share of limestone supply
for steelmaking in Japan:

40%+

Note: Nittetsu Mining survey

Nittetsu Mining Co., Ltd. was founded on May 20, 1939 when the mining
division was separated from the former Japan Iron & Steel Co., Ltd. in orderto develop and secure coal, iron ore, and other raw materials forsteelmaking. Our uninterrupted involvement in mining development sincethen has given us the technology to seamlessly handle all aspects ofmining, from prospecting and assessment to excavation and ore
processing. Through our efforts to leverage this technology to provide astable supply of mineral resources, we have established long-standing,trust-based relationships with steelmakers, cement manufacturers, andother clients. In particular, we have long been Japan’s top supplier oflimestone for steelmaking.

Torigatayama Quarry Complex (limestone mine)

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2

Robust technology to help build
a sustainable society

We are researching, developing, and engineering new products and materials to serve as the core of
new businesses based on the wealth of mining development technology and experience we haveamassed over the years.

We harness the collective strengths of the Group in our business segments—including machinery &environmental engineering centered on environmentally friendly products, real estate, andrenewable energy—to help create a prosperous society in the future.

Creating an ideal
society throughtechnology
Wastewater treatment agentsPreserving the global environment
with renewable energy
We are making proactive efforts to use renewable energy toconserve the global environment, such as usinglarge-diameter drilling technology to supply geothermal
steam and using the sites of former mines for solar powerand small-scale hydropower generation.

Polytetsu, our inorganic ironflocculant with excellent
coagulation sedimentation andsludge dehydration effects,
purifies household and industrial
wastewater to help conserve
water resources andecosystems.

Dust collectors
Sinter Lamellar Filter, ourresin-sintered element with highcollection efficiency, removes
potentially unhealthy dust to help
create safe working
environments and prevent air
pollution.

Deodorizing smoke separators
PLASMA DASH, our deodorizing
smoke separator, delivers
excellent air purification effects
to create comfortableenvironments by removing
tobacco odors and othercontaminants from the air.

Kagoshima Geothermal Facility (supplying geothermal steam)3

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NITTETSU MINING

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Management Policy
The Nittetsu Mining Group aims tocontribute to the creation of a prosperous society
in the future and to be a company
where each and every employee can workwith high motivation and pride.
Code of Conduct
Recognizing that a corporation is a member of society, the executives and employees of the
Nittetsu Mining Group establish this Code of Conduct that requires us to abide by all laws, engage insensible corporate activities, and contribute to our own sustainable development and the creationof a vibrant society.

52022 Integrated Report1

We provide high-quality, safe products and services to customers
that meet the needs of the time.

2

As a member of society, we live up to the trust placed in us
as we co-exist with local communities.

3

Executives and employees create a bright, safe workplacethat empowers self-realization and where work is done in good faithand in compliance with all laws and regulations.

4

We fulfill the trust and expectations of society by appropriately disclosing information
as needed to shareholders and investors.

5

We consider environmental conservation
by effectively utilizing resources and by promoting recycling.

6

We take a resolute stance against antisocial forces and have no relationships with them.

Contents

1
3
5
6
7
9
13
15
17
23
25
27
29
33
35
43
45
47
49
50

Introduction 1
Introduction 2
Management Policy and Code of Conduct
Table of ContentsOur Path to Becoming an Integrated Mineral
Resources Company
Message from the President
Nittetsu Mining’s Value Creation
Medium-Term Management Plan
Overview of Business Segments
Special Feature 1: Mining Development
Special Feature 2: Research andDevelopment
Sustainability at Nittetsu Mining
Environment
SocialCorporate GovernanceConsolidated Financial Indicators Throughthe Years
Consolidated Financial Statements (Summarized)
Non-Financial Highlights
Share Information
Corporate Profile

Editorial Policy
The 2022 Integrated Report (“this report”) is a collection ofimportant information to help shareholders, investors, and otherstakeholders understand Nittetsu Mining in terms of ourmanagement policy, business strategies, and other financial
aspects as well as our ESG efforts and other non-financial aspects.
We view this report as a vital tool for communicating withstakeholders, and we intend to enhance it further in the future.
Timeframe
In general, this report focuses on activities that occurred from April
1, 2021 to March 31, 2022. However, this report also contains
information about initiatives that started before then as well as more
recent activities.
Scope
In general, this report focuses on Nittetsu Mining Co., Ltd. and the
Nittetsu Mining Group.
The products that appear in this report—Polytetsu, Sinter Lamellar
Filter, and PLASMA DASH—are trademarks of Nittetsu Mining Co., Ltd.

NITTETSU MINING

6

Our Path to Becoming an Integrated Mineral Resources Company
Origins of Nittetsu Mining

1899

1979

Nittetsu Mining traces its origins
to the Futase Mine establishedto serve as the Raw Materials
Department for procuring cokeand general fuels for thestate-owned Yahata SteelWorks, Japan’s first integrated
steel manufacturer.

Released inorganic iron flocculant
Polytetsu as a product undermanagement of the Machinery
Sales Department

1975
Started operations at the Qaleh-Zari
Copper Mine in Iran (sold to anational Iranian copper industries
company in December 1991)

1934
Japan Iron & Steel Co., Ltd. wasestablished with funds from thestate-owned Yahata Steel Works
and four other private-sector
companies, and took over the
Futase Mine.

1973
1972

1939

1991

Established the Real
Estate Division

Started operations at the El
Roble Copper Mine (Colombia)(sold to a Colombian corporationin June 1998)

1985

1993

Released SinterLamellar Filter

Established Nittetsu Mining
Chile Ltd. (currently aconsolidated subsidiary) for
copper mining developmentin the Republic of Chile

Established the Chemical
Products Sales Division(changed name toEnvironmental Sales
Department in April 1993
and integrated a portion of
the business into theMineral Resources Division)

2008
Withdrew from securities inlight of flagging performanceand synergy with the mineral
resources business

2006
Released PLASMADASH smoke
separators

2003
Started trial operations at
Atacama Copper Mine (Chile)(transitioned to full-scale
operations in June 2003)

Entered the copper smelting businessby co-financing the establishment of
Hibi Kyodo Smelting Co., Ltd. with
MITSUI MINING & SMELTING CO., LTD.

1956

Entered the securities business byparticipating in the management ofKanto Securities Co., Ltd.

Expanded into the machinery business byinvesting in Kobukuro Kosakusho Co., Ltd.,a manufacturer of coal mining machinery

1942

1954

1951

1989

Established the Torigatayama
Quarry Complex

1951

1948

Launched solar power generation business when we started
selling electricity from the Toyako Mega Solar Power Plant.
Established the Renewable Energy Department to promote naturalenergy development.

1971
1968

1945

2013

With NIPPON STEEL CORPORATION, co-financed theestablishment of Nittetsu Kagoshima Geothermal Co., Ltd.
(absorbed into Nittetsu Mining in April 2013)

Withdrew from coal production
with the closing of the Ioujima
Quarry Complex

Nittetsu Mining was established separately from Japan Iron &Steel Co., Ltd. to develop and secure coal, iron ore, limestone,
and other raw materials for steelmaking. Nittetsu Mining took
over mines in Japan, including the Futase Mine (coal) and theKamaishi, Kucchan, and Akatani mines (iron ore).

1939

Established the Machinery
Sales Department

1990

1957

1960

1963

1966

1969

1972

1975

Nixon ShockWorld eventsFirst Oil Crisis

1978

Second1981

Oil Crisis

1984

1987

Plaza Accord

1990

1993

Collapse ofJapan’s bubble
economy

1996

1999

2002

2005

2008

2011

2014

2017

2021

Note: The bars on the graph represent non-consolidated net sales each year

September 11 attacks
in the USA

Great East Japan
Earthquake
Collapse of
Lehman Brothers

COVID-19
pandemic

Nonmetallic minerals
Metallic minerals

Nittetsu Mining’s
business segments

Coal

Machinery & environmental engineering
Real estate
Renewable energy
Securities

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Message from the President

Reiichi Morikawa
Representative Director and President

Stably supplying minerals resources
to help create a prosperous futureOver the past 83 years, we have developed an
accurate understanding of the rapidly changing
circumstances surrounding mineral and energy
resources and used our findings to advance anddevelop our business. Specifically, we expanded
beyond coal into metals, namely iron and copper ores.
Later, against a backdrop of dwindling domestic
resources, we pivoted to limestone, a nonmetal mineral
resource, and continued expanding abroad in search ofmetal resources to the point where we grew into themining-based integrated mineral resources company
we are today.

Although we anticipate that circumstances
surrounding mineral and energy resources will continue
to change substantially—for example due to theworldwide push to achieve carbon neutrality as ameans of mitigating climate change—we also expect
the steel, cement, and other industries to which we
consistently supply mineral resources to continue toremain indispensable in the quest to create acarbon-neutral society. We intend to continue fulfilling
our role as an integrated mineral resources company byproviding a stable supply of raw materials to support
core industries in Japan and around the world.

Resolute corporate culture
The mining business requires a long-term approach.
Everything starts with studies and development, and it
takes 10 years or more of time and management
resources to launch operations. Once operations finallybegin, they continue for decades—even beyond thecentury mark in the longest cases. There is an old
saying that every mine has a family. It describes how
everyone who works at a coal mine or other type ofmine is part of a family, because this line of work
naturally breeds a strong sense of camaraderie andspirit of cooperation. I believe such characteristics ofthe mining business, when viewed from a long-term
perspective, have fostered the Group’s corporate
culture of cooperating as we engage in our work. We
have always been keenly aware of the negative impact

mining operations have on surrounding communities,
and have a long-standing, firmly rooted inclination toprevent pollution from mining and take other steps toprotect the environment and contribute tocommunities.
However, self-initiated change is also important if weare to be a sustainable company that lasts for another100 or 200 years. Members of the younger generation
are particularly sensitive to trends in the world. Amid
sweeping changes in the business environment, it isessential for us to create working environments where
our future leaders feel free to engage in open andbroad-minded discussion about their views. If we cancreate more of these kinds of workplaces, we canfurther accelerate the growth of our business.

Productive investment in future growth (Medium-Term Management Plan)
Thoughts on more than 80 years of history
The Nittetsu Mining Group is an integrated mineral
resources company with an 83-year history.
We trace our origins to the Futase Mine establishedto serve as the Raw Materials Department of thestate-owned Yahata Steel Works, Japan’s first
integrated steel manufacturer. In 1939, the department
was separated from Japan Iron & Steel Co., Ltd. (theforerunner of NIPPON STEEL CORPORATION) to

92022 Integrated Reportdevelop and secure coal, iron ore, limestone, and otherraw materials for steelmaking. We formed a corporategroup as we took over mines in Japan and the rest of
the world. Since our establishment, we havecontinuously fulfilled our mission and responsibility toprovide a stable supply of mineral resources tosteelmakers and other members of core industries ofJapan.

Now is the time to pave a steady path toward thegrowth we aim to achieve in the near future. In May
2021, the Group published the Second Medium-Term
Management Plan. We view the three-year term of theplan, which started in FY2021, as the time to makelarge-scale investments in the sustainable growth of
the Group. Toward that end, we have two primary tasks
to achieve while maintaining our financial health andsecuring the earnings we need to make these major
investments. The first is to respond flexibly to changes
in domestic and international demand, namely the
restructuring of steelmakers, the main buyers oflimestone. The second is to strike a balance between

business activities and contributions to initiatives toachieve carbon neutrality and other SDGs.
In FY2021, the first year of the three-year plan, we
enjoyed higher revenue and profits than the previous
year thanks in part to rising copper prices in the
Metallic Minerals Division of our mineral resourcesbusiness, and thus exceeded the targets for net sales
and operating profit. We are making great progress with
our large-scale investments as well. Construction of thethird shaft at the Torigatayama Quarry Complex, ourmain limestone mine, is under way with the aim of
prolonging the capacity of the complex to provide astable supply of limestone. We expect to begin

NITTETSU MINING

10

Message from the President

full-scale operation in FY2023. At the Hachinohe Mine,a new mining area under development, we have alreadybegun extraction in a limited capacity with an eye on
full-scale operation during the next Medium-Term
Management Plan. Additionally, although development
at the Arqueros Copper Mine in Chile, which is in thedevelopment preparation stage, has been slower than
expected due in part to the COVID-19 pandemic anddelays in the environmental license application, detailed
design, and other processes, we aim to launch
full-scale operations during the next Medium-Term
Management Plan.
We will expand limestone exports and take othersteps to mitigate concern that domestic demand forlimestone will fall in the future given the restructuring ofsteelmakers, its main buyers. Specifically, we have set
the goal to expand exports to Asia, Oceania, and otherareas of the Pacific Rim where demand continues togrow, and will achieve it by leveraging the production
and shipping capacity and high quality of theTorigatayama mines—Japan’s most productive—aswell as identifying new demand and optimizing
production and sales efforts in response to futurechanges in demand.
In the Metallic Minerals Division, we aim to optimize
synergy by more efficiently cycling between smelting
and mining. The upcoming opening of the Arqueros
Mine will allow the Group to supply nearly 30,000 tonsof copper per year when added to the capacity of the
ATACAMA KOZAN Mine. This will be a major step
toward realizing an earnings structure that is morerobust against external factors such as the shifting
terms of ore sales agreements.
With regard to other business segments, we areconfident that the push toward carbon neutrality will
present business opportunities in machinery &environmental engineering and renewable energy
because they are centered on environmentally friendly
products. We are also looking into new productdevelopment to lead us into new markets, constructing
local production plants in Taiwan and Southeast Asiawith an eye toward further overseas expansion, andconstructing new geothermal power stations.

Satisfying all stakeholders
In terms of outside sales, we provide the largest
volume of limestone in Japan and shoulder the
responsibility of supplying the critical raw materials
including steel, cement, aggregates, and others that
underpin infrastructure. Copper is another essential
material for infrastructure, and demand for it is certain
to grow as electrification progresses in pursuit ofcarbon neutrality. Our mission is to provide a stablesupply of high-quality mineral resources in addition tocontributing to environmental conservation on a global
scale and doing our part to create a prosperous society
in the future.
It goes without saying that our employees are theones who must achieve sustainable growth for theGroup. I am grateful for the efforts of our employees

who earnestly perform their duties with a selfless,team-first attitude, and am committed to improving theworking environment so that they can continue to findfulfillment in their work.
I intend to fulfill my management duties with aconstant focus on determining the most balanced ways
to contribute not only to the happiness of ouremployees, but also of our customers, clients, local
communities, shareholders, investors, and otherstakeholders.
I hope you see a bright future ahead for the Nittetsu
Mining Group as we work to contribute to the happinessof all stakeholders and help create a prosperous
society in the future.

Working toward sustainable growth
To ensure the success of large-scale investments inupcoming growth and continue to rely on existing
business to grow, we must make the Group’s
management and organizational operation moresustainable.
As I mentioned earlier, to operate the business that
requires a long-term approach, we made the decision
long ago to devote ourselves to a management stylethat is considerate of the environment and society. It issafe to say that we were engaging in sustainability
management long before it became a popular topic as
it has in the past several years. Nonetheless, in an effort
to explicitly state our stance on sustainability to the
public going forward, we formulated a new
management policy—to contribute to the creation of aprosperous society in the future and to be a company
where each and every employee can work with highmotivation and pride—in addition to enacting our Basic
Policy on Sustainability as a subordinate concept and112022 Integrated Report

identifying material issues to achieve the policy.
We intend to implement business activities in earnest
based on the Basic Policy on Sustainability to advancetoward the realization of our management policy.
Efforts to realize our management policy are theactions we take for the benefit of society to fulfill our
raison d’être as a Group. The material issues we
identified as specific targets cannot be resolved
overnight; therefore, we must set out detailed KPIs andmake steady progress toward achieving them.
This integrated report—our first—is our statement onsustainability management, and by publishing it, weshare it with the world as well as within the Group. I
hope this report helps you understand how the Group isdeveloping business while fully considering society andthe environment, continuing to fulfill our mission toprovide a stable supply of raw materials to steelmakers
and other members of core industries, and enhancing
sustainability management.

NITTETSU MINING

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Nittetsu Mining’s Value Creation
Societal issues

Integrated mineral resources company

Society-wide sustainability• Climate change, pollution• Economic stratification,
regional inequalities• Demographic challenges(Japan: Low birthrate, aging
population)• Racial/social discrimination• Forced labor, child labor,industrial accidents

2,986,000 tons
Total calcium carbonate production

2,019• Social/relationship capital
Trust-based relationships with clients
Co-existence and co-prosperity withlocal communities• Natural capital
Operating mines 

14

Limestone mines in Japan, crushing, copper
mines overseas

Total area of mining areas 

Closure315 km2

Prospecting and mining rights in Japan

Acquiring forest certification for properties,
repurposing properties for new business

2022 Integrated Report

Mine life cycle

ESG initiatives

Research &Development

476,000 tons
Total copper concentrate production

43,000 tons
New technologies

1

Water treatment/dustcollection technology

Laboratories • Intellectual capital
Research and development
750 million yen
expenses 
Number of patents owned 
56

Machinery &Environmental
Engineering

Production

6

Crushing, machinery & environmental
engineering, etc.

Studies

Works/quarries Land use

562
23• Human capital
Number of employees (Group) 

Development

7

Head offices/branch offices Sales offices Overseas offices Affiliate companies 

Limestone, copper concentrates,
exploration, machinery & environmental
engineering, etc.

13

MineralResources

Real Estate

22,957 million yen• Manufacturing capitalBusiness locations 

Former mines

Renewable
Energy126,371 million yen

Limestone, geothermal steam supply, etc.

24,380,000 tons
Total crushed stone production

Management resources• Financial capital
Consolidated net
assets Interest-bearing
liabilities 

Total limestone production

Total sales of Polytetsu

216,000 tons
(Group wide)

Creating industrial infrastructure• Responding to climatechange• Promoting
environmental
conservation activities• Providing a stablesupply of raw materials
and products• Industrial safety andhealth• Co-existence andco-prosperity withlocal communities• Respecting humanrights and diversity,and developing humanresources• Strengthening
governance

Local development/employment

Achieve sustainablegrowth bycontributing tosociety through thedevelopment andstable supply ofmineral resources
and by harnessing
the collective
strengths of theGroup as anintegrated mineral
resources company.

Helping resolve environmental
and societal issues

Promoting carbon neutrality

Material issues

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Medium-Term Management Plan
Long-Term Vision

Financial Indicators and Medium- to Long-Term Management Goals

Achieve sustainable growth by contributing to society through thedevelopment and stable supply of mineral resources and by harnessing thecollective strengths of the Group as an integrated mineral resources company.
First Medium-Term
Management Plan

Strengthen management
infrastructure

Second Medium-Term
Management Plan
Execute large-scale
investments

We will steadily implement large-scale investments,
aiming to acquire resources for sustainable growth.
We will allocate management resources in response to
demand trends in Japan and overseas.

The current medium-term management plan
period is a time for full-fledged implementation oflarge-scale investments with an eye to future
growth. The third shaft at the Torigatayama Quarry
Complex (limestone) is under construction with theaim of beginning full-scale operation in FY2023. We
will proceed with development at the new mining
area at the Hachinohe Mine, already underdevelopment, and at the Arqueros Copper Mine,
which is in the development preparation stage,aiming for full-scale operation in the next
medium-term management plan period.
Business activity

We recognize that it is important to respondflexibly to demand trends in Japan and overseas,
especially in relation to structural reform at steel
manufacturers, which are major purchasers oflimestone, while securing profits that can handle
such active investments and maintaining financial
soundness.
For this reason, we will work to identify growthareas and develop demand in all our businesses, andstrive to balance our SDGs initiatives with ourbusiness activities.

Relevance• Micro power generation using water from mine shafts and solar
power generation for offices and company-owned land
• Collaborate with local governments to use public water for
Futureinitiatives small-scale hydropower generation• Cooperate with manufacturers to consider hybridization andelectrification of heavy mining equipment(certification acquired in company-owned forest in Hokkaido)

Machinery &Environmental
Engineering

Water purification for sewage treatment and industry effluent
Production andsale of wastewater
Use of recycled materials and coagulation to save energy intreatment agents,
factories
dust collectors anddeodorizers
Improve air quality through dust collection and deodorization

Renewable
EnergySupply steam to
Pursue sustainability of renewable energy
geothermal power• Construction of our own geothermal power station
stationFutureinitiatives • Study and promote introduction of renewable energy for in-house
Solar and small-scale
power generation and consumption throughout the Grouphydropower generation

R&D
Department

Develop new
products andmaterials that willcontribute toexisting and new
businesses

Future• Research hydrogen recovery from hydrogen sulfide
initiatives • Research CO₂ absorption and fixing in mineral products and waste*

Stable capital adequacy ratio

× Total capital turnover• Long-term life cycle of themining industry• Preparation of investment forsustainable growth

Improve capital efficiency by
reducing debt andcross-shareholdings

Temporary decline due tofull-fledged investment period

FY2019 Results

Operating margin

Total capital turnover

ROA (operating profit)
Capital adequacy ratio

Numerical Target

6.4%
0.68

4.4%

57.5%

FY2020 Results

7.3%
0.66

4.8%

58.9%

FY2021 Results

FY2023Medium- to long-term goals

Plan

10.5%

6% or more

8% or more

8.1%

4% or more
57.5% or more

7% or more
60% or more

0.77

0.7 or more

60.7%

(Assumptions) Exchange rate: ¥105 = US$1,
copper price: 350 cents/pound ($7,716/ton)
FY2019Results

FY2020Results

7.5

8.7

117.5

119.1

Investment recovery andnext investment
preparation period

FY2021Results (plan)

149.0 (128.4)
15.7

(9.4)

0.9 or more

(Billions of yen)
FY2022Plan

FY2023
Plan

9.0

7.3

125.6

123.8

Our plan assumes net sales to hold steady for the most part. Regarding limestone, we plan to counteract the drop in sales because of theongoing consolidation of blast furnaces due to the restructuring of steelmakers—the main buyers of limestone—by expanding exports to Asia,
Oceania, and other areas where economic growth is substantial. We also aim to expand exports of high-grade limestone from Torigatayama,
which features loading facilities compatible with large vessels. We expect copper sales to hold steady as well, but will increase sales once the
new copper mine comes online during the next Medium-Term Management Plan. Additionally, we are aiming to expand sales in machinery &environmental engineering (mainly environmentally friendly products).

In-house generation of electricity by long distanceconveyor belt (Torigatayama)

Greening and appropriate maintenance of former mine sites (usedeffectively in some real estate projects) and sedimentation sites
Forest certification system: Operate in accordance with SGEC

Increase profitability by
improving quality andcontrolling costs

Operating profit(certification obtained for all limestone mines under direct control)

Reuse steel slag and copper slag, and increase procurement ofrecycled raw materials to Tamano Smelter

Operating margin

Net sales

Operation of an environmental management system inaccordance with ISO 14001

Development andoperation oflimestone mines,
copper mines, etc.

ROA (operating profit)

Related SDGs

Contribute to the development of industrial infrastructure,regional development, and employment

MineralResources● We will improve our ROA (return on assets) in order to improve operating profit through theefficient operation of total capital.
● We will maintain a stable capital adequacy ratio.

Carbon-neutral
society

Specific
initiatives toachieve carbon
neutrality

Financial Plan and Capital Investment Plan
EBITDA

Capital investment
Depreciation

FY2019Results

FY2020Results

8.8

7.5

12.9
5.3

14.0
5.3

(Billions of yen)
FY2021Results (plan)

21.1 (15.2)
11.0 (12.1)
5.4 (5.8)

FY2022Plan

FY2023
Plan

13.2

17.3

14.8
5.8

15.4
8.1

Notes: 1. EBITDA: Operating profit + depreciation. 2. Capital investment: (FY2021 to FY2023) Including the stripping activity asset.

We plan to invest in the following three endeavors to bring our total investment in development toward sustainable growth to
29,000 million yen (during the Second Medium-Term Management Plan).
• Constructing a third shaft at
Torigatayama
The largest-scale construction projectsince the complex opened is under way
with the aim of starting full-scale
operations during FY2023. The goal is tosustain our stable supply of limestone anduse and extract mineral resources more
effectively and efficiently.

• Developing the Hachinohe Mine,a new mining area
We will start development and perform
initial stripping and river rerouting work tocreate the next major extraction area. We
began extraction in a limited capacity in
FY2021 and aim to complete theconstruction work during FY2024.

• Developing the Arqueros Copper Mine
With regard to the environmental license
application and detailed design processes,
progress has been slower than expected
due in part to the COVID-19 pandemic. Asof now, we aim to launch operations during
FY2024.

* We are revising some future initiatives to better match present circumstances.

152022 Integrated Report

NITTETSU MINING

16

Overview of Business Segments
Mineral Resources

Machinery & Environmental Engineering

Real Estate

Renewable Energy

The Nonmetallic Minerals Division boasts the
top level of limestone production in Japan on
the strength of our limestone mines throughout
the country, including the largest in Japan: theTorigatayama Quarry Complex.
The Metallic Minerals Division operates the
Atacama Copper Mine of the Republic of Chilein South America and smelts electrolytic
copper on consignment from Hibi Kyodo
Smelting Co., Ltd.

The Environment Division supplies
wastewater treatment agents, with a special
emphasis on our inorganic iron flocculant,
Polytetsu.
The Machinery Division satisfies a broad
range of needs with dust collectors and otherenvironmentally friendly products as well as
general industrial machinery.

The Real Estate Division has carried out
business activities to effectively use
company-owned real estate. The division
manages office buildings, condominiums, andother buildings on company-owned real estatein urban areas, and is developing leasing
business to meet market needs (e.g.
restaurants, merchandise outlets, factories,
storehouses, parking areas) at former minesites and on idle land throughout Japan.

Efforts are underway in this segment todevelop renewable energy in ways thatconsider the global environment, for example
using our prospecting technology cultivatedthrough mineral resource development to study
and develop geothermal energy and supply andsell geothermal steam, generating solar power
at former mine sites and on other idle
company-owned land, and small-scalehydropower generation using seepage water intunnels.

Our business strategies in this segment ▶ P. 19

Our business strategies in this segment ▶ P. 20

Our business strategies in this segment ▶ P. 21

Our business strategies in this segment ▶ P. 22

Net sales

Operating profit

133,124 million yen 14,296 million yen

172022 Integrated Report

Net sales

Operating profit

Net sales

Operating profit

Net sales

Operating profit

11,345 million yen

1,000 million yen

2,825 million yen

1,575 million yen

1,787 million yen

509 million yen

Share of operating profit

Share of operating profit

Share of operating profit

Share of operating profit

Share of net sales

Share of net sales

Share of net sales

Share of net sales

NITTETSU MINING

18

Overview of Business Segments

Metallic Minerals Division

Mineral Resources
Net sales

Business strategies

Operating profit(Millions of yen)

(Millions of yen)

14,296133,124
104,255

106,888

100,227

103,489
7,834

2017

2018

2019

2020

2021

Nonmetallic Minerals Division
Limestone, crushed stone,
calcium carbonate, fuels, etc.

2017

(Fiscal year)

7,398

7,298

2018

2019

2020

Other

2021

(Fiscal year)

28,402

Copperconcentrate

14,164

Net sales by item
(Millions of yen)

Electrolytic
copper

55,459Crushed stone

6,149

Calciumcarbonate

3,200

Fuels, etc.

16,638

Our long-term goal is to expand into the global
market ahead of the projected decline in domestic
demand. Steelmakers in Japan—major buyers oflimestone—are proceeding with efforts to streamline
by consolidating blast furnaces in Japan and toenhance their systems for producing raw materials
overseas in light of the projected decline in domestic
demand and other countries’ moves toward
self-sufficiency in production. Accordingly, we
anticipate a measurable decrease in demand forlimestone for steelmaking in Japan. On the other hand,worldwide demand for steel is on the rise year after
year as developing economies grow substantially.
Therefore, we intend to expand exports to China,
Taiwan, Australia, and elsewhere in Asia and Oceania to

Limestone

Limestone is an essential primary and secondary mineral resource in the production ofsteel, cement, and other industrial materials. It also has many other applications, including
as an aggregate in civil engineering and construction, a desulfurizer at power plants andwaste treatment facilities, and a material in the process of manufacturing fertilizer, animal
feed, glass, paper, sugar, pharmaceuticals, food products, and more. Thus, limestone ispresent in every aspect of our daily lives.

Copper ore

Copper is a highly conductive material used in all electrified machines and infrastructure(e.g. power cables), and its importance is on the rise amid the proliferation of electricvehicles and renewable energy on the path toward society-wide carbon neutrality.

Nonmetallic Minerals Division
Business strategies

capture the increasing demand we expect in thoseplaces. Although ramping up exports will require us tofurther strengthen our system for providing a stablesupply, we must also reevaluate operational risks andrevise our backup systems at coastal quarry complexes
in light of the January 2021 fire along our long-distanceconveyor belt at the Torigatayama Quarry Complex inaddition to harnessing cutting-edge technology to
streamline production and improve economic
efficiency.
We are also looking into mineral resource
development in comprehensive terms, for example tomaintain and expand the Group’s productivity and for
BCP systems.

Machinery & Environmental
Engineering
Net sales
11,812(Millions of yen)

12,52011,083

10,015

Environmental efforts

The mining industry is typically saddled with thenegative impression that it is environmentally
destructive, which is all the more reason to devoteenergy to environmental efforts, including controllingnoise and dust in operations, rigorously managing
water quality at faces and sedimentation sites, andgreening and managing extraction sites after mines are

19

2022 Integrated Report

Another long-term goal is to achieve stable profits inour smelting business. In pursuit of this goal, we will
work with our investing partners to streamline as well as
discuss and coordinate the timing of investments topromote the recovery of cost competitiveness of
smelting outsourcing companies, and promote theprocurement of raw materials that stabilize ouroperations and recycled materials that enable us tocontribute to a sustainable society.

Limestone

9,109

Metallic Minerals Division

Electrolytic copper, copper
concentrate, etc.

7,007

Our long-term goal is to produce at least 50,000 tonsof copper concentrate (copper equivalent) per year in
the Republic of Chile. At present, our Chilean subsidiary
Atacama Kozan produces 13,000 tons of copper
concentrate (copper equivalent) per year. We expect
roughly 15,000 tons of copper equivalent from theArqueros Copper Mine, which we aim to bring online
during the next Medium-Term Management Plan
(FY2024–FY2026). This would bring the total to justunder 30,000 tons per year. We aim to add moreproduction to reach 50,000 tons by promoting new
development projects and retaining rights and interests
into the future, and also to balance the smelting andmining sides of the business to create an earnings
structure that is more robust against external factors.

closed. One such effort is our operation of ISO
14001-certified environmental management systems
at each of the mines under our direct control. We havealso begun to consider using water from mine shafts togenerate power as well as generating solar and wind
power at our offices and on company-owned land as ameans of decarbonizing.

Operating profit(Millions of yen)

1,382

11,345
1,112

1,017

1,000

2020

2021

772

2017

2018

2019

2020

2021

(Fiscal year)

2017

2018

2019

(Fiscal year)

NITTETSU MINING

20

Overview of Business Segments

Machinery & Environmental Engineering
Business strategies

Our long-term goal is to raise profits in the segment
to at least 3,000 million yen, roughly triple the present
level. We believe this segment represents a future

Renewable Energy
growth sector because our products in it—namely
wastewater treatment agents and dust collectors—
directly address environmental issues.

Net sales

1,734

Environment Division

Specific initiatives in this division include developing
next-generation wastewater treatment agents to
explore new demand and constructing production
plants in Taiwan and Southeast Asia to open up the
global market for wastewater treatment agents.
Although we have expanded the market for sewer

Machinery Division

Initiatives in this division include opening up Asia andthe rest of the global market for dust collectors,
automating production of dust collector filters andmaking other improvements to enhance thecompetitiveness of our prices, and expanding sales bydeveloping new applications for smoke separators. To
expand sales for Sinter Lamellar Filter, we plan todevelop the markets in China, South Korea, Taiwan, andsystems with our wastewater treatment agent
Polytetsu, we intend to develop next-generation
wastewater treatment chemicals to enter new markets.
We also plan to construct production plants in Taiwan
and Southeast Asia to increase the competitiveness of
our prices while capturing demand in those areas.

Southeast Asian countries as well as the Republic ofChile, home to one of our Group companies. As for
smoke separators, we are looking into applications
other than removing tobacco smoke—for example
removing CO and nursing care-related odors—toexpand sales.

2,704

2,748

(Millions of yen)

2,886

2,803

1,868

1,782

2,825

Operating profit

1,433

1,473

(Millions of yen)

1,609

1,630

1,575

2017

2018

2019

2020

Business strategies

Our long-term goals are to maximize our supply of
steam for geothermal power stations, construct andoperate new geothermal power stations, and introduce
renewable energy throughout the Group, and we haveset out specific initiatives for each goal. We believe thisSpecific initiatives in this division include
investigation and drafting plans to ensure a stablesupply of steam to cover the maximum electricity
output of the Ogiri Geothermal Power Station, andpromoting investigations into constructing new
geothermal power stations. Under the project to supply
steam to the Ogiri Geothermal Power Station of Kyushu
Electric Power Company, Incorporated, we maintain acalendar-day facility utilization rate of roughly 70%, oneof the highest in Japan. However, we aim to establish asteam generation-hot water re-injection system toenable stable steam generation over the long term, andSolar Power Division

Specific initiatives include engaging in safe
operations and considering ways to use surplus
electricity. When there is an oversupply of solar power,
output control is activated, preventing facilities from2017

Business strategies

2018

2019

2020

Our long-term goals are to continue developing idle
company-owned real estate and to improve profitability
by rearranging properties. Specific initiatives include
promoting studies for new development, improving
customer satisfaction and ensuring profitability throughrenovations, and re-examining the profitability andpotential of existing properties.
We are presently studying the feasibility of projects

212022 Integrated Report

2021(Fiscal year)

2017

2018

2019

2020

2021

(Fiscal year)

under discussion for new development using idle
company-owned land, and are also considering
replacing unpromising assets in terms of future
profitability improvement while effectively managing
existing properties to further stabilize profits.

Operating profit

Small-scale hydropower generation Division

For our small-scale hydropower generation using
seepage water from the tunnel of the Kamaishi Mine, we
regularly inspect the tunnels and facilities, and aremaking improvements and striving for safe operations.

Group-wide initiatives

We will use what we have learned about renewableenergy to continue considering the introduction ofrenewables—including in-house power generation andconsumption—at Group offices, affiliates, idle

(Millions of yen)

509

1,787
309

Geothermal Division

Real Estate
Net sales

1,923(Millions of yen)

2021

(Fiscal year)

2017

363

2018

415

434

2019

2020

2021

(Fiscal year)

is the most impactful segment for environmental
conservation and sustainability, and we intend to makeour best efforts in terms of contributing to achieving
SDGs and carbon neutrality.

are evaluating geothermal reservoirs as well as
analyzing their structure through geophysicalexploration of ground surfaces and other studies andformulating plans to dig auxiliary production wells andwells for re-injection.
Additionally, in September 2022, the mayor of
Kirishima approved our survey-phase plan for the city
regarding development in the Shiramizugoe district,another new project. We will continue our development
and investigation while taking sufficient time to explainthem to local stakeholders and gain theirunderstanding.

transmitting electricity. However, in light of legislative
trends and technological innovation, we are considering
ways to make generated electricity available even when
there is a surplus.

We are also moving forward with studies of small-scalehydropower generation at other mines and oncompany-owned land.

company-owned land, and elsewhere in addition topromoting projects that fulfill conditions in an effort tocontribute to achieving carbon neutrality.

NITTETSU MINING

22

Special Feature

1

Mining Development

Spreading Nittetsu Mining throughout the world Risk management
Laos (copper, tin)

Morocco (tin)Philippines (limestone)
Fiji (copper, gold)

Cambodia (copper)

Ever since our founding, with the pride of a mining
company that consistently rises to the challenge ofdeveloping underground resources, we have madeefforts to secure rights and interests from the earliest
stage and develop mineral resources with the goal ofindependent exploration, development, and operation,

Geophysical exploration

2022 Integrated Reportand have developed technology for handling all aspectsof mining development, including prospecting for andassessing mineral deposits, mining, and beneficiation.
We use this technology to develop and secure new
resources and provide a stable supply of mineral
resources inside and outside Japan.

MiningWhen prospecting for metallic mineral deposits outside
Japan and for nonmetallic mineral resources in Japan, we
use ground penetrating radar (GPR), gravity survey, andother geophysical exploration centered on electrical andelectromagnetic survey, depending on the purpose of theprospecting. In fact, electrical and electromagnetic survey
helped us discover mineral deposits during thedevelopment of the ATACAMA KOZAN Mine in Chile.
Although prospecting technologies include manymethodologies, we have some of the most advanced
technology in the world for magnetotelluric (MT)methods—a type of electromagnetic survey—asillustrated by the fact that we have more measuring
instruments for these methods than anyone in Japan andhave developed our own methods of analysis. MT methods
are used to derive the specific resistivity of undergroundareas from the signals of natural geoelectric andgeomagnetic fields, and make it possible to explore
several dozen kilometers below the ground surface, far
deeper than other methods of specific resistivity
prospecting. Accordingly, we have used the methods manytimes in investigations of crustal and geothermal structure,and they have been immensely helpful for developing an
understanding of geothermal resources in Ogiri andpromising areas around it. The audiomagnetotelluric (AMT)
method—which involves the observation of naturalgeoelectric and geomagnetic fields at higher frequencies
than other MT methods—enables more detailed
prospecting despite being limited to a depth of roughly
1 km below the surface. We have used the AMT method tosurvey metallic mineral deposits as well as thermal springs

23

Copper mines in Chile

ATACAMA KOZAN Mine (operating)
Arqueros Mine (development
preparation underway)● Operating mine/preparation
development underway● Major exploration projects

Exploration

Chile (copper, gold, silver)

Beneficiationand faults.
The spectral induced polarization (SIP) method is a
developing technology that has attracted attention inrecent years. Under the SIP method, the undergroundelectrical response at each frequency is measured, andthe characteristics of each are used to classify
underground areas in greater detail. Because methods ofmeasurement and analysis have not yet been established,basic testing, rock core testing and analytical programs
have been developed in fields in Japan, and the method iscurrently gaining traction in metallic mineral prospecting
outside Japan.
Ground penetrating radar (GPR) is also being used ingeophysical exploration toward making operations
safer—for example, this method of prospecting is useful inthe early detection of cavities in the faces of limestone
mines.

Mineral resource development on the global
stage is no simple task; accordingly, it involves
many risks (uncertainties). Exploration is widely
considered to be an extremely low-probability
industry—out of 1,000 promising mineral deposits,
only a few make the grade. We have come up
against new risks in the past several years; inaddition to geological risks, country risk in the• Country risk
We work to minimize risk by
swiftly discerning and taking
measures to counter risks
pertaining to politics,
economics, natural disasters,diseases, and other factors ineach country. We will also enlist
local agents in gathering
information to expedite ourrecognition of these risks.

countries and regions targeted for development,
and the other inevitable risks of mining
development, the cost of development isincreasing as we must travel farther and deeper toreach mineral deposits of interest, and resource
nationalism is appearing in more forms than ever.
Below are examples of measures the Group plansto take to counter these risks.

• Resource nationalism-basedrisk
We build systems capable ofsustaining our stable supply ofmineral resources by making
efforts to diversify resources
for each type of mineral outside
Japan and dispersing risk withprospecting and production
locations in multiple countries.

• Increasing remoteness/depthof mineral deposits of interest
We utilize satellite imaging
technology and othertechnologies to enable initialprospecting in regions outside
the scope of previous
development, and use
magnetotelluric methods (MTand AMT) in the context ofgeophysical exploration to
search even deeper for minerals.

Providing a stable supply with dispersed locations
We own limestone and gravel mines throughout
Japan. Our limestone mines—the origins of ourleading product—are located as far north as
Hokkaido and as far south as Kyushu, and ourSodegaura Distribution Center in Chiba Prefecture
houses our stockpile of limestone for aggregatesand steel in the Kanto region.
Our four coastal quarry complexes—Shiriya
Quarry Complex, Hachinohe Mining Co., Ltd.,Torigatayama Quarry Complex, and Oita Quarry
Complex—have loading facilities for ships andfunction in tandem with the Sodegaura Distribution
Center, giving us multiple options when production
and shipments are delayed due to typhoons, heavy
rain events, and other natural disasters, andcontributing to our stable supply of mineral
resources.

Shiriya Quarry
Complex
Hachinohe Mining
Co., Ltd.

Sodegaura
Distribution
CenterTorigatayama Quarry Complex
Oita Quarry Complex

NITTETSU MINING

24

Special Feature

2

Research and Development

Developing technology to resolve many societal issues Improving water treatment capacity and reducing CO2 emissions
SocietalissuesRealizing safe, secure working environments

Polytetsu

The increasingly uneven distribution of water due to climate change, contamination associated with worldwide
population growth and industrial development, and other water-related problems are—along with climate change
itself—the most serious of societal issues. In order to effectively utilize water resources, it is becoming increasingly
important to purify and reuse wastewater.

Effectiveness of Polytetsu
Polytetsu delivers excellent coagulation
sedimentation and deodorization effects to purify
wastewater from sewage treatment plants andprivately owned factories, thereby increasing thequality of treated water and contributing to thestable supply of safe water. It also removes
phosphorus from treated water, preventing marine
eutrophication and contributing substantially toecosystem conservation.
The past several years have seen growing
expectations for the use of gas and sludge
generated in the wastewater treatment process assources of biomass energy. Polytetsu helps maintainfacilities and save energy in the process of tapping
into this biomass energy. For example, Polytetsu
prevents corrosion in digesters by limiting hydrogensulfide that is generated concurrently with methanegas. Additionally, its excellent dewatering capacity
makes it a popular choice as an aid for dewatering
sludge—it lowers the moisture content of sludge,
which can reduce the amount of fuel oil used toincinerate the sludge.
The process of producing Polytetsu emits less
CO2 than other inorganic flocculants, meaning that it
reduces the environmental impact both when it isproduced and when it is used.

Treatment process at a sewage treatment plant
Water treatment
process

Removing phosphorus and heavy metals
improves the quality of treated water

Initial settling tank

Raw sludge

Reaction tank

Methane gas
Digestion gas power
generation facilities

Drying/carbonization
process

Digester

Limiting hydrogen sulfide
generation prevents
corrosion of facilities

Dewateredsludge cakes
Incinerator
Dewatering machine
Dewatering aids reduce
electricity consumption
and the size of thedewatered sludge cakes

Turn into
fertilizers/
fuels
Biomass
utilization

Concentrated
sludgePolytetsu
added here

Advancedtreatment/
discharge

Sludge treatment process

Excess sludge

Concentration
process

Final settling tankSocietalissues25

2022 Integrated Report

Entities in many industries are now expected to use energy-saving, efficient systems and ensure safety at all
times when recovering surplus materials from production lines, capturing waste from products, and collecting dust.
Companies involved in manufacturing materials for batteries, toner for printers, and the like, and companies
engaged in producing steel, mineral resources, cement, animal feed, and more are dealing with a growing amountof particulate matter that evades conventional bag-filter dust collection. In response, dust collectors must satisfy
restrictions on emissions into the workplace and surrounding environments and fulfill other requirements that growstricter by the year.

Effectiveness of Sinter Lamellar Filter
Sinter Lamellar Filter removes potentiallyunhealthy dust to help create safe working
environments and prevent air pollution.
Sinter Lamellar Filter is formed by sintering resinand coating the surfaces with a special coating thatgives the product the ability to efficiently filter andcollect particulate matter from the air. With great
fissility for capturing particles, Sinter Lamellar Filter
is capable of collecting particles that are
deliquescent, extremely moist, or otherwise difficult

to collect. With better filters developed quite
recently, the product can also collect fine powders
that evade conventional filters.
Resin filters are tough, strong, resistant todamage, and structured to prevent captured
particles from infiltrating. Therefore, they resist
pressure loss better and last longer than bag filtersin addition to reducing waste by virtue of having alonger filter replacement cycle.

Incineratorash

Dust-collecting layer on
the surface of SinterLamellar Filter

Low moisture content reduces
auxiliary fuelHigh-temperature operation
reduces N2O gas

Contributes to energy-saving operation and fuel reduction,
thereby reducing CO2 emissions

Fluoropolymer

Outlook on technological development• Application of more efficient production
methods• Establishment of production methods using awider array of raw materials

Capturedparticles• Development and popularization of new
products

In the course of finding solutions, the department
actively searches through and introduces outsidetechnology and combines it with our proprietary
technology to develop distinct technologies that willcontribute to the future. We also intend to adapt our
proprietary technology to reduce greenhouse gases in aneffort to contribute to the achievement of carbon
neutrality.

Base material

Purified air flows out
the top of the element
after dust is collectedon the surface.

Outlook on technological development• Development of methods ofproducing more efficient filters thatsave more energy• Development of filters capable ofreducing energy consumption byfans due to lower pressure loss

Technological development
Our R&D Department is researching, developing, andengineering new products and materials to contribute tosociety based on the wealth of mining development
technology and experience we have amassed over theyears.
The department views itself as one of our service
departments, and thus selects themes of development andpursues solutions that proactively incorporate
stakeholders’ needs.

Sinter Lamellar Filter• Development of filters capable ofreducing CO2 emissions during
production and disposal• Development of highly
heat-resistant filters for biomass
power generation facilities, etc.

R&D Center

NITTETSU MINING

26

Sustainability at Nittetsu Mining
Basic Policy on Sustainability
1

We contribute to the sustainable development of society and the economy through thedevelopment and stable supply of mineral resources.

2

 e understand the significance of protecting the environment and maintaining biodiversity andWpromote the reduction of environmental impact and the efficient, cyclical use of resources in aneffort to maintain a healthy global environment. Specifically, we continue undertaking targeted
efforts to achieve carbon neutrality in the context of global warming countermeasures.

3

 e seek solidarity and harmony with local communities as we develop in an effort to continueW
to be a trustworthy, indispensable company.

4

We respect human rights and diversity and provide bright, well-ventilated workplaces with theaim of helping our employees achieve self-realization and better lives.

5

We prioritize safety in all business activities and work to prevent industrial accidents bycreating healthy, sanitary, comfortable working environments.

6

We disclose information as appropriate to establish and maintain healthy, quality relationships
with all stakeholders.

Promoting environmental conservation activities• Preserving biodiversity (greening and properly maintaining former mine sites and sedimentationsites)• Producing and selling environmentally friendly products
Providing a stable supply of raw materials and products• Contributing to society through the development and stable supply of mineral resources

Industrial safety and health• Creating working environments where each and every employee can work with high motivation• Efforts to prevent industrial accidents
Co-existence and co-prosperity with local communities

Respecting human rights and diversity, and developing human resources• Raising awareness of human rights• Realizing diversity and inclusion

Strengthening governance• Rigorous compliance• Improving corporate value by continuing to engage in sensible, healthier, and more transparent
business activities
Process of identifying material issues
We referred to the GRI Standards to identify environmental, social, and economic issues in mining, ourmain line of business. Then, we carefully considered our mission, the characteristics of our business, ourstrategies, and what our stakeholders and the rest of society needs from us. We created a materiality
map and double-checked the significance of each item using models such as the SDGs wedding cake,which depicts the environment as the foundation of social and economic activities. Finally, we arrived at
our list of material issues.

Policy Chart

Board of Directors

Management Policy

Supervision/Direction

Sustainability Committee
Committee chair

Representative Director and President
Executive officeSustainability Promotion Sect., Corporate Planning Dept.
(established April 1, 2022)

2022 Integrated Report

Basic Policy on
Sustainability
Environmental Policy
Human Rights Policy
Industrial Safety and Health Policy
Procurement Policy(Policy for Responsible
Mineral Procurement)

Greater significanceSignificance to stakeholders

Sustainability Committee Chart

Report/Proposal

27

Responding to climate change• Initiatives to achieve carbon neutrality (e.g. promoting the introduction of renewable energy)

We engage in fair business activities, observing laws, regulations, and social norms.

Corporate governance7

List of material issues

Materiality map
Promoting environmental
conservation activities

Responding to climate change
Providing a stable supply of raw
materials and products

Co-existence and co-prosperity
with local communities

Respecting humanrights and diversity

Strengthening governanceDigital transformation
Human rights in the supply chain
Social contribution activities
Indigenous rights

Industrial safety and health

Wages

Risk management

Public welfare
Labormanagement
relations

Strengthening the BCP

Technological innovation
Utilizing IT/AI technology

Significance to Nittetsu Mining

Greater significance

NITTETSU MINING

28

E

Generating power from renewable energy

Environment
The path toward achieving carbon neutrality by 2050 
work together as a Group to create and follow aroadmap toward achieving carbon neutrality by
2050. We will transition to executing specificmeasures in addition to taking action to reduce
non-energy-derived CO2 emissions from thequicklime production process while keeping an eye
on technological advancements in CCUS and otherareas.

As the years pass, climate change is having agreater impact on social and economic activities,
and the shift toward carbon neutrality is spreading
rapidly. Nittetsu Mining launched the Sustainability
Committee in April 2022 and pledged to makegreater efforts than ever before to resolve
environmental and social issues. In June 2022, weendorsed the TCFD recommendations on
climate-related financial disclosures and resolved toRoadmap to achieving carbon neutrality
CO2 emissions(thousand t-CO2)

Energy-derived CO2 (fuel-/electricity-derived)

300

Carbon offsets

Non-energy-derived CO2 (process-derived)

Domestic energy-derived
CO2 emissions in FY2030:

At least 38% lower
than FY2013

200

175

163

145

153

108

Goal: Achievecarbonneutrality in

101

103

94

We are effectively using former mine sites—
primarily locations that served as offices, production
plants, ore storage areas, and company housing
when the mines were active—to construct solar
power plants. We are also using idle land and former
mine sites in the leasing business component of ourreal estate segment. Mines are destined to beclosed once the limited resources within are
extracted. These efforts to repurpose the land for
new businesses after the mining is complete are ourway of sustaining business activities.

Kamaishi Mega Solar Power Plant (former company housing site)

Mitaka Nisshin Building
Honami Park City (former(former research laboratory) coal mine)

83

Greening former mine sites and preventing pollution

0

2013

2019

2020

2021

2030

2050

Measures to achieve carbon neutrality
We will promote the following measures
to successfully travel the path set out on
our roadmap to carbon neutrality. As one
measure, in October 2022 we switched torenewable energy-derived electricity topower our head office in the Yusen
Building. We also intend to expedite ourefforts to reduce CO2 emissions.

2022 Integrated Report

Our Kagoshima Geothermal Facility supplies geothermal steam

Using idle land and former mine sites

Scope 1 and Scope 2
emissions by FY2050

100

29

We have active projects in each division of ourrenewable energy segment. In the Geothermal
Division, we are supplying geothermal steam to ageothermal power station in Kyushu. In the Solar
Power Division, we are selling solar power in eightlocations across Japan (one in Hokkaido, three in
the Tohoku region, one in the Kanto region, andthree in Kyushu). We are also selling small-scalehydropower generated using seepage water intunnels at one location in the Tohoku region.
We intend to continue studying and developing
clean energy to enable us to help protect the global
environment through our business activities.

• Streamline facilities and introduce energy-saving technology• Introduce solar, wind, and small-scale hydropower generation forinternal consumption• Promote transition to EV in the company vehicle fleet• Increase forest absorption by greening former mine sites andsedimentation sites at active mines• Switch to biofuels for heavy machinery, use technologicalinnovations to switch to electric heavy machinery, etc.
• Purchase renewable electricity• Introduce new technology for CCUS and the like to reduce
process-derived CO2 in the future

Mining development inevitably involves altering
the environment, for example by removing trees
from excavation areas. Decades pass between thedevelopment and closure of mines; we plant trees
and vegetation in extraction areas andsedimentation sites after mining-related operations
are complete in an effort to restore the environment
and landscape. We also conduct patrols andinspections mandated by the Mining Safety Act andperform the necessary maintenance at former
mines throughout Japan to prevent pollution.
Greening at the No. 5 Sedimentation Site at Torigatayama
Quarry Complex

NITTETSU MINING

30

Environment

Endorsing the TCFD recommendations
In June 2022, the Group announced its
endorsement of the recommendations of the Task
Force on Climate-related Financial Disclosures(TCFD). We consider responding to climate change
to be one of our key management issues and aim toengage in sustainable business activities andimprove our corporate value over the longer term byfurther accelerating the actions we take to achievesociety-wide carbon neutrality.

Governance
In April 2022, we established a Sustainability
Committee in an effort to further strengthen our
initiatives to combat climate change and resolve
societal issues (e.g. achieve SDGs and carbon
neutrality), achieve a sustainable society, andsustainably improve our corporate value.

Strategies
The Sustainability Committee formulates policies,
targets, and action plans for combating climatechange and realizing other aspects of sustainability;
manages and evaluates our progress toward thetargets; discusses individual measures in depth; andreports and advises the Board of Directors on aregular basis.

Risk management
The Group established the Sustainability
Committee in April 2022 to respond to climatechange-related problems. The Sustainability
Committee identifies climate-related risks andopportunities and then evaluates and reconsiders
them by monitoring the progress of subsequent

We have exhaustively identified risks andopportunities presented by the impact of climatechange on each of the Group’s businesses under
two scenarios: a global average temperature
increase of 2°C or lower, and an increase of 4°C. We
split the risks brought by climate change into two
categories: transition risks associated with thetransition to a low-carbon (or decarbonized) society,
Category

actions taken in response to them. Additionally, interms of efforts to achieve carbon neutrality, thecommittee discusses plans for reducing CO2
emissions, manages the progress of plan
implementation, and takes necessary measures.

Policies/legal
regulations

Technology

from the FY2013 level by FY2030, identical to theJapanese government’s target for thecorresponding CO2 emissions category.*2 Notably,
we intend to further reduce non-energy-derived CO2
emissions from the quicklime production process bymonitoring technological advancements andintroducing new technology for CCUS and the likeonce it is ready for real-world implementation.
We also plan to introduce new technologies anduse carbon offsets and other means of achievingcarbon neutrality to meet the long-term goal of
reducing direct and indirect (Scope 1 and Scope 2)
emissions of the Group’s non-energy-derived CO2
by FY2050.

*1: 38% or higher reduction from the FY2013 level:
The target rate of reduction for CO2 emissions derived from fuel and electricity consumed at plants and business locations under the Industrial category of
the Japanese government’s CO2 emissions categories*2: The Japanese government’s FY2030 target for the corresponding CO2 emissions category:
The rate of reduction for the corresponding CO2 emissions category set out in the Comprehensive Plan of the Government under the Act on Promotion of
Global Warming Countermeasures (approved by the Cabinet on October 22, 2021)

31

2022 Integrated Report

Increase in carbon
pricing
Tighter regulations

Development of newtechnologies

Indicators and targets
The Group is making efforts to reduce CO2
emissions by steadily transitioning to implementing
measures to combat climate change, including
reducing fuel and electricity consumption bystreamlining and switching to energy-saving
facilities and introducing renewable energy-based
power generation facilities and switching to
renewable electricity for internal consumption.
Specifically, we aim for a 38% or higher reduction*1of energy-derived CO2 emissions from domestic
Group companies’ consumption of fossil fuels andelectricity out of their total CO2 emissions—the sumof their direct (Scope 1) emissions and indirect(Scope 2) emissions from their use of electricity andother energy purchased from other companies—

Event

Transitionrisks

Spread of renewableenergy/energy-saving
technologies

Risk oropportunity• Costs increase when new carbon-related taxes are introduced

Risk• Costs increase amid the shift to electric/energy-saving equipment
and systems at production locations• Costs increase when fuels and power sources for large and heavymachinery are changed

Risk
Opportunity
Risk
Opportunity

Fluctuation of product/
material prices
Opportunity

Reputation

Changes in customer
behavior

AcuteIntensification of
meteorologicaldisasters(e.g. typhoons, floods)

Physicalrisks
Chronic

Increase in mean
temperatures

Description

Risk

Risk

Marketand physical risks, which we separated further into
acute risks caused by heavy intensive rainfall,
floods, and other meteorological phenomena thatcome and go, and chronic risks that have along-lasting impact, such as sea level rise and heatwaves. We plan to continue analyzing the scenarios
to gain an understanding of the impacts on ourbusiness and will formulate strategies accordingly.

Risk• Demand for limestone decreases when alternative materials andtechnologies are developed• Profits increase when we develop products that help lower GHG
emissions• Energy procurement costs increase when we purchase renewableenergy• Greater possibilities for new development in geothermal power
generation, solar power generation, and other areas• Raw material procurement costs increase as decarbonization
progresses• Investment costs increase as competition for mining development
projects intensifies• Regulations become stricter and tax burdens grow as resource
nationalism emerges• Demand for copper increases amid growing demand forelectrification• Economically minable ores increase as the profitability of copper
mines increases• Costs increase when we respond to demand for products with lower
GHG emissions

Opportunity • Customers demand more products that help reduce GHG emissions
Risk

Opportunity

Risk• Costs increase as we undertake disaster control measures anddisaster recovery at production locations• Sales decrease due to supply chain interruptions• Demand for limestone increases as disaster risk reduction
infrastructure is developed• We retain the ability to produce and deliver during disasters byleveraging the strengths of our dispersed locations• Risk of flood damage at coastal locations due to sea level rise
• Operations impacted by the increased risk of drought• Productivity declines due to negative impacts on worker health• Demand for wastewater treatment agents increases as water quality
Opportunity declines (nutritive salts, red tides) and reclaimed water use increases• Productivity increases when we revise working environments

NITTETSU MINING

32

S

Promoting diversity Consistent with our Management Policy, we strive
to be a company where each and every employee
can work with high motivation and pride.
Accordingly, we hire throughout the year and makeour selections regardless of gender, nationality, or
whether someone is a new graduate or midcareer
candidate in an effort to ensure that our employees

SocialTargets for promoting core human resources (2030)
Women: At least 5%

Efforts for industrial safety and health Each year, the Safety Administration Office at theGroup’s head office takes the lead in setting out acourse of action and targets for industrial safety andhealth based on the previous year’s performance inthose areas, and provides assistance and guidance
to help our business locations and affiliates achieve
the targets.
The course of action and targets are shared atmeetings of safety managers, meetings of people incharge of safety, and other meetings attended byrepresentatives from each department and location
at which measures to prevent recurrence ofindustrial accidents are discussed andcross-departmental efforts are implemented.
Efforts to prevent industrial accidents include
workplace patrols by the Safety Administration

Office to identify causes of danger as well as hazard
prediction training, hands-on safety courses, andother safety education provided at each businesslocation and for each area. Safety education is alsooffered to contractors working onsite to ensure andimprove awareness of safety throughout all
business activities.
Results of industrial safety and health training(total number of participants)(People)FY2017FY2018FY2019FY2020

FY2021

296

359

347

—

284

Notes: 1. Results of training provided by the Safety Administration Office
to domestic Group companies
2. All training was canceled in FY2020 due to the COVID-19
pandemic

Foreign nationals: At least 5%

Photograph of a hands-on safety course

Co-existence and co-prosperity with local communities 
Sustaining cooperative relations with the areasand communities in which we do business isessential for our mining operations and otherbusinesses. We strive to co-exist and co-prosper
with local communities by creating employment
opportunities and through local procurement in thecontext of our business activities in addition to33

2022 Integrated Report

engaging in dialogue with local people,
implementing environmental conservation activities,
participating in and sponsoring local events, offering
tours of our business locations, and undertaking
other activities to establish mutual understanding
and trust-based relationships.

Mid-career hires: At least 15%

Promoting active participation by women

In addition to introducing systems to encourage
active participation in the workplace by women, weare developing and deploying internal systems that
accommodate time off for child care and elderly
care, telecommuting, and other flexible work styles
to create working environments that are motivating

and free of worry for people from all walks of life. We
also hold seminars on child care, elderly care, andwork styles and undertake other awareness-raisingand educational activities for management
personnel so that they will understand and accept
diversity.

Action Plan based on the Act on the Promotion of Women’s Active Engagement inProfessional Life (Duration: April 1, 2021–March 31, 2026)
Target 1: Women comprise at least 30% of new hires in career track positions
Target 2: Trim the gender gap in average years of service to two years or less
Percentage of female
employees

Percentage of female employees of
new hires in career track positions

Percentage of female employees
taking childcare leave

16.1%

22.2%

100%

Systems for supporting family care

Photograph of a meeting of safety managers

have a diverse array of abilities and values. Wheneach and every employee can flourish and grow intheir line of work and eventually earn promotions ascore members of the company, we as a company
can grow sustainably and increase our corporate
value.

We provide support to employees who areproviding child care and elderly care by enhancing
our systems for supporting them beyond therequirements of laws enacted to facilitate a balance
between work and family care. Specifically, we offer
time off for employees to look after spouses giving
birth, extend the duration of our system that allows

Preventing harassment

We prohibit and have set out policies andregulations to prevent all forms of harassment anddiscrimination. We will continue to implementawareness-raising activities, including incorporatingharassment prevention into training at all levels,
having all employees participate in e-learning, andNote: Nittetsu Mining figures, FY2021

employees to work shorter hours so that they canprovide child care (through the end of their children’s
third year of primary school), and offer paid leave fortaking care of sick children or elderly family
members in addition to maintaining systems thatsatisfy the laws.

distributing booklets to all employees. We will alsoestablish contact points for reporting andconsultation to equip the company to take theproper steps to prevent the recurrence of any
incidents that occur.

NITTETSU MINING

34

G

1

Reiichi Morikawa

2

Representative Director and President

Corporate Governance3

Yuji Somatsu

Apr. 1982 Joined the Company
June 2010 General Manager of Kyushu Branch Office
June 2013 Corporate Executive and General Manager of Machinery & Environmental
Sales Department
June 2015 Director, Responsible for Limestone & Raw Materials Sales Department,
Non-Ferrous Metal & Ore Department and Machinery & Environmental
Sales Department
June 2017 Director, Responsible for Machinery & Environmental Sales Department
and Research & Development Department
May 2019	Director, Responsible for General Administration Department, General
Accounting Department, Machinery & Environmental Sales Department,
Research & Development Department, and Business Continuity
Management Office
June 2019	Managing Director, Responsible for Machinery & Environmental Sales
Department and Research & Development Department (current position)

4

Apr. 1985 Joined the Company
Jan. 2014 General Manager of Tochigi Quarry Complex
June 2015 C
 orporate Executive and General Manager of Torigatayama Quarry
Complex
June 2017 D irector, Responsible for Mining Department and Safety Administration
OfficeApr. 2021 D
 irector, Responsible for Limestone & Raw Materials Sales Department,
Non-Ferrous Metal & Ore Department, Mining Department, and Safety
Administration Office
June 2021 M
 anaging Director, Responsible for Mining Department and Safety
Administration Office (current position)

Directors
2

3

5

Hirofumi Fujimoto

Apr. 1984 Joined the Company
Oct. 2011 Director and Deputy President of Sociedad Contractual Minera Atacama
Kozan
June 2015 General Manager of Resources Development Department
June 2017 Corporate Executive and General Manager of Resources Development
Department
Apr. 2019 Director and President of Sociedad Contractual Minera Atacama Kozan
June 2019 Director, Responsible for Resources Development Department
July 2022 Director, Responsible for Resources Development Department andOverseas Mineral Resources Business Department (current position)

6

Director5

Apr. 1986
June 2013
June 2016
June 2017

Joined the Company
General Manager of Non-Ferrous Metal & Ore Department
General Manager of General Accounting Department
Corporate Executive and General Manager of General Accounting
Department
June 2019 Corporate Executive and General Manager of Osaka Branch Office
June 2021 Director, Responsible for General Accounting Department, Limestone &Raw Materials Sales Department and Non-Ferrous Metal & Ore Department
Apr. 2022 Director, Responsible for Corporate Planning Department, General
Accounting Department, Limestone & Raw Materials Sales Department
and Non-Ferrous Metal & Ore Department (current position)

6

7

Nobumichi Izumi

8Outside Director

7

8

9

Kenichi Itakura
Outside Director

Apr. 1977 Joined Nikkei Inc.
Mar. 2011 Executive Officer and Managing Editor of Osaka Head Office, Nikkei Inc.
Mar. 2012 M
 anaging Executive Officer and Managing Editor of Osaka Head Office,Nikkei Inc.
Mar. 2013	Senior Managing Executive Officer and Representative Manager of Nagoya
Branch, Nikkei Inc.
Director of Nikkei Nagoya Newspaper Printing Center, Inc.
Mar. 2015 Advisor of Nikkei Inc.
June 2015 Executive Research Director of Japan Center for Economic Research
Mar. 2018 Honorary Member of Nikkei Inc.
June 2019 Director of the Company (current position)

9

Kenji Otakara
Director

Apr. 1987 Joined the Company
June 2014 General Manager of General Administration Department
June 2017 C orporate Executive and General Manager of General Administration
Department
June 2019 D irector, Responsible for General Administration Department, General
Accounting Department and Business Continuity Management Office
June 2021 D
 irector, Responsible for General Administration Department and BusinessContinuity Management Office (current position)

4

Yukihiko Hagikami
Director

Managing Director

Board Members (as of September 30, 2022)

1

Managing Director

Apr. 1986 Joined the Company
June 2012 G eneral Manager of Limestone & Raw Materials Sales Department
June 2015 C
 orporate Executive and General Manager of Limestone & Raw Materials
Sales Department
Apr. 2017 D irector and President of Sociedad Contractual Minera Atacama Kozan
June 2017 D irector, Responsible for Non-Ferrous Metal & Ore Department, andGeneral Manager of Limestone & Raw Materials Sales Department
Oct. 2017 D irector, Responsible for Limestone & Raw Materials Sales Department
and Non-Ferrous Metal & Ore Department
June 2019 M anaging Director, Responsible for Limestone & Raw Materials Sales
Department and Non-Ferrous Metal & Ore Department
Apr. 2021 Representative Director and President (current position)

GovernanceShinya Yamasaki

Apr. 2002 Professor, Department of Information and Electronic Engineering, MuroranInstitute of Technology
Apr. 2004 Vice President, Muroran Institute of Technology
Apr. 2012 Director, Center of Environmental Science and Disaster Migration for
Advanced Research, Muroran Institute of Technology
Aug. 2012 Director, Mikasa Potential Coal Energy Research Facility, Muroran Instituteof Technology
Oct. 2016 Director, Mikasa Underground Gasification Coal Mine, Muroran Institute ofTechnology
Apr. 2019 Specially Appointed Professor, Graduate School, Division of Engineering,
Muroran Institute of Technology (current position)
May 2019 Emeritus Professor of Muroran Institute of Technology
June 2021 Director of the Company (current position)

Yuko Aoki
Outside Director

Apr. 1994	Registered as Attorney-at-Law
Joined Shigetaka Arai Law Office
Apr. 1999 Joined Aoki Law Office
Apr. 2004 J
 oined Litigation Department, Tokyo Legal Affairs Bureau, Ministry ofJusticeApr. 2009 Joined Shin-Yotsuya Law Offices (current position)
Apr. 2021	Vice Chairman, Daini Tokyo Bar Association
Managing Director, Japan Federation of Bar Associations
June 2022 Director of the Company (current position)

10

Audit & Supervisory Board Members
10

11

Seiji Yasuda

12

Apr. 1986
June 2013
June 2016
June 201913

12

Yoshiro Wakayanagi

Apr. 1976	Registered as Attorney-at-Law
Joined Tanabe Law Office (now Tanabe & Wakayanagi Law Office)June 2015 Audit & Supervisory Board Member of the Company (current position)

2022 Integrated Report

Kazuhiko Kojima

Standing Audit & Supervisory Board Member

Joined the Company
General Manager of General Accounting Department
Managing Director of Hachinohe Mining Co., Ltd.
S
 tanding Audit & Supervisory Board Member of the Company (current
position)

Outside Audit & Supervisory Board Member

35

11Standing Audit & Supervisory Board Member

Apr. 1986 Joined the Company
June 2014 General Manager of Osaka Branch Office
June 2019 Standing Audit & Supervisory Board Member (current position)

13

Eiki Hotta

Outside Audit & Supervisory Board Member

Apr. 1995 Professor of Interdisciplinary Graduate School of Science & Engineering,Tokyo Institute of Technology
Apr. 2016 Emeritus Professor of Tokyo Institute of Technology
June 2017 Audit & Supervisory Board Member of the Company (current position)

NITTETSU MINING

36

GovernanceCorporate Governance

Basic approach to corporate governance

Main Boards and Committees (as of June 29, 2022)

understanding of the importance of corporate
governance, and aim to become a company worthyof the trust of shareholders, users, and local
communities.
We formulated the Nittetsu Mining’s Basic Policy
on Corporate Governance to outline our basic
approach to and policy for corporate governance,and have published it on our website.

We make proactive efforts to establish
organizations capable of swiftly and appropriately
responding to changes in the business environment,
and management systems to equip the Company to
execute decisions with the utmost fairness andtransparency.
We will continue efforts to establish, enhance, andensure the effectiveness of a shared internal

Number of members:

Board ofDirectors

Corporate governance system chart (as of June 29, 2022)
Election/Dismissal
Consultation
Advice<Decision-Making/Supervisory Functions>Supervision/
Direction

Board of Directors

ReportReport/ProposalSupervision

Appointment/Removal/
Supervision<Executive Business Functions>Executive Director Representative
Director
Corporate Executive

Management Council(deliberation ofimportant subjects)

Audit

Sustainability Committee

Election/Dismissal/Refusal

Audit &
Supervisory
Board

Cooperation

Accounting
AuditorCooperation/Report

Direction

Nomination &Remuneration
Committee

Audit

Head Office / Branch Office / Quarry Complex / Subsidiaries

Skills matrix for Directors and Audit & Supervisory Board Members (as of June 29, 2022)
Nomination &Remuneration
Committee

Sustainability
Committee

Reiichi Morikawa

5

○

◎

Shinya Yamasaki

7

○

3

○

Yuji Somatsu

5

Hirofumi Fujimoto

3

Yukihiko Hagikami
Kenji Otakara

Nobumichi Izumi

Kenichi Itakura
Yuko Aoki

1

3

1
0

Seiji Yasuda

3

Kazuhiko Kojima

3

Yoshiro Wakayanagi

7

Eiki Hotta

5

○

○

◎

○

○

○

Position

Corporate
management/ Internationality
Sustainability

Businessstrategy/
Sales/
Marketing

Representative
Director andPresident●●●

Managing Director
Managing Director

●

●

●

Director●●●

Director
Director

Outside Director

Outside Director●●●

Outside Director

Standing Audit &Supervisory Board
Member●●●●Miningengineering/ Research &Legal/Risk
Safetydevelopment management
environment

●

●

●

●

●

●

Standing Audit &Supervisory Board
Member

●

●

●

●

●

●

●

●

Outside Audit &Supervisory Board
MemberOutside Audit &Supervisory Board
Member●●Human
resources/
Human
resource
development

●

●

●

Finance/
Accountant

●

●

●
●

●

Notes: 1. The chairs of the Nomination & Remuneration Committee and the Sustainability Committee are marked with double circles.

2. In addition to the members listed above, the Sustainability Committee also includes Corporate Executives Jiro Fujitsu (Representative Director and President,
Hachinohe Mining Co., Ltd.), Masanobu Kawata (General Manager, Research & Development Department), Hiroyuki Sakaguchi (General Manager, Limestone &Raw Material Sales Department), and Ken Soda (General Manager, Torigatayama Quarry Complex).

372022 Integrated Report

Number of meetings
in FY2021

16

Cooperation

Internal Audit Office(Internal Audit Team)
Audit

Years in
office4 Percentage of Outside Audit & Supervisory Board Members: 50%

Number of members:

ReportName

Audit &
Supervisory
Board

The Board of Directors, which comprises nine Directors (including
three Outside Directors), holds ordinary meetings monthly and isalso ready to operate expeditiously, for example holding
extraordinary meetings about matters that require swift decisions.
Additionally, matters of high importance are brought to the Board of
Directors only after they are examined and vigorously discussed
from multiple perspectives at Management Council meetings basedon the Company’s long-term management strategy.

The Audit & Supervisory Board comprises two Standing Audit &Supervisory Board Members with a wealth of experience working at
the Company and two Outside Audit & Supervisory Board Members
who are experts in their respective fields; since June 1998, at least
half of the members have been Outside Audit & Supervisory Board
Members, who provide the Company with insightful views andobservations based on their plentiful knowledge and experience.

ReportReportDirection/Supervision

Election/Dismissal

Nomination &Remuneration Committee

16

Number of members:

General Meeting of Shareholders
Proposal/Report

Number of meetings
in FY2021

9 Percentage of Outside Directors: 33%

Number of meetings
in FY2021

2

Note: Number of meetings since
establishment in December 2021

4 Percentage of Outside Directors: 75%
As to the functions of the Board of Directors with regard to thenomination and remuneration of Directors, in December 2021, we
took the initiative to establish this voluntary committee to elicit
recommendations from and ensure proper involvement by Outside
Directors with the aim of enhancing fairness, transparency, andobjectivity of the procedures, strengthening the management
system to support fairer, more transparent decision-making, andenhancing the Company’s corporate governance system.

Evaluating effectivenessTo further enhance the analysis and evaluation of
the effectiveness of the Board of Directors in
FY2021, we enlisted an outside entity to conduct ananonymous survey for the first time and used theresults of their objective analysis and evaluation to
analyze, discuss, and evaluate the Board of
Directors.
Reflections of the outside executives’ views andother evaluations from the survey responses weregenerally positive, and our average score for each
response was generally higher than othercompanies’, indicating that our Board of Directors isfunctioning effectively.
Upon analysis, discussion, and evaluation basedon these results, the Board of Directors identified
some issues to work on, such as: ensuring
opportunities for more free, open-minded exchangeof views; closing gaps between our average scoresand those of other companies; and reaching ideal
levels of diversity in gender and other aspects, on
the Board of Directors and throughout theCompany. The Board of Directors agrees that there
is room for further discussion and improvement.
Notably, regarding our response to changes in thebusiness environment brought up as issues in lastyear’s effectiveness evaluation—namely diversity
and carbon neutrality—in April 2022, we establisheda sustainability promotion system for the Group
comprising the Sustainability Committee and the
Corporate Planning Department, a two-section
department comprising a Corporate Planning
Section and a Sustainability Promotion Section.
We intend to continue efforts to enhance thefunctions of the Board of Directors to further
improve the corporate value of the Group.

NITTETSU MINING

38

GovernanceCorporate Governance

Executives’ remuneration
monthly remuneration because they are tasked with
monitoring and supervising the management of theCompany from a neutral, objective standpoint.
Notably, amounts of remuneration for individual
Directors are determined by resolution of the Boardof Directors. In the course of deliberating andresolving proposals on Directors’ remuneration, theNomination & Remuneration Committee discusses
the proposals from a neutral, objective standpoint
and reports the results of their discussions to theBoard of Directors, which then make decisions
respecting the committee’s views.
Additionally, the Audit & Supervisory Board
Members discuss and determine Audit &Supervisory Board Members’ remuneration within
the monthly remuneration amount approved at a
General Meeting of Shareholders.

Directors’ remuneration comprises fixed monthly
remuneration and performance-linked bonuses
within the maximum amount of remuneration
determined at a General Meeting of Shareholders.
Our basic policy when determining monthly
remuneration for individual Directors is to set
appropriate amounts commensurate with their
responsibilities. As for performance-linked
remuneration, in pursuit of sustained growth andimproving our corporate value over the medium tolong term by continuously expanding our earning
capacity in our main business activities, our basic
policy is to use operating margin as the performanceindicator. Remuneration for Executive Directors
comprises fixed basic remuneration andperformance-linked remuneration based on the
trailing 10-year operating margin. As forremuneration for Outside Directors, we only pay

Executive category

Total remuneration(Millions of yen)

Directors (excluding Outside
Directors)

Total amount of remuneration by type (Millions of yen)

Number of recipient
executives

Monthly remuneration(fixed remuneration)

Bonus(performance-linked
remuneration)

Retirement benefits

255

210

44

-

7

Audit & Supervisory Board
Members (excluding Outside
Audit & Supervisory Board
Members)

45

45

-

-

2

Outside executives

35

35

-

-

5

Notes: 1. The totals above include two Directors (including one Outside Director) who stepped down from their positions as a result of their terms expiring at the end of
the 107th Annual General Meeting of Shareholders held on June 29, 2021.

2. The maximum amounts for executive remuneration approved at the 93rd Annual General Meeting of Shareholders held on June 28, 2007 are 27 million yen for
Directors’ monthly remuneration (not including the portion of employee salaries for Directors who are concurrently working as employees) and 6 million yen for
Audit & Supervisory Board Members’ monthly remuneration; the number of recipient executives at the time of the resolution was seven Directors and four Audit& Supervisory Board Members.

3. The maximum amount for Directors’ bonuses approved at the 93rd Annual General Meeting of Shareholders held on June 28, 2007 is 60 million yen per year
(not including the portion of employee bonuses for Directors who are concurrently working as employees); the number of recipient executives at the time of theresolution was seven Directors.

39

2022 Integrated Report

Amount listed on year-end balance sheet (left axis)
Number of shares (right axis)(Billionsof yen)

30

27

25
20

71

15

60

100
80

15
55

10

120

25

24.1

23

(Numberof shares)

54

45

60
40

5

20

0

0

2017

2018

2019

2020

2021

Actual sales of cross-shareholdings(exchange-listed shares)
Sale amount (left axis)
Number of shares sold (right axis)(Billionsof yen)1.2

11(Numberof shares)

16
14

13

0.8
0.6
0.4
0.2
0

0.7
5

9

2018

10
8
6

4

0.1
2017

12

0.1

1

2019

2020

4
2
2021

0

Compliance
We are making efforts to establish a compliancesystem for the entire Group in accordance with the
Nittetsu Mining Group Code of Conduct in addition
to establishing and applying internal controls forfinancial reporting to ensure the reliability thereof
and comply with accounting standards.
In FY2021, we held one compliance seminar for
management personnel and higher-ranking
members of the Group for the purpose of spreading
compliance management throughout the Group.

An audit team comprising members of the Internal
Audit Office and employees from other departments
audits the status of compliance and internal controls
at the Company and its subsidiaries as well as theiraccounting work.

(1) Internal reporting system

We have established and applied regulations for internal reporting to serve as a system that enables employees of theCompany and its affiliates to report illegal conduct and other misconduct within the Group to the Company. The regulations
identify the Internal Audit Office of our Head Office as the contact point for these reports and set out other provisions,
including requiring the Internal Audit Office to conduct investigations promptly after receiving reports and take action in amanner that does not put the reporter(s) at a disadvantage.
As for applying the regulations, the Internal Audit Office reports on all reports received and actions taken in response at thevery next meeting of the Board of Directors in addition to reporting the results for the fiscal year at the final meeting of theBoard of Directors that year.

(2) Conducting compliance training

In addition to compliance seminars for management and executives at the Company and its affiliates, we also offer courses
for sales personnel on the Antimonopoly Act and the Subcontract Act and enlist outside instructors to lead training for
section managers and assistant managers.

Policy for cross-shareholdings
We hold shares deemed necessary in terms ofbusiness strategy in pursuit of sustained growth andimproving our corporate value over the medium tolong term.
The Board of Directors examines the purpose andeconomic rationality of individual crossshareholdings each year, and when they reach theconclusion that there is little reason to continue
holding certain shares, we initiate a dialogue with
the investee company en route to selling the shares(over the five-year period from FY2017 to FY2021,
we sold 1,900 million yen worth of shares).

Cross-shareholdings (exchange-listed shares excluding
presumptive holdings) through the years

Our policy is to reduce our cross-shareholdings by
6,000 million yen (based on the market value at
end-March 2022) over the five-year period fromFY2022 to FY2026 to raise capital for investments
toward carbon neutrality as well as otherenvironmental and growth investments.
We will exercise our right to vote on
cross-shareholdings appropriately; our criteria arewhether the holdings will improve the corporate
value of the Company and investee companies overthe medium to long term and whether our reasonsfor holding the shares remain valid.

Risk management
We have formulated a business continuity plan
(BCP) to prepare for earthquakes and other natural
disasters and also discuss revisions to the plan
based on risks and other information identified in
the interim, for example during the two safety statusconfirmation drills and five business continuity
management (BCM) meetings conducted and held
during FY2021.
Additionally, the Quality Assurance Committee

meets on a regular basis to ascertain, assess, andexamine countermeasures for risks pertaining to thequality of the products and services the Group
provides to its customers. Notably, the two meetingsof the Quality Assurance Committee held during
FY2021 included reports on investigations of quality
control at each business location and the activitiesof the Risk Management Subcommittee.

NITTETSU MINING

40

GovernanceCorporate Governance

INTERVIEW

Nobumichi Izumi
Outside Director● As you understand them, what are the main roles,
responsibilities, and goals of Outside Directors?
Also, what are your thoughts on the ideal state of
the Board of Directors?
Reform of corporate governance in Japan has been
progressing as part of the government’s growthstrategy. The Corporate Governance Code lists manyroles and responsibilities of Outside Directors,
including offering advice geared toward promoting thesustained growth of the Company and improving its
corporate value over the medium to long term,
supervising the management of the Company,
including the election and dismissal of management
and executives, overseeing conflicts of interest, andrequiring the Board of Directors to properly reflect theviews of shareholders and other stakeholders. My
understanding is that Outside Directors are required touse their neutral position to encourage constructive
discussion and decision-making that is free of theconventional thinking within the Company.
Corporate governance reform has also changed theroles of the Board of Directors. They now needperspective as to how the Company is perceived by thecapital market—that is, how it can contribute to theinterests of shareholders and other stakeholders. I
think it increasingly important for Outside Directors to
use their knowledge of the world outside the Company
to both supervise and provide advice based on theirexpertise and experience.

412022 Integrated Report● In that respect, what is your impression of Nittetsu
Mining’s governance system and Board of
Directors?
I was elected as an Outside Director at the General
Meeting of Shareholders in June 2019. It appears to me
that Nittetsu Mining’s efforts toward corporate
governance have evolved in the three-plus years sincethen. The Board of Directors is discussing matters more
actively than before. I, too, am asking the attendees to
speak up more often than before.
Recently, we have held offsite meetings immediately
following scheduled meetings of the Board of Directors.
The attendees are all the same, but no minutes are kept.
This is so that we can discuss and debate any topic
freely, regardless of the meeting agenda. Although weare still in the trial-and-error stage, this seems like ameaningful effort.
The Company is also making steady progress withdigital transformations. For a time in 2021, when Japanwas under a state of emergency due to the COVID-19
pandemic, we held meetings of the Board of Directors
online on a trial basis, and attended via our devices. We
introduced electronic seals, essentially abolishing thepractice of applying a Director’s seal to physicaldocuments in person and eliminating the need to travelto the Company to do so. However, we became busier
than ever because we often had to finalize matters fromour devices.
● How have you used your own knowledge andexperience on the Board of Directors?
I was a Senior Managing Executive Officer of Nikkei
Inc. and Director of the Nikkei Nagoya Newspaper
Printing Center, Inc., an affiliate of Nikkei. Also, when I
was a journalist, I covered major companies in textiles
and other industries, including Toyota Motor Co. Ltd.,
Toyota Motor Sales Co., Ltd. (currently Toyota Motor
Corporation) and others in the Toyota Group, NGK
Insulators, Ltd., NGK SPARK PLUG CO., LTD., and othersin the Morimura Group.
I was also posted overseas, spending
three-and-a-half years in Manila and five years total on
two separate assignments in Beijing. While in thePhilippines and China, I covered business as well as
politics and economics. In my three years as
second-in-command of the editorial department, I
wrote editorials and otherwise had opportunities to
speak on behalf of a journalistic organization. At theJapan Center for Economic Research, a public-interest
think tank, I served as a Managing Director, Executive
Office Director, and Executive Research Director.
These experiences prepared me to offer concrete,constructive advice and opinions to the Board of
Directors to help them conduct business aggressively
and manage risk.

● What kinds of things do you point out from yourperspective as an Outside Director? Also, what
does the Board of Directors do with yourrecommendations and advice?
The Corporate Governance Code requires
independent outside executives to exchange
information and knowledge between themselves, andOutside Directors to coordinate with Audit &Supervisory Board Members, among other things. The
Company’s Outside Directors attend some meetings of
the Audit & Supervisory Board as observers and takesteps to share information about monthly performanceand important matters. Outside Directors also attend
Management Council meetings.
Even more unique is that our Outside Directors andOutside Audit & Supervisory Board Members holdmeetings to exchange views twice each year (in May
and November). After each meeting, we put together areport outlining our specific recommendations andsubmit it to the Board of Directors. The Company
president typically offers his views on therecommendations at meetings of the Board of
Directors.
For example, the report from our November 2021
outside executives meeting advised the Company toestablish a Sustainability Committee that includes theCompany president as a member given that companies
are required to make efforts to achieve the UN’s
Sustainable Development Goals (SDGs) and implement
environmental, social, and corporate governance (ESG).
We also recommended that internal action be taken in
response to the new economic security law. As you
know, the Sustainability Committee, which is chaired by
the Company president, was established this past April.
I chaired the outside executives meeting this past
May, and our report touched on two major themes:
using the Company’s new systems (the Corporate
Planning Department and the Sustainability Committee)
to respond to the crisis in Ukraine and promoting
reforms fitting of a Prime Market company. Specifically,
we advised the Company to prepare for the enactmentof the new Economic Security Promotion Act, further
promote the hiring and inclusion of female employees,
hire deserving mid-career transfers (including foreign
nationals), and introduce career-path systems.
● In terms of governance, what has changed since
you took office? What does not need to change?
What must change?
In December 2021, the Company established theNomination & Remuneration Committee, which
comprises the Company president and Outside
Directors. I am serving as the chair of the committee.
We now have three Outside Directors, including one
woman who was elected at the General Meeting of

Shareholders held in June 2022. Given that there arenine Directors in total, Outside Directors now comprise
one-third of the Board of Directors, which satisfies therequirement for Prime Market companies.
In this volatile era of increasing geopolitical risk,
companies cannot grow without unceasing
management reforms. In that sense, I cannot think ofanything that does not need to change.
On the other hand, a lot of things absolutely mustchange. It is especially important to sustain efforts incorporate governance reform. A growing number ofcompanies in Japan that are adding outside directors
are transitioning into companies with audit andsupervisory committees. It seems to me that we should
also look into this issue.
● Nittetsu Mining is an integrated mineral resources
company engaged in several different businesses,
namely in environmental and technical fields. Whatdo you expect of the Company going forward, andwhat are some things that must be done to sustain
the Company’s growth?
The Company was established in 1939, when themining division was separated from the former Japan
Iron & Steel Co., Ltd. (currently NIPPON STEELCORPORATION) in order to develop and secure coal,iron ore, limestone, and other raw materials forsteelmaking. After Japan’s postwar economic boom,
the Company pivoted from coal to metals andlimestone, claiming a unique position in the industry as
an integrated mineral resources company. Looking
ahead, the earning capacity of the entire Group shouldgrow stronger as productivity continues to improve.
Mining—our cornerstone—is an epic global business
in which management plans are drafted in the order of
decades and centuries in the context of Earth history.
In terms of corporate governance, we have much toaccomplish, including respecting human rights anddiversity; securing core human resources spanning all
genders and nationalities; achieving carbon neutrality
as a measure to combat global warming; achieving
solidarity and harmony with communities; complying
with laws, regulations, and social norms; engaging inconstructive dialogue with shareholders; andimplementing business portfolio reforms that channel
investments to businesses with growth potential.
To fulfill my responsibilities as one of the Company’s
Outside Directors, I am prepared to do what it takes tostay connected to what is happening in the field and on
the ground, listen to what stakeholders have to say, andconstantly update and advance my knowledge.

NITTETSU MINING

42

Consolidated Financial Indicators Through the Years
FY2012FY2013

FY2014FY2015FY2016FY2017FY2018FY2019FY2020

FY2021

Net sales(Millions of yen)

102,840

114,317

125,467

114,088

107,325

118,709

123,372

117,502

119,159

149,082

Operating profit(Millions of yen)

8,649

9,517

10,232

10,090

8,026

8,741

7,479

7,576

8,726

15,715

Ordinary profit(Millions of yen)

7,233

8,957

9,613

9,723

7,474

8,779

7,356

8,012

9,629

16,605

Profit attributable toowners of parent(Millions of yen)

3,873

3,903

5,973

4,483

7,289

4,877

5,360

4,518

3,746

9,279

Capital investment(Millions of yen)

8,908

6,850

7,855

6,240

6,465

5,165

8,044

8,825

7,461

9,577

Depreciation(Millions of yen)

4,954

5,358

5,927

6,623

5,875

5,433

5,547

5,316

5,302

5,426

Research & development expenses(Millions of yen)

587

565

551

580

617

634

702

696

672

750

Net assets(Millions of yen)

76,74684,75592,46690,850102,399

106,164

107,186

105,208

116,411

126,371

Total assets(Millions of yen)

144,539

161,325

170,055

162,379

167,496

172,431

171,717173,954

188,735

197,732

Equity capital(Millions of yen)

75,27381,591

89,21987,472

98,042

101,534

102,656

100,060

111,075

120,073

Earnings per share*(Yen)

465.26468.88717.53538.65875.83586.12644.24543.16450.37

1,115.46

Dividend per share*

(Yen)

70.00

85.00

70.00

80.00

80.00

90.00

110.0090.00

100.00335.00ROA (operating profit)

(%)

6.2

6.2

6.2

6.1

4.9

5.1

4.3

4.4

4.8

8.1

ROE

(%)

5.4

5.0

7.0

5.1

7.9

4.9

5.3

4.5

3.5

8.0

(Millions of yen)

13,604

14,876

16,16016,713

13,901

14,174

13,027

12,892

14,02921,141

(%)

52.1

50.6

52.5

53.9

58.5

58.9

59.8

57.5

58.9

60.7

Cash flows fromoperating activities(Millions of yen)

11,838

5,742

19,811

11,07012,07912,161

13,465

9,242

9,414

8,539

Cash flows from investing activities(Millions of yen)

(8,674)(10,186)(4,289)(4,993)(6,070)(4,611)(6,077)(7,714)(6,539)(7,256)

Cash flows from financing activities(Millions of yen)

(2,341)0(3,832)(3,675)(6,194)(3,089)(4,025)(1,454)(999)(4,759)

(%)

15.0

18.1

9.8

14.9

9.1

15.4

17.1

16.6

22.2

30.0

(Persons)

1,704

1,781

1,787

1,756

1,771

1,784

1,836

1,882

1,941

2,019

EBITDA
Capital adequacy ratio

Payout ratio
Number of employees(consolidated)* The Company implemented a 10-to-1 consolidation of common shares that took effect on October 1, 2016; per-share data predating the consolidation has been recalculated to reflect the consolidation.

43

2022 Integrated Report

NITTETSU MINING

44

Consolidated Financial Statements (Condensed)
Consolidated balance sheets(Millions of yen)

FY2020Consolidated statements of income

FY2021

Assets(Millions of yen)

FY2020

FY2021

Net sales

119,159

149,082

Current assets

87,86689,705

Cost of sales

92,104

114,217

Non-current assets

100,869

108,027

Gross profit

27,05434,864

Property, plant and equipment

62,584

67,117

Selling, general and administrative expenses

18,327

19,149Intangible assets

3,329

3,608

Operating profit

8,726

15,715Investments and other assets

34,95537,301Non-operating income

1,704

1,561

188,735

197,732

Non-operating expenses

801

671

9,629

16,605

Total assets
Liabilities

Ordinary profit

Current liabilities

48,162

46,938Extraordinary income

44

191

Non-current liabilities

24,161

24,422Extraordinary losses

3,070

493

Total liabilities

72,32371,360

Profit before income taxes

6,603

16,304

Income taxes - current

2,694

5,082

Income taxes - deferred

(675)

27

Net assets
Shareholders’ equity

100,591

108,145

Capital stock

4,176

4,176

Total income taxes

2,019

5,110

Capital surplus

4,889

4,746

Profit4,584

11,193Retained earnings

91,69399,391

Profit attributable to non-controlling interests

837

1,914

Treasury stock

(167)

(169)

Profit attributable to owners of parent

3,746

9,279

10,483

11,928

10,986

11,974

Deferred gains or losses on hedges

79

(778)

Foreign currency translation adjustment

53

808

Remeasurements of defined benefit plans

(635)

(75)

5,336

6,297

116,411

126,371

188,735

197,732

Accumulated other comprehensive income
Valuation difference on available-for-sale securities

Non-controlling interests
Total net assets
Total liabilities and net assets

Consolidated statements of comprehensive income(Millions of yen)

FY2020

FY2021

Profit4,584

11,193

Other comprehensive income

7,948

1,727

6,657

987

Deferred gains or losses on hedges

194

(858)

Foreign currency translation adjustment

(489)

1,034

Remeasurements of defined benefit plans

1,587

564

12,532

12,921

Comprehensive income attributable toowners of parent

11,81910,723Comprehensive income attributable tonon-controlling interests

713

2,197

Valuation difference on available-for-sale securities

Comprehensive income
Comprehensive income attributable to452022 Integrated Report

NITTETSU MINING

46

Non-Financial Highlights
Total limestone production (consolidated)

Copper concentrate(Thousandtons)

25,64925,254(Accidents)

50

24,43524,38021,74420,00040

Number of industrial accidents involving lostwork time (consolidated; domestic)

Copper equivalent(Thousandtons)

30,00025,000Total copper concentrate production(consolidated)
45

45

44

10

43

10

5,000

9

12

12

12

12

5

5

300

3

2018

2019

2020

2021

0

2017

2

2018

2019

2020

2021

20

16.1
14.2

14.4

15.5

15.5

1

0

2017

2018

2019

5

100

2020

0

2021

15
10

200

1
2017

30
25

400

4

20

(%)

678

670

669

654

500

6

6
5

10,0000

7

7

15,000

671

600

8

30

Number of employees (left axis)
Percentage of women (right axis)(Persons)

700

9

34

Number of employees/percentage of women(Nittetsu Mining)

2017

2018

2019

2020

2021

0

Notes: 1. 1 or more days lost 2. Calendar year totals

Total sales of Polytetsu (consolidated)

Total geothermal steam supplied(consolidated)(Thousandtons)(Thousand
tons)

250
200

206

202

197

216

202

(Days)

1,954

2,000
1,500

100

1,937

1,808

1,845

1,500

2018

2019

2020

2021

Total electricity generated from renewableenergy (consolidated)
Solar power

Small-scale hydropower(Thousand
MWh)

0

20

1.6

1.7

1.6

1.7

1.8

63.6

2017

2018

2019

2020

2021

17

18

17

17

18

5
0

2018

2019

2020

2021

0

2017

2018

2019

2020

(%)

40

270

2021

30
25

239

236

20

0

10

0

10

2018

2019

2020

2021

0

2017

2018

2019

2020

2021

Employment rate of people with disabilities(Nittetsu Mining)
(%)

3.0

18.2

18.6

18.7

19.2

18.5

12.1

13.0

12.7

13.7

14.0

2.57
2.5

2.0

2.32

2.27

2.31

2019

2020

1.94

1.5

5

2017

11.1

10.3

5

15

100

21.3

21.1

15

Women

25

266

34.3

35

20

20

Men

250

0

55.1

Percentage of women hired (Nittetsu Mining)

Average continuous service (Nittetsu Mining)

50

2017

60

64.7

40

150
10

68.2

(Years)

268

(%)

100
80

10.4
69.0

2

200

15

12.9

4

CO2 emissions

300

12.2

13.0

6

(Thousand
tons)

25

12

8

500

2017

12.0

10

1,000

50

Number of days of paid leave (left axis)
Percentage of paid leave taken (right axis)

14

2,500

150

0

Number of days of paid leave/percentage ofleave taken (Nittetsu Mining)

2017

2018

2019

2020

2021

1.0

2017

2018

2021

Note: Domestic (including Group companies) Scope 1 and Scope 2 emissions
calculated using emissions factors based on the Act on Promotion of
Global Warming Countermeasures

47

2022 Integrated Report

NITTETSU MINING

48

Share Information

Corporate Profile(as of September 30, 2022)

Company name

Basic information
Securities code

1515

Tokyo Stock Exchange Prime

Share unit

100 sharesBusiness type

Treasury shares

Mining industry

Authorized shares

8,352,319 shares

Distribution ofshareholdings byshareholder type

April 1 to March 31

Annual General Meeting of
Shareholders

Held in June every year(%)

Record date of Annual
General Meeting of
Shareholders

March 31

Shareholder registryadministrator
Special account administrator

Sumitomo Mitsui Trust Bank, Limited

Record date of shareholders
eligible for profit dividends

Reiichi Morikawa, Representative Director and President

Capital4,176 million yen

Head officeYusen Building 6th floor, 3-2, Marunouchi 2-chome, Chiyoda-ku, Tokyo 100-8377 Japan

Financial
institutions

Foreigncorporations

Securities
companies

21.7

Primarily mining (mining and distributing limestone, calcium carbonate, gravel, etc.) in addition toprocessing, distributing, importing, and exporting copper and other mineral products; purchasing anddistributing coal and petroleum products; developing and distributing products and equipment, including
machinery and environment-related products; real estate; generating power using renewable energy; etc.

Number of employees

23.7

March 31, and September 30 whenpaying an interim dividend

May 20, 1939

Representative

Business description

35.0

5,245

Fiscal year

18.1

Other
domestic
corporations(including 33,906 shares of treasury stock)

Number of shareholders

Individuals/other

0.4

20,000,000 shares

Outstanding shares

Nittetsu Mining Co., Ltd.

Date of establishment

Stock exchange listings

Consolidated 2,019
Non-consolidated 678

Locations● Hokkaido Branch Office

1.1■ Nittetsukou Donan Kohatsu Co., Ltd.

Major shareholders
Name

Number of shares held(Thousand shares)

Shareholding ratio
(%)

1,237

14.88

● Ikura Quarry Complex■ Atetsu Lime Co., Ltd.

641

7.71

■ Funao Mining Co., Ltd.

NIPPON STEEL CORPORATIONThe Master Trust Bank of Japan, Ltd. (trust account)

788

Nittetsu Kogyo Shogakukai
Mizuho Bank, Ltd.

294

Sumitomo Mitsui Banking Corporation

290

Custody Bank of Japan, Ltd. (trust account)

218

Nittetsu Kogyo Shareholding Association

173

DFA INTL SMALL CAP VALUE PORTFOLIO146

CEPLUX‐THE INDEPENDENT UCITS PLATFORM 2

143

MUFG Bank, Ltd.

139

2.62
1.76

◆ Yamaguchi Quarry

3.49

1.68

Share value/trading volume through the years
Share value (left axis)

Trading volume (right axis)

8,000
6,000

(Thousandshares)

4,000

1,000

2,000
0

49

2022 Integrated Report500

2018/3

2019/32020/32021/32022/30International● Shiriya Quarry Complex■ Hachinohe Mining Co., Ltd.

● Head Office■ Nittetsu Mining
Consultants Co., Ltd.
■ Nittetsukoukenzai Co., Ltd.
● Kimitsu Sales Office● R&D Department◆ Hinode Works● Nagoya Sales Office◆ Nagaoyama Quarry● Oita Quarry Complex■ Tsukumi Limestone Co., Ltd.
■ Youra Silicastone Co., Ltd.
■ Tsukumi Cooperative Mining Co., Ltd.
■ Tsukumi Vehicle Repair■ Overseas Offices• Sydney Office
Level 14, 115 Pitt Street,
Sydney NSW 2000, Australia• Taiwan OfficeRm. 506, 5F, No. 88, Sec. 2
Zhongxiao E.Rd., ZhongzhengDist., Taipei City 100, Taiwan● Muroran Sales Office■ Yaguki Aggregate Co., Ltd.

● Kagoshima Geothermal Facility■ Kirishima Geothermal Co., Ltd.
● Head Office● Quarry Complex/Facility● Branch Office● Sales Office■ Group Companies◆ Works/Quarry◆ Shiraoi Chip Works● Tohoku Branch Office■ Ai United Engineering Inc.

1.72

● Tomakomai Sales Office■ Hokkaido Lime Co., Ltd.

■ Kamaishi Kozan Co., Ltd.

● Kyushu Branch Office

2.08

2. Shareholding ratios are rounded off to two decimal places.

(Yen)◆ Nogi Works■ Kobukuro Techno Co., Ltd.
■ Kaho Manufacturing Co., Ltd.
■ Shinwa Shoji Kaisha Ltd.

3.54

Notes: 1. Shareholding ratio is calculated excluding treasury stock (33,906 shares).

10,000● Tochigi Quarry Complex■ Kuzuu Limestone AggregateCo., Ltd.

● Hiroshima Sales Office9.48● Higashi-shikagoe Quarry
Complex◆ Tokiwa QuarryJapan

Note: The Company conducted a 2-for-1 share split of its common shares with a record dateof September 30, 2022 and an effective date of October 1, 2022

(as of March 31, 2022)■ Group Companies(Mining)• Sociedad Contractual Minera
Atacama Kozan
Tierra Amarilla, III, Chile• Compañía Minera Arqueros S.A.
Coquimbo, IV, Chile• Nittetsu Mining Chile Ltd.
Copiapo, III, Chile● Osaka Branch Office■ Nippon Ball Valve Co., Ltd.
● Okayama Sales Office■ Tamano Smelter, Hibi
Kyodo Smelting Co., Ltd.
● Torigatayama Quarry
Complex(Machinery)•S hanghai Jinhua Environment
Purification Engineering Co., Ltd.
Songjiang District, Shanghai,
China(Commercial and Services)• Nittetsukou (Shanghai) Co., Ltd.
Changning District, Shanghai,
China
NITTETSU MINING

50