ANNUAL REPORTFor the year ended March 31, 2022

2022

Nittetsu Mining Co., Ltd.

Financial Highlights
Consolidated
Nittetsu Mining Co., Ltd. and Consolidated Subsidiaries
Years ended March 31
Thousands of
US dollars

Millions of yen

For the year
Net Sales
Profit Attributable to Owners of Parent

2022

2021

2020

2019

2018

2022

¥ 149,082¥ 119,159¥ 117,502¥ 123,372¥ 118,709$ 1,218,091

9,279

3,746

4,518

5,360

4,877

75,816

197,732

188,735

173,954

171,717

172,431

1,615,595

At year-end
Total Assets

Yen

US dollars

Per share data
Earnings per Share¥ 1,115.46¥ 450.37¥543.16¥ 644.24¥ 586.12$ 9.11

Non-Consolidated
Nittetsu Mining Co., Ltd.
Years ended March 31
Thousands of
US dollars

Millions of yen

For the year
Net Sales
Profit

2022

2021

2020

2019

2018

2022

¥ 119,908¥ 94,434¥ 93,550¥ 100,515¥ 94,725$ 979,722

8,680

2,044

3,158

5,476

4,125

70,923

165,301

160,171

147,502

146,933

148,606

1,350,612

At year-end
Total Assets

Yen

US dollars

Per share data
Earnings per Share¥ 1,043.48¥ 245.76¥ 379.57¥ 658.20¥ 495.76$ 8.53

Notes: 1 US dollar amounts are translated from yen, for convenience only, at the rate of ¥122.39=US$1.
2 Figures for FY2018 (the fiscal year ended March 31, 2018) reflect amendments to the settlements of past fiscal years.
3 Of the expenses related to seconded employees, which were previously displayed as non-operating expenses, those for consolidated subsidiary
have been changed to include them in selling, general and administrative expenses from FY2019 (the fiscal year ended March 31, 2019).
Operating income FY2018 (the fiscal year ended March 31, 2018) is the value after retroactive adjustment that reflects the changes inpresentation method.
4 The Company has applied “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29, March 31, 2020) from the fiscal year underreview. The status of assets and profit/loss for the fiscal year under review is presented after the application of said accounting standard.

Contents
1
2
4
5
6
7
8
10
10
12
13
14
19

Management Policy / History
Medium-Term Management Plan
The Potential of Resource Development
Business Information
Segment Information
Corporate Information
Message from the Management
Consolidated Financial Information
Balance Sheets
Statements of Income
Statements of Comprehensive Income / Statements of Cash Flows
Notes to Consolidated Financial Statements
OutlineManagement Policy
The Nittetsu Mining Group aims to contribute to
the creation of a prosperous society in the future andto be a company where each and every employee canwork with high motivation and pride.

History
December 1899

Began as the Raw Materials Department of the state-owned Yahata Steel Works when the disused Futase Mine in Iizuka-shi,
Fukuoka Prefecture started producing again

January 1934

The former Japan Iron & Steel Co., Ltd. (presently, NIPPON STEEL CORPORATION) was established through contributions in kindby the state-owned Yahata Steel Works, along with four other private iron manufacturing companies, and takes over
operations to Futase Mine

May 1939

The mining division was separated from the former Japan Iron & Steel Co., Ltd. in order to develop and securing raw materials,
such as coal, iron ore, and limestone for steelmaking with 50 million yen in capital to establish the company
The major domestic and overseas mines of Futase (Fukuoka Prefecture), Kamaishi (Iwate Prefecture), Kucchan (Hokkaido
Prefecture), and Akatani (Niigata Prefecture) were taken over and coal was mined from there

March 1954

Listed on the Tokyo Stock Exchange, First Section

May 1959

The Mitaka Research Laboratory was established (name changed to Research and Development Center in April 1989,
transferred to Hinode-machi, Tokyo-to in October 1994, and the name was changed to the R&D Department in April 2003)

November 1968

The Hibi Kyodo Smelting Co., Ltd. was established through joint financing with Mitsui Mining & Smelting Co., Ltd. and
Furukawa Mining Co., Ltd. (presently, FURUKAWA CO., LTD.)

April 1971

The Torigatayama Quarry Complex was established (the largest limestone mine in the country, owned by the Company)

October 1973

The Machinery Sales Department was established

April 1985

The Chemical Products Sales Division was established (April 1993 Changed the name to Environmental Sales Department andestablished the Environmental Division. Part of the business was integrated into the Mineral Resources Division)

April 1989

The Real Estate Sales Division was established

January 2003

Starting trial operations at Atacama Copper Mine (Republic of Chile) (full-scale operations started in June that year)

September 2013

The Renewable Energy Department was established

December 2013

Obtained Green Cycle Certification Council (SGEC) forest management certification for Shiraoi company-owned forests

October 2017

Acquired additional shares in Compañía Minera Arqueros S.A. to develop a copper mine in Republic of Chile.

April 2022

Moved from the First Section to the Prime Market in accordance with the reorganization of the market classification of theTokyo Stock Exchange.

1Medium-Term Management Plan
Second Medium-Term Management Plan (FY2021 to FY2023)

Long-Term Vision

Achieve sustainable growth by contributing to society through the development
and stable supply of mineral resources and by harnessing the collective strengthsof the Group as an integrated mineral resources company.
Second Medium-Term Management Plan Basic Policy
Basic Policy
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 of large-scale investments with aneye to future growth. The third shaft at the Torigatayama Quarry Complex (limestone) is under construction with the aim of
beginning full-scale operation in fiscal 2023. We will proceed with development at the new mining area at the Hachinohe Mine,already under development, 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.
We recognize that it is important to respond flexibly to demand trends in Japan and overseas, especially in relation to structuralreform at steel manufacturers, which are major purchasers of limestone, while securing profits that can handle such active
investments and maintaining financial soundness.
For this reason, we will work to identify growth areas and develop demand in all our businesses, and strive to balance our SDGs
initiatives with our business activities.

Balancing Business Activities and SDGs Initiatives

We will balance our business activities that aim for the sustainable growth of
the Group and our SDGs initiatives.
Business activity

Relevance

Related SDGs

Contribute to the development of industrial infrastructure, regional
development, and employment
Operation of an environmental management system in accordancewith ISO 14001 (certification obtained for all limestone mines under direct control)
In-house generation of electricity by long distance conveyor belt (Torigatayama)

MineralResources

Development andoperation of limestone
mines, copper mines,
etc.

Futureinitiatives• 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 low power generation• Cooperate with manufacturers to consider hybridization and electrificationof heavy mining equipment

Reuse steel slag and copper slag, and increase procurement of recycled
raw materials to Tamano Refinery

Carbon-neutral
society

Greening and appropriate maintenance of former mine sites (used effectively

in some real estate projects) and sedimentation sites

Forest certification system: Operate in accordance with SGEC
(certification acquired in company-owned forest in Hokkaido)

Water purification for sewage treatment and industry effluent

Machinery &Environmental
Engineering

Production and saleof wastewater
treatment agents,
dust collectors
and deodorizers

Use of recycled materials and coagulation to save energy in factories
Improve air quality through dust collection and deodorization

Renewable
EnergyR&D
Department2

Supply steam to geothermal
power station
Solar and hydroelectric
power generation
Develop new products andmaterials that will contributeto existing and new businesses

Pursue sustainability of renewable energy
Futureinitiatives• Construction of our own geothermal power plant• Study and promote introduction of renewable energy for in-house power
generation and consumption throughout the Group

Futureinitiatives• Research hydrogen recovery from hydrogen sulfide• Research recycling of lithium-ion battery materials

Specific initiatives
to achievecarbon neutrality

Medium-Term Management Plan

Financial Indicators and Medium- to Long-Term Management Goals• We will improve our ROA (return on assets) in order to improve operating profit through the efficient operation of total capital.
• We will maintain a stable capital equity ratio.
ROA (operating profit)

Stable capital equity ratio

Operating margin

Total capital turnoverLong-term life cycle of the mining industry

Increase profitability by improving quality
and controlling costs

Improve capital efficiency by reducing debt
and cross-shareholdings

Preparation of investment for sustainable growth
Temporary decline due tofull-fledged investment period

FY2019Results

FY2020

FY2023Results

Return on investment andnext investment preparation period

Medium- to long-term goals

Plan

Operating margin

6.4%

7.3%

6% or more

Total capital turnover

0.68

0.63

0.7 or more

0.9 or more

ROA (operating profit)

4.4%

4.6%

4% or more

7% or more

Capital adequacy ratio

57.5%

58.9%

57.5% or more

60% or more

8% or more

Numerical Target(Assumptions) Exchange rate: ¥105 = US$1, copper price: 350 cents/pound ($7,716/ton)(Billions of yen)

FY2019 results

FY2020 results

FY2021 plan

FY2021 results

FY2022 plan

FY2023 plan

117.5

119.1

128.4

149.0

125.6

123.8

7.5

8.7

9.4

15.7

9.0

7.3

Net sales
Operating profit

Financial Plan and Capital Investment Plan
(Billions of yen)

FY2019 results

FY2020 results

FY2021 plan

FY2021 results

FY2022 plan

FY2023 plan

EBITDA

12.9

14.0

15.2

21.1

14.8

15.4

Capital investment

8.8

7.5

12.1

11.0

13.2

17.3

Depreciation

5.3

5.3

5.8

5.4

5.8

8.1

*EBITDA: Operating profit + depreciation*Capital investment: (FY2021 to FY2023) Including the stripping activity asset

Policy on Shareholder Returns
Our core business, the mining industry, is an extremely long-term business, starting with research and development before
moving on to subsequent operations spanning several decades or more. During that time, profits will vary due to fluctuations in
the price of resources and other factors. However, given the business characteristic of a long life-cycle, and in order to prepare
for future investments aimed at sustainable growth, we will provide a stable dividend over the long term while maintaining an
optimal balance between improvements to shareholders’ equity and returning profits to shareholders.

FY2021 to FY2023

Seek to return a consolidated payout ratio of 30%
FY2019FY2020

FY2021

16.6%

22.2%

30.0%

90 yen/share

100 yen/share

335 yen/share*Reference: Past consolidated payout ratios

Note: Details concerning the plans or forecasts appearing on this page were prepared based on certain conditions determined to be reasonable by
the Company at the time. The Company does not guarantee the accuracy or completeness of this information. Actual business performance
could vary substantially from the plans outlined here due to various risk factors and other elements of uncertainty.

3

The Potential of Resource Development
As the phrase “strike it rich” goes, many people believe that mining and mine operations involve looking for and exploiting
new ore deposits. Fundamentally, mineral resources are a non-renewable resource, so mines are predestined to close after all
the mineral resources are extracted. Therefore, new development of resources holds an extremely important meaning formining companies.
Nittetsu Mining continuously engages in resource development targeting non-metallic resources such as limestone andsilica rock in Japan and abroad and non-ferrous metal resources such as copper, gold, silver and tin in the Pacific Rim, includingSoutheast Asia and South America.

Initiatives for resource development

Philippines (limestone)

Lao People's Democratic
Republic (copper)
Kingdom of Cambodia(copper)

Republic of Fiji (copper)

Atacama Copper Mine

13,000 ton

Kingdom of Morocco(tin)

Arqueros Copper Mine

15,000 ton

Furthermore, extending the service life of mines isanother critical mission for resource development.
Nittetsu Mining’s Atacama Copper Mine
commenced operations in 2003, and while theinitial mining period was scheduled to be around 11
years, we continue to produce and supply copperore in a stable manner today, more than 15 years
later. This is because of our efforts to increase mine
output by conducting mineral exploration in thearea around the mine after we started operating.

Resource development, which takes place around the world, is not an overnight venture and it carries with it a number of risks
and uncertainties. Mineral exploration is known by the phrase “senmitsu (literally: three in 1,000),” referring to the tendency for
only three out of 1,000 mineral exploration sites to make it to commercialization. In addition to risks closely linked to minedevelopment, such as geopolitical risks and country or region risks where development takes place, other risks have emerged inrecent years, such as rising development costs due to the deeper nature of ore deposits and changing resource nationalism.
Since its establishment, Nittetsu Mining has established a track record as a mining company that has consistently tackled
subterranean resource development. With this confidence, we engage in resource development, from greenfield development
to securing concessions, and stand-alone mineral exploration, mine development and operations.

4Business Information
Mineral Resources

Net sales

133,124 million yen

Development of subterranean resources both within and outside of Japan alongwith stable production and supply at non-metallic and non-ferrous metals mines
Composition
ratio

The Mineral Resources Group comprises the Non-Metallic Minerals Division and Metallic Minerals Division, forming an important pillar of
Nittetsu Mining’s business operations.

Non-metallic Minerals Division

Metallic Minerals Division

Our company has limestone mines across Japan, such as the
Torigatayama Quarry Complex in Kochi Prefecture, the largest
mine in the country with the highest annual production, placing
us among the top class domestically.

The Metallic Minerals Division develops and operates the
Atacama Copper Mine of the Republic of Chile in South America
and smelts electrolytic copper on consignment from Hibi Kyodo
Smelting Co., Ltd.

Major Products and Services

Major Products and Services

Limestone, crushed stone, dolomite, silica rock, andspecialty papers, etc.

89.3%

Metallic
Minerals
52.8%

Non-metallic
Minerals
36.5%

Electrolytic copper, gold, and silver, etc.

Machinery & Environmental Engineering

Net sales

11,345 million yen

Sale of various eco-friendly products
The Machinery & Environmental Engineering Segment of our company includes the Environment Division, which mainly supplies
environmental products such as wastewater treatment chemicals, etc., and the Machinery Division, which mainly deals in environmental
products such as dust collectors, plasma deodorizing smoke separators, etc.

Environment Division

Machinery Division

The Environment Division supplies wastewater treatment
chemicals, with a special emphasis on Polytetsu®.

The Machinery Division focuses on producing eco-friendly
environmental machines and a range of industrial machines thatmeet the extensive needs of customers.

Major Products and Services

Major Products and Services

Polytetsu®, Tetsuflock®, Dashace®, etc.

Composition
ratio

7.6%

Sinter Lamelar filter®, Plasmadash®, Geo-sinter®,
Elbow-Jet separator air-classifier, etc.

Real Estate

Net sales

2,825 million yen

Leasing business including office buildings and condominiums, and sale of real estate
The Real Estate Division of our company has carried out business activities to effectively use company-owned real estate. Mindful to theneeds of the market, this division also manages company-owned office and apartment buildings in urban areas and is leasing
restaurants, stores, factories, warehouses, parking lots, and other properties, some at disused mines and idle land, across the country.

Composition
ratio

1.9%

Major Products and Services

Leasing and sales of office buildings, condominiums, stores, factories and warehouses, and real estate, etc.

Renewable Energy

Net sales

1,787 million yen

Natural energy development while being mindful of the environment
In our Renewable Energy Segment, we are working to develop geothermal, hydroelectric, solar and other environmentally friendly
natural energy sources.

Geothermal Division

Solar Power Division

The Geothermal Division is engaged in geothermal surveys anddevelopment, while being mindful of the environment.

The Solar Power Division is constructing solar power plants oneight unused company-owned sites as part of our developmentof natural energy, and selling the power to power companies.

Major Products and Services

Major Products and Services

Survey and development of geothermal energy, andsupply and sale of geothermal steam

Composition
ratio

1.2%

Power generation using solar power generation and the
supply and sale of electricity

5

Segment Information
Nittetsu Mining Co., Ltd. and Consolidated Subsidiaries

Net Sales by Business Segment(Year ended March 31, 2022)% change fromprevious fiscal year

% of total
net sales

Business segment

Net sales(Millions of yen)

Non-Metallic Minerals¥ 54,390

9.4

36.5

Metallic Minerals¥ 78,733

46.4

52.8

Machinery & Environmental
Engineering¥ 11,345

2.4

7.6

Real Estate¥ 2,8250.8

1.9

Renewable Energy¥ 1,787

0.3

1.2¥149,082

25.1

100.0

Total

Real Renewable
EnergyMachinery & Estate
Environmental
Engineering

Non-Metallic
Minerals

Sales
Distribution
Ratio
Metallic
Minerals

Breakdown of Net Sales(Years ended March 31, 2022 and 2021)

Business segment(Millions of yen)

2022

Major products% of total net
sales

Net sales% of total net
sales¥ 28,402

19.1¥ 24,859

20.9¥ 3,543

Crushed stone

6,149

4.1

6,428

5.4

(279)

Calcium carbonate

3,200

2.1

3,272

2.7

(71)

Ancillary products
and others

16,638

11.2

15,168

12.7

1,470

Sub-total

54,39036.5

49,728

41.7

4,662

Electrolytic copper

55,45937.2

38,673

32.5

16,785

Copper concentrate

14,164

9.5

9,748

8.2

4,415

Others

9,109

6.1

5,339

4.4

3,770

Sub-total

78,73352.8

53,761

45.1

24,971¥ 133,124

89.3¥ 103,489

86.8¥ 29,634

Machinery engineering

4,417

3.0

4,448

3.8

(31)

Environmental engineering

6,927

4.6

6,634

5.5

292

¥ 11,345

7.6¥ 11,083

9.3

¥ 261

Non-Metallic
Minerals

MineralResources

Metallic
Minerals

Total

Total

6

Increase(decrease)

Net sales

Limestone

Machinery &Environmental
Engineering

2021

Real Estate

Real estate rentals and sales

2,825

1.9

2,803

2.4

22

Renewable
EnergyGeothermal steam supply, solar power,hydroelectric power

1,787

1.2

1,782

1.5

4

Total

¥ 149,082

100.0¥ 119,159

100.0¥ 29,922

Corporate Information
Organizational Chart
As of July 1, 2022

Internal Audit Office

Torigatayama Quarry Complex

Board of Directors

Corporate Planning
Department

Shiriya Quarry Complex

Audit & Supervisory
Board Members

General Administration
Department

Ikura Quarry Complex

General Accounting
Department

Higashi-shikagoe Quarry Complex

Limestone & Raw Materials
Sales Department

Nagaoyama Quarry

Non-Ferrous Metal & Ore
Department

Yamaguchi Quarry

Machinery & Environmental
Sales Department

Tokiwa Quarry

General Meetingof Shareholders

Audit & Supervisory
Board

Oita Quarry Complex

President
Mining Department

Tochigi Quarry Complex

Resources Development
Department

Kagoshima Geothermal Facility

Overseas Mineral Resources Business
Department

Osaka Branch Office

Management Council

R&D Department

Kyushu Branch Office

Safety Administration Office

Hokkaido Branch OfficeBusiness Continuity
Management Office

Tohoku Branch OfficeDirectors and Audit & Supervisory Board Members
As of July 1, 2022

Representative Director and President

Reiichi Morikawa
Managing Directors

Shinya Yamasaki
Yuji Somatsu
Directors

Yukihiko Hagikami(Supervision of Resources Development Department, Overseas Mineral Resources Business
Department, Director and President of Sociedad Contractual Minera Atacama Kozan)

Hirofumi Fujimoto(Supervision of General Administration Department,
BCM Promotion Office)Kenji Otakara(Supervision of Corporate Planning Department, General Accounting Department, Limestone& Raw Materials Sales Department, Non-Ferrous Metal & Ore Department)

Nobumichi Izumi
Kenichi Itakura
Yuko Aoki

Standing Audit & Supervisory Board Members

Seiji Yasuda
Kazuhiko Kojima
Audit & Supervisory Board Members

Yoshiro Wakayanagi
Eiki Hotta
Corporate Executives

Jiro Fujitsu(Representative Director and President of Hachinohe Mining
Co., Ltd.)

Masanobu Kawata(General Manager of R&D Department)

Hiroyuki Sakaguchi(General Manager of Limestone & Raw Materials Sales
Department)

Ken Soda(General Manager of Torigatayama Quarry Complex)

7

Message from the Management
Operating Conditions and Consolidated Results
Despite expectations for the normalization of economic activities following a drop in the number of
COVID-19 cases, during the year ended March 31, 2022, Japan’s economy continued to experiencechallenges due to the resurgence of COVID-19 caused by variants and the substantial increase in theprice of energy and raw materials due to the situation in Ukraine and other factors.
Amid these economic conditions, the Nittetsu Mining Group recorded an increase in net sales of
25.1% year on year to ¥149,082 million buoyed by the increased revenue of the Mineral Resources Group.
Operating profit totaled ¥15,715 million, up 80.1%, ordinary profit was ¥16,605 million, up 72.4%, andprofit attributable to owners of parent reached ¥9,279 million, up 147.7%. Every profit indicator rosesignificantly year-on-year.

Consolidated Business Results by Segment
Mineral Resources
Non-Metallic Minerals Division
Net sales of the Non-Metallic Minerals Division rose 9.4%, or ¥4,662 million, over the previous fiscal year, to¥54,390 million, and operating profit increased 27.2%, or ¥1,504 million, to ¥7,033 million. The main factor
for these increases was improved sales volume of mainstay product limestone.

Metallic Minerals Division
Net sales of the Metallic Minerals Division increased 46.4%, or ¥24,971 million, over the previous fiscal year,to ¥78,733 million, driven not only by the elevated level of copper prices, but also by the weakening yen,among other factors, and operating profit soared 310.4%, or ¥5,493 million, to ¥7,263 million.

Machinery & Environmental Engineering
Net sales of the Machinery & Environmental Engineering Group rose 2.4%, or ¥261 million, over theprevious fiscal year, to ¥11,345 million, owing to strong sales of a mainstay product of the Environmental
Engineering Division. Operating profit, however, dipped 1.6%, or ¥16 million, to ¥1,000 million because of
weaker sales at some machinery-related subsidiaries.

Real Estate
Net sales of the Real Estate Group increased 0.8%, or ¥22 million, over the previous fiscal year, to ¥2,825
million due to generally steady occupancy rates of rental properties. In contrast, operating profit declined
3.4%, or ¥54 million, to ¥1,575 million, due to an increase in repair expenses.

8Message from the Management

Renewable Energy
Net sales of the Renewable Energy Group rose 0.3%, or ¥4 million, over the previous fiscal year, to ¥1,787
million, owing to mostly steady results from each division, and operating profit increased 17.3%, or ¥75
million, to ¥509 million, due to a decrease in depreciation and amortization.

Capital Expenditures, Financing and Other Related Matters
Capital expenditures of the Nittetsu Mining Group totaled ¥9,577 million during the fiscal year underreview, up 28.4% from the previous fiscal year. Major outlays were as follows.
(1) Major facility acquired in the fiscal year under review:
There are no particular items to report.
(2) New establishment and expansion of major facility ongoing during the fiscal year under review:
Nittetsu Mining No. 3 Vertical Shaft of the Torigatayama Quarry Complex Construction (Non-Metallic
Minerals Division, Mineral Resources Group)

Future Outlook
The Company believes the future outlook will remain unpredictable. This is because there is no end to thepandemic in sight as cases wax and wane. In addition, there are concerns over the international situation in
Ukraine, worldwide inflation caused by this situation, rising commodity prices impacted by the weakening yen,
as well as difficulties procuring raw materials and equipment. Moreover, the management climate facing the
Nittetsu Mining Group is experiencing substantial changes caused by the impacts of structural reforms
undertaken by steelmakers and initiatives by governments and the private sector aimed at achieving adecarbonized society.
Amid these economic conditions, the Nittetsu Mining Group will improve and reinforce its management
structure and strive to improve business performance and realize a sustainable society by working tostrengthen and expand its business foundation. This includes addressing the management environment tofurther reinforce sales, increase productivity, reduce costs, and enhance its business continuity plan (BCP) and
SDGs initiatives.
Going forward, we will also strengthen corporate governance as well as sustainable growth and improve
corporate value over the medium to long term, in order to fulfill our responsibilities to supply raw materials to
key industries and contribute to co-prosperity with stakeholders, including shareholders, business partners,
local communities and employees.
Furthermore, the Group carries out activities in compliance with ISO 14001, greenery initiatives at minedsites, acquisition of certification for company-owned forests, and power generation from natural energy. Goingforward, we will continue to engage in eco-friendly business activities.
We extend our appreciation to all shareholders and ask for your continued support and cooperation.
June 2022

Reiichi Morikawa
Representative Director and President

9Consolidated Financial Information
Nittetsu Mining Co., Ltd. and Consolidated Subsidiaries

Balance Sheets
As of March 31, 2022 and 2021

AssetsMillions of yen

Thousands of US dollars

2022

2021

2022

¥ 33,224¥ 35,510—

27,604—

Notes and accounts receivable—trade, and contract assets

30,757—251,308

Lease investment assets

2,551

2,809

20,846Merchandise and finished goods

5,825

5,158

47,601Work in process

8,369

11,787

68,385

Raw materials and supplies

6,432

2,325

52,560

Other

2,992

3,119

24,446

Allowance for doubtful accounts

(448)

(448)

(3,664)89,70587,866732,948

Buildings and structures

20,911

21,647

170,859

Machinery, equipment and vehicles

10,69910,27787,419Land used for mining operations

3,702

3,768

30,254

Land for general use

16,29916,283

133,177

Construction in progress

15,053

10,159122,995

450

447

3,680

67,11762,584

548,387

3,608

3,329

29,487

Investment securities

29,17228,157238,360

Deferred tax assets

1,256

1,202

10,264

Other

7,031

5,748

57,454

Allowance for doubtful accounts

(151)

(149)

(1,241)

Allowance for investment loss

(8)

(3)

(65)

37,301

34,955

304,772¥ 197,732¥ 188,735$ 1,615,595

Current Assets
Cash and deposits
Notes and accounts receivable—trade$271,463

Non-Current Assets
Property, plant and equipment:

Other

Intangible assets

Investments and Other Assets

Total Assets

10

The accompanying notes are an integral part of these statements.
Totals may not add up due to rounding.

Consolidated Financial Information

Liabilities and Net Assets
Millions of yen

Thousands of US dollars

2022

2021

2022

¥ 14,627¥ 17,588

15,922

16,491

Current Liabilities
Notes and accounts payable—trade
Short-term loans payable
Lease obligations
Accounts payable—other$

119,512130,094

869

593

7,104

7,061

7,551

57,697

Income taxes payable

2,939

1,023

24,020

Provision for bonuses

1,103

1,074

9,019

Provision for directors’ bonuses

34

31

285

Provision for shareholder benefit program

10

9

84

Provision for product warranties

10

7

85

Provision for loss on fire

—

548

—

4,358

3,242

35,60746,938

48,162

383,513Long-term loans payable

4,817

5,086

39,361

Lease obligations

1,348

980

11,019Deferred tax liabilities

2,753

2,019

22,494

77

78

632

Other

Non-Current Liabilities

Provision for directors’ retirement benefits
Provision for environmental safety measures
Provision for special repairs

5

37

43

226

111

1,852

Net defined benefit liability

3,799

4,476

31,045

Asset retirement obligations

4,639

4,509

37,907

Other

Total Liabilities

6,754

6,861

55,19024,422

24,161

199,547

71,36072,323583,061

Net Assets
Capital stock

4,176

4,176

34,121

Capital surplus

4,746

4,889

38,782Retained earnings

99,391

91,693812,092

(169)

(167)

(1,385)

108,145

100,591

883,611

Treasury shares
Shareholders’ equity
Accumulated Other Comprehensive Income:

11,974

10,986

97,835

Deferred gains or losses on hedges

(778)

79

(6,364)Foreign currency translation adjustment

808

53

6,607

Remeasurements of defined benefit plans

(75)

(635)

(613)

11,928

10,483

97,464

6,297

5,336

51,458Valuation difference on available-for-sale securities

Total Accumulated Other Comprehensive Income
Non-controlling interests
Total Net Assets

126,371

116,411

1,032,534

Total Liabilities and Net Assets¥ 197,732¥ 188,735$ 1,615,595

11

Consolidated Financial Information
Nittetsu Mining Co., Ltd. and Consolidated Subsidiaries

Statements of Income
Years ended March 31, 2022 and 2021

Millions of yen

Thousands of US dollars

2022

2021

2022

¥ 149,082¥ 119,159$ 1,218,091

Cost of Sales

114,217

92,104

933,223

Gross Profit

34,86427,054

284,867

Selling, General and Administrative Expenses

19,14918,327

156,461

Operating Profit

15,715

8,726

128,406

Net Sales

Non-Operating Income:Interest income

23

39

192

Dividend income

1,062

591

8,678

Share of profit of entities accounted for using equity method

123

598

1,012

Foreign exchange gains

127

—

1,040

Other

224

475

1,831

1,561

1,704

12,755Interest expenses

261

272

2,135

Foreign exchange losses

—

66

—

Maintenance fees for closed and abandoned mines

215

228

1,759

Depreciation of assets for rent and other

92

136

754

Other

102

98

833

671

801

5,482

16,605

9,629

135,679

Gain on sales of non-current assets

46

42

378

Gain on sales of investment securities

145

0

1,185

Non-Operating Expenses:

Ordinary Profit
Extraordinary Income:

—

0

—

191

44

1,564

Loss on sales and retirement of non-current assets

220

320

1,801

Impairment loss

106

912

874

Loss on fire

148

1,754

1,216

Other

16

82

137

493

3,070

4,029

16,304

6,603

133,214

5,082

41,527

27

2,694
(675)

5,110

2,019

41,754

Other

Extraordinary Losses:

Profit before Income Taxes
Income Taxes:
Income taxes—current
Income taxes—deferred
Profit Attributable to Non-Controlling Interests

1,914

837

15,643

Profit Attributable to Owners of Parent

9,279

3,746

75,816

Profit
The accompanying notes are an integral part of these statements.
Totals may not add up due to rounding.

12

226

¥ 11,193

¥

4,584

$

91,460Consolidated Financial Information

Statements of Comprehensive Income
Years ended March 31, 2022 and 2021

Millions of yen

Thousands of US dollars

2022

2021

2022

¥ 11,193¥ 4,584$ 91,460

Valuation difference on available-for-sale securities

987

6,657

8,071

Deferred gains or losses on hedges

(858)

194

(7,016)

Foreign currency translation adjustment

1,034

(489)

8,450

Remeasurements of defined benefit plans

564

1,587

4,610

Total other comprehensive income (loss)

1,727

7,948

14,115Comprehensive income (loss)

12,921

12,532

105,575

Comprehensive income (loss) attributable to ownersof parent

10,723

11,81987,620

ProfitOther comprehensive income:Comprehensive income (loss) attributable tonon-controlling interests¥ 2,197¥713$ 17,954

The accompanying notes are an integral part of these statements.
Totals may not add up due to rounding.

Statements of Cash Flows
Years ended March 31, 2022 and 2021

Millions of yen

Thousands of US dollars

2022

2021

2022

Net cash provided by (used in) operating activities¥ 8,539¥ 9,414$ 69,775

Net cash provided by (used in) investing activities(7,256)(6,539)(59,293)

Net cash provided by (used in) financing activities(4,759)(999)(38,888)

Effect of exchange rate change on cash and cash equivalents

1,190

(124)

9,728

Net increase (decrease) in cash and cash equivalents(2,286)

1,751(18,678)

Cash and cash equivalents at beginning of period

35,23633,484

287,899¥ 32,949¥ 35,236$ 269,220

Cash and cash equivalents at end of period
The accompanying notes are an integral part of these statements.
Totals may not add up due to rounding.

13

Notes to Consolidated Financial Statements
Nittetsu Mining Co., Ltd. and Consolidated Subsidiaries

1. Scope of Consolidation

securities sold calculated by the moving-average method).

(1) Number of consolidated subsidiaries: 22 companies

Stocks with no market priceValued at cost by the moving-average method.

Main consolidated subsidiaries:
Funao Mining Co., Ltd., Hachinohe Mining Co., Ltd.,
Sociedad Contractual Minera Atacama Kozan, Hokkaido
Lime Co., Ltd., Nittetsu Mining Consultants Co., Ltd.,
Nittetsukoukenzai Co., Ltd., and Kobukuro Techno Co., Ltd.

(2) Names of principal unconsolidated subsidiaries(b) Derivatives
Market value method(c) Inventories
The standard for evaluation is the cost method (bookvalue devaluation method based on the decline in

Yaguki Aggregate Co., Ltd. and Hachinohe Mining andprofitability). The method of evaluation is the periodic-

Civil Engineering Co., Ltd.

average method or the first-in, first-out method,

Reason for exclusion from scope of consolidation:

depending on the product line or type of business.

their total assets, net sales, profit and retained earnings,(2) Method for depreciation and amortization ofsignificant depreciable assets

etc. (commensurate with equity holdings), do not have a(a) Property, plant and equipment (except for lease assets)

The unconsolidated subsidiaries are small in scale, andmaterial effect on the consolidated financial statements.

The Company and its domestic consolidated subsidiaries
primarily use the declining balance method. (However,

2. Application of the Equity Method

the straight-line method is used for buildings acquired on(1) Number of affiliated companies accounted for by
the equity method:acquired prior to March 31, 2016], buildings for the

1 company: Hibi Kyodo Smelting Co., Ltd.

(2) Unconsolidated subsidiaries (Yaguki Aggregate Co., Ltd.

or after April 1, 1998 [excluding accompanying facilities
leasing business [including accompanying facilities] andstructures acquired on or after April 1, 2016 [excluding

and others) and affiliated companies (Chokai Calcium Co.,

major tunnels], while the unit-of-production method isLtd. and others) not accounted for by the equity method

used for certain structures [major tunnels] and land forare excluded from the scope of application of the equity

mining.) Overseas consolidated subsidiaries primarily use

method because they have no overall significance andthe straight-line method.

their profit and retained earnings (commensurate with

Estimated useful lives are as follows:

equity holdings) would have an immaterial effect on

Buildings and structures: 5–60 years

consolidated financial statements even if they were
excluded from eligibility for the equity method.

Machinery, equipment and vehicles: 4–25 years(b) Intangible assets (except for lease assets)
For mining rights, the production output method is

3. Business Years of Consolidated Subsidiaries

adopted. For others, the straight-line method is adopted.

Companies with account settlement dates different from

Software for internal use is amortized using the straight-

the consolidated account settlement date are as follows:line method based on its usable period in the Company

Company Name

Settlement Date

(5 years).
(c) Lease assets

Sociedad Contractual Minera
Atacama Kozan
Minera Nittetsu Chile Limitada

December 31

Leased property under finance leases that do not transfer

December 31

ownership are computed over the lease terms assuming

Compañía Minera Arqueros S.A.

December 31

no residual value.

The financial statements of consolidated subsidiaries(3) Accounting for significant reserves and allowances

as of the account settlement date are used. Necessary(a) Allowance for doubtful accounts

adjustments are made in consolidation for significant

At the end of each fiscal year, the Company and its

transactions occurring between then and thedomestic consolidated subsidiaries set aside an allowance

consolidated account settlement date.

for doubtful accounts in the estimated unrecoverable
amount, based on the Company’s loss experience for

4 . Summary of Significant Accounting Policies(1) Valuation standard and method for significant assets

of future recoverability for specific accounts, including(a) Marketable securities

doubtful accounts.

Marketable securities other than stocks with no market price14

general credit and on the Company’s individual estimates(b) Allowance for investment loss

Valued at fair market value (valuation differences are

The Company sets aside a reserve to compensate for losses

directly charged or credited to net assets, and cost of

related to investments in affiliates in the mining businessNotes to Consolidated Financial Statements

based on the financial standing of the applicable affiliate.
(c) Provision for bonuses(c) Adoption of the simplified valuation method at small
enterprises, etc.

The Company and its domestic consolidated subsidiaries

Certain consolidated subsidiaries employ the simplified

set aside a reserve for provision for bonuses, calculated

method in which the retirement benefit amountbased on estimated payments to cover payment of

required for voluntary termination at year-end isbonuses to employees.

deemed a retirement benefit obligation for the(d) Provision for directors’ bonuses
The Company and its domestic consolidated subsidiaries

calculation of liability associated with retirement andretirement benefit expenses.

set aside a reserve to match provision for bonuses,(5) Standards for Recording Revenue and Expenses

calculated based on estimated payments to cover

The Group’s main businesses include the Mineralpayment of bonuses to directors.

Resources (Non-Metallic Minerals Division and Metallic(e) Provision for shareholder benefit program

Minerals Division), Machinery & Environmental

The Company sets aside a reasonable reserve to cover

Engineering, Real Estate and Renewable Energy.

payments for expenses of the shareholder benefit program.

Revenue related to the sale of merchandise or finished(f) Provision for product warranties

goods is mainly sales through wholesale or

The Company sets aside a provision based on the past

manufacturing, and the Company is obligated to deliver

implementation rate to prepare for expenses involving

the merchandise or finished goods based on the sales

free repair costs within the warranty period for products

contract with the customer. Such performance obligations

that have been sold.

are determined to be satisfied by the customer gaining(g) Provision for directors’ retirement benefits

control over the merchandise or finished goods at the

The Company and its domestic consolidated subsidiaries

point in time of delivery, and the Company recognizes theset aside the amount required to be paid out at the end ofrevenue at the time of delivery.

the fiscal year to fund the retirement benefits of directors

Some consolidated subsidiaries have concluded long-in accordance with internal company regulations.

term construction contracts. In the case of transactions in(h) Provision for environmental safety measures

which control of finished goods or services is transferred

In accordance with the Special Measures Law for theover a certain period of time, considering the nature of

Promotion of Proper Disposal of PCB Waste (Law No. 65,

the finished goods and services provided to the customer,

June 22, 2001), the Company sets aside a reasonable

the Company judged that the occurrence of costs

reserve in an amount equivalent to the estimated disposal

appropriately represents the degree of progress of theexpenses for stored PCB.

performance obligation. Therefore, if the total cost

( i ) Provision for special repairs

required to complete can be reasonably measured, the

The Company and its domestic consolidated subsidiaries

Company recognizes revenue based on the ratio of thehave a provision for special repairs based on the estimatedcost incurred to the estimated total cost, and if it cannot

cost of applicable inspection and repair of ships requiring

be reasonably measured, the Company recognizes

regular inspections under the Ship Safety Act, and forrevenue by the amount of expenses that are expected toregular repairs to steam production and transport facilities.

be recovered out of the costs incurred. If the Group is(4) Accounting method for retirement benefits

involved in the sale of finished goods as an agent, it(a) Attribution method of retirement benefit estimatesrecognizes the net amount as revenue.

The straight-line basis is used as the method for
attributing estimated retirement benefits for the period
until the end of the current fiscal year.
(b) Method of expense recording for actuarial differences
Actuarial differences are recorded as expenses from eachconsolidated fiscal year in which they occur by dividing(6) Accounting standard for profits from financial
lease transactions
Revenue from financial lease transactions and associatedcosts are recognized at the time of receipt of lease fees.

(7) Standards for translation of significant foreign currencydenominated assets and liabilities into Japanese yen

the amount proportionately using the straight-line

Current and non-current monetary accounts

method over a certain number of years (13 years) within

denominated in foreign currencies are translated into yen

the average remaining service period of employees

at the exchange rates as of the balance sheet date, andduring the consolidated fiscal year. Certain consolidated

any translation difference is accounted for as a profit or

subsidiaries of the Company record a lump-sum expense

loss for the year.

in the consolidated fiscal year in which they occur.

All assets and liabilities of overseas consolidated

15

Notes to Consolidated Financial Statements

subsidiaries are translated at the rates of exchange in
effect at the overseas consolidated subsidiary’s balance
sheet date. All revenues and expenses of overseas(Notes Concerning Changes in Accounting Policies)(1) Application of ASBJ Accounting Standard for
Revenue Recognition

consolidated subsidiaries are translated at the average

The Company applied Accounting Standard for Revenue

rates of exchange during the fiscal year. Translation

Recognition (ASBJ Statement No. 29, March 31, 2020)

differences are included in Foreign currency translationfrom the beginning of the fiscal year under review. The

adjustment and Non-controlling interests under the net

Company now recognizes revenue in the amountassets on the balance sheets.

expected to be received in exchange for promised goods(8) Main hedge accounting methods

or services at the point in time control of these goods or(a) Hedge accounting method

services is transferred to the customer.

The Company uses mainly deferred hedging. However, for

Due to the above, if the promise to the customer is ainterest rate swaps, special treatment is applied in cases

performance obligation to arrange for goods or services

that meet the necessary requirements, and for currency

to be provided by another party, the Company has

options, allocation treatment is applied in cases that meetchanged to a method of recognizing the net amount of

the necessary requirements.

revenue as an agent. Also, for the calculation of(b) Hedge instruments, hedge objects and hedge policy

transactional prices, the Company has changed to a

The Company carries out interest rate swap transactions tomethod of recognizing revenue excluding amounts

avoid risk associated with loan interest rate fluctuations.

collected on behalf of third parties.

In addition, the Company carries out commodity

As a result, net sales and cost of sales for the fiscal year

futures transactions to avoid commodity priceunder review declined by ¥165 million, respectively,

fluctuation risk for non-ferrous metals inventories andcompared to previous accounting treatment.

for non-ferrous metals future contracts that the

The Company’s application of Accounting Standard for

Company concludes with customers. The Company uses

Revenue Recognition is in accordance with thecurrency options to avoid the risk of foreign exchangetransitional treatment set forth in the proviso torate volatility regarding monetary accounts

Paragraph 84. The cumulative impact of retroactively

denominated in foreign currencies.

applying the new accounting policy before the beginning(c) Method of assessing the effectiveness of hedgesof the fiscal year under review is adjusted to the retained

Over the period from the beginning of a commodity

earnings at the beginning of the fiscal year under review,

future transaction to the point at which the effectivenessand the new accounting policy is applied to the balanceis determined, market fluctuations of the hedgedat the beginning of the fiscal year under review. However,commodity and the hedged instrument are compared tothere is no impact on the balance at the beginning of thedetermine effectiveness. However, interest rate swap

fiscal year under review.

transactions use special treatment and currency option

In addition, “Notes and accounts receivable—trade,”transactions use allocation treatment and for thesewhich was presented in “Current assets” on thereasons they are omitted from this effectivenessconsolidated balance sheet for the previous consolidated

evaluation.

fiscal year, is included in “Notes and accounts receivable—(9) Goodwill amortization method and period
The equal installment method is used for the amortization

trade, and contract assets” from the fiscal year underreview.

which the investment effect in each subsidiary is realized.

(2) Application of ASBJ Accounting Standard for Fair
Value Measurement

In addition, when the amount is immaterial, the complete

The Company applied Accounting Standard for Fair Valueamount is amortized in the consolidated fiscal year in

Measurement (ASBJ Statement No. 30, July 4, 2019) fromwhich it occurs.

the beginning of the fiscal year under review. Inof goodwill over a period of time (less than 20 years) in(10) S cope of cash in the consolidated statements of cash flows

accordance with the transitional treatment set forth in

Cash (cash and cash equivalents) in the consolidated

Paragraph 19 of Accounting Standard for Fair Value

statements of cash flows consist of cash on hand, deposits

Measurement and Paragraph 44-2 of Accounting

drawable at any time and short-term investments withStandard for Financial Instruments (ASBJ Statement No.

original maturities of three months or less that are readily

10, July 4, 2019), the Company intends to apply the newconvertible to cash and exposed to an insignificant risk ofaccounting policy stipulated in the Accounting Standard

changes in value.

for Fair Value Measurement in the future. This change
does not impact the consolidated financial statements.

16

Notes to Consolidated Financial Statements(Notes Concerning Revenue Recognition)(1) Information on Breakdown of Revenue
Information on the breakdown of revenue from contracts
with customers in the fiscal year under review is

1. Balance, etc. of Contract Assets and Contract Liabilities

presented below.

a. Balance of liabilities from contracts with customers,

1. Breakdown of Net Sales by Segment

contract assets, and contract liabilities at beginning(Millions of yen)

Machinery &Non-Metallic Metallic
Environmental
Minerals Minerals
Engineering

RealEstateRenewable
Energy¥ 28,402

¥—

¥—

¥—

¥—

¥ 28,402

Crushed stone

6,149

—

—

—

—

6,149

Calciumcarbonate

3,200

—

—

—

—

3,200

Ancillaryproducts andothers

16,566————

16,566

Electrolytic
copper

—55,459———55,459Copperconcentrate—

14,164———

14,164

Others

—

9,109

—

—

—

9,109

Machineryengineering

—

—

4,417

—

—

4,417

Environmental
engineering

—

—

6,927

—

—

6,927

Renewableenergy

—

—

—

—

1,787

1,787

Revenue fromcontracts withcustomers

54,31878,733

11,345—

1,787

146,184

Other revenue

72

—

—

2,825

—

2,898

54,39078,733

11,345

2,825

1,787

149,082(Millions of yen)

Beginning of fiscal year
under review

End of fiscal year underreview

Notes receivable—trade¥ 3,117¥ 2,946

Accounts receivable—
trade

23,86026,699Contract assets

627

1,111

Contract liabilities

296

247

b. Amount included in balance of contract liabilities asof the beginning of the fiscal year under review
among the amount of revenue recognized¥293 million
2. Transactional Price Allocated by Residual Performance
Obligation
The total transactional price allocated to the unfulfilled
performance obligations as of the end of the fiscal year
under review and the period during which revenue is
expected to be recognized are as follows:(Millions of yen)

Within one year

¥ 1,242Over one year

97
Total

2. Breakdown of Net Sales by Region(Millions of yen)

Machinery &Non-Metallic Metallic
Environmental
Minerals Minerals
Engineeringand end of fiscal year under review

Total

Limestone

Net sales toexternalcustomers(3) Information for Understanding Amount of
Revenue in the Fiscal Year under Review and
Subsequent Fiscal Years

Real
EstateRenewable
EnergyTotal(Notes to Additional Information)
The COVID-19 pandemic is an event that has widereaching impacts on the economy and corporateJapan¥ 49,209¥ 45,259¥ 10,740

¥—

Asia

3,532

19,309489——

23,331

activities. It remains difficult to predict how it will spread—

14,1640——

14,164in the future and when the pandemic will end.

1,576

—

115

—

—

1,692

South America
Others¥ 1,787 ¥ 106,996

1,339

Revenue fromcontracts withcustomers

54,31878,733

11,345—

1,787

146,184

Other revenue

72

—

—

2,825

—

2,898

Net sales toexternalcustomers

54,39078,733

11,345

2,825

1,787

149,082(2) Information Forming the Basis for Understanding
Revenue

Amidst this situation, the Nittetsu Mining Group has
carried out accounting estimates of the recoverability ofdeferred tax assets considering demand trends ofcustomers and commodity prices when preparing theconsolidated financial statements based on theassumption that there will be no major changes in thesituation in the next fiscal year, since the impacts of the
COVID-19 pandemic will be limited.

As described in 4(5) “Standards for Recording Revenue
and Expenses”.

17Notes to Consolidated Financial Statements(Notes Concerning Changes in Presentation Method)and non-current assets of ¥1,853 million have been

Application of ASBJ Accounting Standard on Disclosure ofrecorded. Preparations for the development of the

Accounting Estimates

Arqueros copper mine are expected to experience delays

The Company has applied Accounting Standard onin the time line from the initial plan. Nevertheless, theDisclosure of Accounting Estimates (ASBJ Standard No.

Company has determined that this will not materially

31; March 31, 2020) from the fiscal year under review,

affect the mine development plan and these assets arewhich requires the presentation of notes concerning

recoverable. As a result, the Company has not recorded an

accounting estimates.

impairment loss for these assets.

(Notes Concerning Accounting Estimates)

5. Notes to the Consolidated Balance Sheets

Impairment of Non-Current Assets(1) Collateral assets(1) Amount recorded in the consolidated financial
statements for the fiscal year under review
Impairment loss: ¥106 million(Millions of yen)Foundation mortgage
Property, plant and equipment
Debt collateralized by the above

Property, plant and equipment of ¥67,117 million,

Short-term loans payable34

intangible assets of ¥3,608 million, and others of ¥5,783

Long-term loans payable

99

million

Guarantee deposits received

10(2) Information concerning accounting estimates
In applying the accounting standard on impairment of
non-current assets to the Group, in principle, theCompany groups assets according to business site, whichis the unit for ascertaining the profit and loss of each(2) Accumulated depreciation of property, plant andequipment¥172,459 million(3) Guaranteed liabilities

office, branch offices, welfare facilities, and R&D center,

Hibi Kyodo Smelting Co., Ltd.

etc., are deemed common assets, while rental real estate

Iwaki Kyodo Tancal Co., Ltd.

and idle assets are each categorized as one asset groupaccording to each property. In addition, at consolidated
subsidiaries, assets of are mainly grouped according tocompany. If signs of impairment are recognized for an
asset or asset group and the total amount of
undiscounted future cash flow obtained from the asset or
asset group falls below the book value, the Company willrecognize an impairment loss. The book value of the asset
or asset group in excess of the recoverable amount isrecorded as an impairment loss.
Calculation of the recoverable amount involves making
a reasonable estimate of the future cash flow anddiscount rate for the utility value and the real estateappraisal and estimated disposal costs for net selling
price. Estimates of future cash flow are calculated basedon major assumptions such as sales volume, mineral pricelevels, and operational life based on minable amount.
If there are changes in the assumptions for estimates of
future cash flow, such as decline in transactional volume
with major customers or the fall of mineral price oroperational life below forecasts, the booking of
impairment losses could adversely impact the Group’sbusiness performance in the consolidated financial
statements for the subsequent fiscal year.
Furthermore, Compañía Minera Arqueros S.A. is
preparing to develop the Arqueros copper mine in Chile,(Millions of yen)

Total guarantee

product for managerial accounting purposes. The head

18

¥ 412

Total

¥ 1,460

Consolidated
company debt
¥ (1,460)

181

(34)

1,641

(1,494)

Notes to Consolidated Financial Statements

6 . Segment Information
Millions of yen

2022
Non-Metallic
Minerals

Metallic
Minerals

Machinery &Environmental
Engineering

Real Estate

Renewable
EnergyEliminations
andCorporate¥ 54,390
352
54,743¥ 78,733—
78,733¥ 11,345
662
12,007¥ 2,825
92,835¥ 1,787
—
1,787

¥
—
(1,024)(1,024)¥ 149,082—
149,082

7,033

7,263

1,000

1,575

509

(1,666)

15,715

Eliminations
andCorporate

Sales to external customers
Inter-segment sales
Segment Revenue
Segment Profits

Total

Millions of yen

2021
Non-Metallic
Minerals

Metallic
Minerals

Machinery &Environmental
Engineering

Real Estate

Renewable
Energy¥ 49,728
661
50,389¥ 53,761—
53,761¥ 11,083
475
11,559¥ 2,803
9
2,813¥ 1,782
—
1,782

5,528

1,769

1,017

1,630

Sales to external customers
Inter-segment sales
Segment Revenue
Segment Profits

¥

Total

—
(1,145)(1,145)¥ 119,159—
119,159434(1,652)

8,726

Eliminations
andCorporate

Thousands of US dollars

2022
Non-Metallic
Minerals

Metallic
Minerals

Machinery &Environmental
Engineering

Real Estate

Renewable
Energy$ 444,406
2,880
447,286$ 643,297—
643,297$ 92,695
5,412
98,108$ 23,08876
23,165$ 14,603—
14,603

57,46859,344

8,177

12,872

4,160

Sales to external customers
Inter-segment sales
Segment Revenue
Segment Profits

$

Total

— $ 1,218,091(8,369)—(8,369)1,218,091(13,617)

128,406

OutlineAs of March 31, 2022

Date of Establishment May 20, 1939

Number of Employees (Consolidated)

Common StockMineral Resources

Authorized

20,000,000 shares

Non-Metallic Minerals

Issued andOutstanding

8,352,319 shares

Metallic Minerals

439(including 33,794 shares of treasury stock)

Machinery & Environmental Engineering

249

Number of Shareholders 4,586
Major Shareholders
Nippon Steel Corporation
The Master Trust Bank of Japan, Ltd. (trust account)
Nittetsu Kogyo Shogakukai*
Mizuho Bank, Ltd.
Sumitomo Mitsui Banking Corporation
Custody Bank of Japan, Ltd. (trust account)
Nittetsu Kogyo Shareholding Association
MUFG Bank, Ltd.
DFA INTL SMALL CAP VALUE PORTFOLIO
Sumitomo Osaka Cement Co., Ltd.

1,196

Real Estate

3

Renewable Energy

11% of total

Corporate (shared)

121

14.88
10.72
7.71
3.54
3.49
2.83
1.96
1.68
1.59
1.55

Total

2,019

Number of Employees (Non-Consolidated)

678

Principal Lenders
Mizuho Bank, Ltd.
MUFG Bank, Ltd.
Sumitomo Mitsui Banking Corporation*Non-profit corporation

19

Offices

As of July 1, 2022
Domestic
Yusen Building, 3-2, Marunouchi 2-chome, Chiyoda-ku, Tokyo 100-8377, Japan
Tel: +81-3-3284-0516 Fax: +81-3-3215-8480 URL: https://www.nittetsukou.co.jp/eng/

Head Office
Corporate Planning Section

Tel: +81-3-5962-9755

Fax: +81-3-3284-0540

Sustainability Promotion Section

Tel: +81-3-5962-9766

Fax: +81-3-3284-0540

General Administration Section

Tel: +81-3-3284-0516

Fax: +81-3-3215-8480

Public & Investor Relations Group

Tel: +81-3-3284-0518

Fax: +81-3-3215-8480

Accounting Section

Tel: +81-3-3216-5255

Fax: +81-3-3284-0540

Information System Section

Tel: +81-3-3216-5231

Fax: +81-3-3216-5232

Limestone Sales Section

Tel: +81-3-3216-5261

Fax: +81-3-3284-0037

Limestone Powder
and Aggregate Sales Section

Tel: +81-3-3216-5260

Fax: +81-3-3284-0037

Fine Materials Sales Section

Tel: +81-3-3216-5254

Fax: +81-3-3215-7293

Non-Ferrous Metal & Ore Section

Tel: +81-3-3216-5265

Fax: +81-3-3284-0037

Environmental Sales Section

Tel: +81-3-3216-5320

Fax: +81-3-3216-5262

Machinery Sales Section

Tel: +81-3-3216-5321

Fax: +81-3-3216-5263

Resources Development Section

Tel: +81-3-3216-5281

Fax: +81-3-5962-5180

Overseas Mineral Resources Business
SectionTel: +81-3-3216-5252

Fax: +81-3-5962-5180

R&D Department

8-1, Hirai, Hinode-cho, Nishitama-gun, Tokyo 190-0182, Japan
R&D Administration Section
Tel: +81-42-597-7001 Fax: +81-42-597-7013

Overseas
Sydney Office

Level 14, 115 Pitt St., Sydney NSW 2000, Australia
Tel: +61-2-9238-0477

Taiwan OfficeRm. 506, 5F, No. 88, Sec. 2 Zhongxiao E.Rd., Zhongzheng Dist., Taipei City 100, Taiwan
Tel: +886-2-2322-2712 Fax: +886-2-2322-2616

Major Subsidiaries
As of March 31, 2022

Subsidiaries

Capital(Millions of yen)Company
holdings (%)

Nittetsu Mining Consultants Co., Ltd.

100

100.0

Consulting services for geological surveys, geophysical exploration,
test boring and construction

Hokkaido Lime Co., Ltd.

80

100.0

Manufacture and sales of quicklime and hydrated lime

Funao Mining Co., Ltd.

60

100.0

Mining and sales of limestone and manufacturing and sales ofcalcium carbonate

Nittetsukoukenzai Co., Ltd.

50

100.0

Buying and selling of limestone, crushed stone and calcium
carbonate

Kobukuro Techno Co., Ltd.

50

100.0

Manufacture and sales of crushing and grinding equipment andelectric equipment

Hachinohe Mining Co., Ltd.

100

70.0

Mining and sales of limestone and manufacturing and sales ofcalcium carbonate

Primary businesses

Note: No subsidiaries fall under the category of specified wholly owned subsidiary.

Subsidiary

Sociedad Contractual Minera
Atacama Kozan

Capital(Thousands of US dollars)Company
holdings (%)

16,75060.0

Primary businesses

Mining and sales of copper and other minerals

Printed in Japan