Korea Resources Corporation (KORES), as one of Korea's state owned energy and resources enterprises, has its roots in mining industry since it was established as the Korea Mining Promotion Corporation in 1967. In 2008, KORES was reborn with a vision to grow into one of the global top 20 players in the mining and resources sector by 2020. The ambitious transformation reflected the Korean government's strong commitments to meeting the ever growing natural resources needs of the Korean economy.
Fostering the development of the Korean resources industry
Korea had been one of the poorest countries in the world until a mere generation ago, but now as a member of the 20-50 club, Korea has acquired a competitive edge in manufacturing and trading sectors. In fact, Korea is world's fifth largest mineral resources consumer, mainly due to the demands from the steel, electronics, automobile, shipbuilding and chemical industries. As such, it is time to turn over a new leaf and overhaul the Korean mining and natural resources industries to keep up the pace with Korea's manufacturing sectors.
Assisting the Korean consortiums
KORES stands at the center to realize Korean government's strong commitments in fostering resources industry. We are exerting our utmost efforts to upgrade our expertise and to achieve technology innovation and professional excellence in the shortest period of time possible, so as to be on par with major global companies in the resources industry.
What is more, we invite strategic partnerships and alliances with relevant entities and enterprises, both domestic and overseas, to represent Korea in the international resources marketplace by spearheading the "Korea Consortium", encompassing major trading companies and end users in Korea.
Becoming a true friend of the communities that we work in
KORES aims to create universal values for mankind through ecologically sound development. Therefore, we wish to become not only a good business partner and collaborator, but also a true friend of the resources endowed countries and mining site communities around the world. For that, we are ready to share the added value we will create together for a mutually beneficial co-existence. We ultimately want to be your one-stop resources business window in Korea, maximizing each other's forte and meeting each other's needs.
We appreciate your interest in us and look forward to working with you. Thank you.
Dr. Jung-Sik Koh
President and CEO
Korea Resources Corporation
To fulfill its goal to become a world-class company, KORES has set its mid to long-term plan called "Vision 2020".
Improving from the previous roles that were fulfilled by KORES, we are now striving to be competent to compete in the resources market.
By 2020, expectations of KORES is to be the
1. Direct investor with asset of $17B
2. Future resources seeker expanding its scope of resources
3. Ecosystem developer putting its priority in environment and safety
4. Capability hub creator through enhancement of R&D manpower
Our Mission is to
Contribute to National Economy by Securing Mineral Resources
with a Vision to
Build a Resource-rich Nation.
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KORES commits to the full extent to fulfill the goal of becoming an advanced resources powerhouse through sustainable resources development. All our operations adhere to the highest industry standards to ensure sustainability.
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We value the needs of the communities we work with and thus have initiated various projects to promote community development via education, training, infrastructure implementation and economic support. KORES recognizes the importance of mutual growth with others and brings out success through win-win cooperation to enhance each other's abilities.
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KORES establishes environment management systems to seek hamonization with the environment. We consider enviroment in business management and run a Sustainability Management Subcommittee under the BOD. Here at KORES we take environment issues seriously and strive to strike a balance to preserve bio-diversity for present and future generations.
has focused on direct foreign investment and therefore expanded its overseas projects worldwide in the form of 32 projects spread over 16 countries.
KORES, as a state owned entity responsible for the procurement of mineral resources for national industry, focuses on 6 strategic minerals: iron ore, zinc, bituminous coal, uranium, copper, nickel. More recently 2 new strategic minerals have come under focus: REE & rare metals.
As a government owned entity, KORES encourages Korean companies to participate in the overseas mineral resources development by 1. providing technical due diligence for Korean companies and 2. partly supporting Korean companies financially.
To add, KORES runs stockpile storage system for rare metals in case of emergent needs, as well as conducts mine safety and educational training to raise the quality of safety awareness in Korea.
By focusing on minerals that hold high demand in Korean industry, KORES has secured projects in Australia (mainly in coal), Africa (mainly in lithium and rare metals) and last but not least South America (mainly in copper) often referred to as ‘the copper belt’ due to the geography of mine locations on the west coast of Central & South America.
El Boleo is a historic undertaking as it is the first fully Korean operated overseas mining project in KORES’ history. The Korean government’s investment in the project is considerable and reflects the extent of the efforts being undertaken to ensure the success of the project.
The Boleo project is an advanced stage copper / cobalt / zinc / manganese development located in Baja California Sur, Mexico.
Discovered in the late 1800s, the property consists of 25 mineral concessions covering 20,490.9ha, of which 24 are contiguous. Even though the property was staked by Baja Mining in 1992, since recently, Korea Resources Corporation took the lead to fund and operate this mine with its 45 years of expertise in the mining industry. With its full effort in the Boleo project, the project is currently in the course of normal construction phase(commenced in November 2010). This $1.8 Billion project is scheduled for mechanical completion this year (2013) and initiating copper production early next year.
Taking full responsibility of this project, our CEO Dr. KOH has established the simplified decision making process through a direct line of communication with the headquarter in Seoul as well as dispatching the most qualified technicians of KORES onsite.
By putting project efficiency as the priority in the management of El Boleo and a watchful eye of Kores’ management committee, this project is restoring its reputation back.
The mine contains an estimated 134Mt of measured and indicated copper, cobalt, zinc and manganese resources and 165Mt of inferred resources.
The deposit lies within the late Miocene aged El Boleo Formation within fine to coarse clastic sedimentary rocks that were deposited in the late Miocene in deltas and near-shore shallow marine basins.
Each mantos is distinct in terms of copper-cobalt ratio and relative zinc, manganese and carbonate concentrations. Mineralisation is finely disseminated in the slump breccias over up to 20m thick intervals.
In order to develop refining technology for the Boleo mine, KORES has built and is operating Korea’'s first ‘'hydrometallurgy pilot plant’' where all processes for hydrometallurgy can be observed.
The pilot plant was built to shorten the ramp up time by evaluating problems beforehand that may occur during each process. If a problem does occur, KORES has the ability to take proper measures immediately. This hydrometallurgical technology is the key for KORES to establish itself as a manufacturer.
KORES also plans to utilize pilot plants when obtaining future operating projects.
Mining and processing at Boleo employ the latest high tech devices and procedures. Ore will be mined by both underground and open pit mining methods. Room-and-pillar underground mining using continuous miners along with small cuts open mining techniques are to be employed. The mine plan will be continuously optimized on the basis of resource update by additional drilling and operational condition with the aim of maximizing economics.
Central to the development of the project is putting in place processes to protect the environment and build a good relationship based on trust with the local government and community. Minera Boleo are developing systems for sustainable economic activity, employment, education, urban development planning, community health and emergency response. The emphasis of Minera Boleo programs is on compliance with IFC Performance Standards.
Efforts are being made to support the local government and their pre-existing infrastructure. At the centre of these efforts community education programs are being funded and other support mechanisms are in place for the community to share their thoughts about the project e.g. Community Comment Book, Support Desk, Boleo related periodical publication. Also of prime importance is managing the potential for conflict arising from rapid development, boundary disputes and an influx of new community members.
To date the project and sister companies have generated more than 2,500 direct jobs for the men and women of Santa Rosalia. Indeed just by its presence Boleo creates entrepreneurial opportunities for local businesses. The ‘Flora el Vizcaino’ program has been instigated to educate locals and employees regarding environment & ecosystem protection as well as to help develop jobskills aimed at helping to secure better job opportunities.
Water and Energy resources are being developed. A self-sufficient desalination plant for local drinking water has also been constructed and provides fresh water to the plant and the Santa Rosalia community. The PASA initiative was designed to protect the health and security of the community. In addition to this its aim is to identify issues in the community so as to aid in communicating with the residents and the efficient resolution of any potential conflict.
Essentially, CSR is a core underpinning of operations at Boleo.
Located in Madagascar, Ambatovy is a world-class, large tonnage nickel joint venture that is positioned to be among the world's biggest nickel mines. Korea Resources Corporation(KORES) being the representative in the Korean Consortium, it is participating 27.5% in the mine. Sherritt is the project operator with 40% ownership, and our other partners are Sumitomo with 27.5% ownership and the project's engineering contractor, NC-Lavalin, with 5%.
Ambatovy is located 80 kilometers east of Antananarivo and consists of main road and rail system connecting Antananarivo and the main port city of Toamasina within a few kilometers. As a long-life lateritic nickel joint venture with annual design capacity of 60,000 tonnes of nickel and 5,600 tonnes of cobalt, the mine life is currently projected to be 27 years.
The Joint Venture will consist of an open-pit mining operation and an ore preparation plant at the mine site. The slurried laterite ore will then be delivered via pipeline to a process plant and refinery located directly south of the Port of Toamasina.
Located in the western coalfields near Lithgow in New South Wales, Springvale is an underground longwall mine that have commenced production since year 1992. Coal produced in this mine is transported by train to Port Kembla for export to overseas customers as well as to the local power stations.
KORES and SK Networks owns 25% each of the project totalling up to 50% of ownership by the Korean Consortium. The remaining 50% is owned by the operator Centennial Coal Pty Ltd.
The full production capacity is 3.5 million tonnes per annum with the remaining coal reserves at 61.1 million tonnes which leaves 18 years of mine life left for extraction.
In 2012, Springvale has reached a major milestone and celebrated 20 years of operation. The mine has a strong history of supporting the local community through sponsorship of local community organizations, schools, and events as well providing local job opportunities.
Located 120 kilometres west of Panama City, Cobre Panama is one of the world's largest undeveloped porphyry copper deposits. Korea Consortium consists of KORES and LS-Nikko cooperating with First Quantum Minerals Ltd. as the operator.
In year 2011, the project reached its milestone after the government of Panama approved the environmental and social impact assessment (ESIA) for the project.
Proven and probable reserves is approximately 3,296 million tonnes at a grade of 0.37% copper and 0.006% molybdenum. Annual production rate is expected to be 323,000 metric tonnes of copper and 3,500 metric tonnes of molybdenum.
The mine is expected to ship its first consignment of concentrate during the first quarter of 2018, and the life-of-mine is expected to be more than 41+ years.
Located in Pima County, approximately 50 kilometers southeast of Tucson, Arizona, is the open-pit copper/molybdenum mine along with advantageous infrastructure.
Korea Consortium consists of Korea Resources Corporation(KORES) and LG International(LGI) cooperating with Hudbay minerals as its partner.
Rosemont has measured and indicated resources of 833 million tonnes. The proven and probable mineral reserves contain 605 million tonnes at a grade of 0.44% copper, 0.015% molybdenum and 0.12 oz/t silver in sulfide ore.
The proposed Rosemont mine is expected to produce annually 106 metric tonnes of Copper, 2.4 metric tonnes of molybdenum over the 20+ year mine life.
Rosemont will be one of the top five largest copper mines in the U.S., accounting for approximately 10% of United States copper production.
Korea Resources Corporation(KORES) formed partnership with Capstone Mining Corp in June 17, 2011 by acquiring certain amount of Capstone Mining stocks.
Along with the stock acquisition, KORES also formed strategic partnership with Capstone for the Santo Domingo copper-iron-gold project in Chile as well.
Located on the island of Rapu Rapu, Philippines, Rapu Rapu covers most of the island. Korea Consortium consists of KORES and LG corp. as the operator of the mine. Our other partner is MSC.
Rapu Rapu is the first copper mine to commence production by KORES. This open pit mine has completed commissioning and first-stage multi-mineral production began in April 2006. This mine had yielded 40,000 metric tons of copper concentrate and 30,000 metric tons of zinc concentrate per year. Production was ceased in 2013 due to the depletion of minerals and now the mine closure plan is being carried out.(Rehabilitation of mine site)
Located in the western coalfields near Lithgow in New South Wales, Angus Place is an underground longwall mine that have commenced production since year 1949.
Korean Consortium consists of KORES and SK Networks participating with Centennial Coal Pty Ltd as its partner.
The full production capacity is 4.0 million tonnes per annum with the remaining coal reserves at 84.4 million tonnes left for extraction. It used to produce coal for domestic supply and has increased its annual production from 1.3 million tonnes per annum to 4.0 million tonnes.
Located 45km south of Emerald, Queensland, Minerva is an open-cut mine that have commissioned production since year 2005.
KORES works with Sojitz Coal Mining as the project partner.
The mine currently produces 2.8 Million tonnes of premium thermal coal per annum to the international export market. The mine has a remaining life of approximately 10 years with the potential to develop Underground reserves in the adjacent Athena exploration area.
Located 45km northeast of Mudgee, New South Wales, Moolarben is a world-class coal asset. Korea Consortium lead by KORES works with Sojitz Coal Mining and Yancoal Coal Pty Ltd who is the operator of the mine. Korea consortium consists of KORES with KEPCO and the 4 gencos who are the top end-users of coal in the world.
Moolarben currently produces an export thermal coal product from the open cut mine, with current resources and reserves (open cut and underground), totalling 1.2Bt and 315Mt, respectively. As Moolarben benefits from the geology of the Ulan coal seam, with the average thickness of approximately 12 metres, the mine is famous for low cost and simple mining operation.
Moolarben is currently operating its open cut mining operation producing 8 million tonnes per annum. At full production, the Moolarben Coal Complex will have the capacity to produce 17 million tonnes per annum (MTPA) of ROM coal and employ approximately 450 personnel.
Located north-west of Wyong, New South Wales, Wallarah 2 Coal Project is a coal mine project being developed by Korea Resources Corporation. Korea Consortium consists of KORES, Kyungdong Australia Pty Ltd, SK Networks Resources Pty Ltd, and SK Networks Resources Australia. Our other partner is Catherine Hill Resources Pty Ltd(Sojitz).
The project, which has completed an Environmental Impact Statement is currently preparing for the application of EA.
