Corporate
profile
Our road is unidirectional, our focus is on constant search. We work together towards the same horizon.
COMPANY IDENTIFICATION
Ticker: MOLYMET
Legal Address: Camino Nos a Los Morros No. 66, Nos, San Bernardo, Maipo Province, Metropolitan Region, Chile
Taxpayer ID: 93628000-5
Type of Entity: Publicly listed corporation
Securities Registration: No. 0191
CONTACT INFORMATION
Corporate headquarters: Camino Nos a Los Morros No. 66, Nos, San Bernardo, Metropolitan Region of Santiago, Chile
MolymetNos Plant: Camino Peñuelas No. 0258, Nos, San Bernardo, Metropolitan Region of Santiago, Chile.
Main Telephone Number: +56 2 2937 6600
P.O. Box: 1974, Santiago, Chile
Website: www.molymet.com
Email: info@molymet.cl
Investor Relations Andrés Ovalle Montero
E-mail: ir@molymet.cl
Phone: +56 2 2937 6672
Glossary
Molibdenos y Metales S.A., MOLYMET
Complejo Industrial Molynor S.A., MOLYNOR
Carbomet Energía S.A., CESA
Inmobiliaria San Bernardo S.A., ISBSA
Carbomet Industrial S.A., CISA
Molymet Belgium N.V., MOLYMET BELGIUM
Molymet Germanny GmbH, MOLYMET GERMANY
Molymex S.A. de C.V., MOLYMEX
What Inspires Us
With over 40 years’ experience, we currently have the capacity to process around 35% of the global molybdenum market and lead worldwide production of rhenium. The high strategic value of our products positions them as key inputs in technological applications for mega construction projects, urban development and environmental protection initiatives, among others.
Purpose
To create value for the evolution of humanity through products developed by people who think about the well-being of the planet.
Mission
We strengthen our global position in the molybdenum and rhenium market through a capacity for efficient, flexible processing, ongoing process optimization, innovation and the search for new business opportunities in strategic metals. We place particular emphasis on increasing value for our most relevant stakeholders.
We promote a corporate culture in which individuals consistently conduct themselves responsibly, ethically, morally and transparently.
VALUES
Integrity
Acting in a way that is coherent with what one says and thinks.
Confidentiality
Using corporate knowledge responsibly.
Sustainability
Minimizing our operations’ environmental impact and respecting natural and social surroundings.
Excellence
Focusing work on continuous improvement of productivity, efficiency and cost indices.
Innovation
Seeking out new technologies and better products.
Transcendence
Molymet’s legacy will be the present of future generations.
What We Believe In
We believe in collaborating to build a more sustainable world and to pass on fairer, cleaner and more transparent spaces to future generations. In this spirit, we have joined the Global Compact, an initiative from the United Nations with more than 13,000 companies participating around the world, making it the first international organization dedicated to examining critical matters related to sustainability and adhering to the 10 Guiding Principles on Business and Human Rights.
Our Journey
Corporate Purpose
The company’s corporate purpose consists of:
- Manufacturing, on its own or through third parties, of molybdenum oxide, ferro molybdenum, ammonium perrhenate and any other alloy or industrial product derived from minerals that contain molybdenum or that are present along with it in its natural state or as a byproduct of other prior industrial processes. To that end, it may install or operate power or industrial facilities of any type and develop, acquire or sell products, materials, substances, byproducts and merchandise or derivatives of all types that are related to the corporate purpose. A full description of our corporate purpose can be found in article 4 of our corporate bylaws available on our website.
- Acquisition, sale, import, export, commission, consignment, representation, distribution or commercialization on its own or through third parties, either wholesale or retail, whether of national or foreign origin, of all types of movable goods, especially technical equipment, machinery, raw materials or supplies that require manufacturing, sale and/or distribution of alloys that contain molybdenum and its derivatives.
- Research and development of metallurgy projects; design, construction, repair, maintenance and sale of metallurgy plants and related products.
- Treatment of minerals and gases and industrial waste of all kinds, generation of steam, oxygen and other gases; and chemical analysis services.
- Provision of services, consulting or advising services related to the aforementioned purposes and the provision of services, consulting or advising services on legal, financial, economic, commercial, market development, logistics, IT, data processing, accounting, tax, auditing, supply and personnel management, corporate strategy and marketing and business administration services.
- Investing in Chile or abroad in all types of tangible or intangible property, movable or immovable goods such as bonds, debentures, stocks, units or rights in companies and any type of securities or property titles with the authority to manage said investments.
- Creating or joining as an associate or otherwise, directly or with third parties, partnerships of people or capital or legal entities of any type or nature in Chile and abroad.
History
Molymet’s history dates back to the work of two immigrants, Mr. Antonio Gianoli of Italy and George Mustakis of Greece, who started a nut company in 1936. They later built a small hydroelectric power plant near the Chilean city of Los Andes, which introduced them to lime deposits in the area. Here, they discovered a new business opportunity: producing calcium carbide and lime derivative used at that time to power lamps.
This led to the founding of Fábrica Nacional de Carburos Ltda., the direct predecessor of Molymet.
Their entrepreneurial spirit did not stop there. They soon began manufacturing products such as tires and railway axles and consequently renamed the company Carburo y Metalurgia S.A. in 1944.
Over time, operations were relocated from Los Andes to San Bernardo, where they built a larger facility near a hydroelectric plant on the Maipo River that would cover its energy needs, which is still operational.
Inspired by their fathers’ stories, the founders’ children built the business into what we know today as Molymet.
Founding of Molymet
Internationalization
Creation of Subsidiary
Acquisition
Acquisition
Creation of Subsidiary
Creation of Subsidiary
Creation of Subsidiary
Foreign Bond Issuance
Acquisition
Creation of Subsidiary
LEED Certification
Creation of Subsidiary
Sale and Acquisition
COVID-19
Molymet launched its corporate purpose.
Milestones for the Period
In 2021 we continued to suffer the effects of the pandemic, including issues with shipping and ground transportation. This complicated sales of diverse products to our customers. However, the strategic position of our facilities enabled us to reach markets with greater molybdenum and rhenium demand during the period, which drove considerable sales growth for our company.
CORPORATE MILESTONES
Chairman of the Board
Mr. Eduardo Guilisasti Gana was appointed Chairman of the Board.
Webinar on Molybdenum Recovery
In alliance with Corfo, we held the first webinar targeted towards entities outside our company, aimed at supporting molybdenum recovery initiatives in small and medium-scale mining companies, thus helping create value in that sector.
Dow Jones Sustainability Index
Moving forward with our sustainability management efforts, we participated for the first time ever in the Dow Jones Sustainability Index, an index of listed companies that meet high performance standards in social, environmental and economic aspects.
Investment Policy
We prepared and formalized the Corporate Investment Policy on diversification for the entire Molymet group.
Innovation Challenge
As part of the Rhenium Market Development Program, we launched the first open innovation challenge to drive the use of rhenium in producing and using green hydrogen.
Bond Issuance
In Mexico we issued two corporate bond lines (maturing in four and six years, respectively) for approximately US$ 190 million in total.
Promoting Green Hydrogen
We joined the association H2 Chile, a collaborative platform bringing together public entities, private companies, academia and professionals interested in the energy transition, specifically in generating renewable energy for developing green hydrogen. Our decision to get involved with H2 Chile stems from an interest in promoting the use of rhenium as a catalyst in the production and use of green hydrogen.
New
Subsidiary
We agreed to transform MolymetNos into a separate industrial subsidiary of Molibdenos y Metales S.A., as of 2022.
TECHNOLOGY AND INNOVATION
Automation
Program
Culture of
Innovation
Pi System
Phase 2
SUSTAINABILITY
Investment in
Sustainability
Molymet’s Board of Directors approved the most important investment in sustainability and the environment that the company has made in the past five years. This project to modernize MolymetNos’s acid plant No. 1 will enable us to voluntarily reduce SO2 emissions by 40%.
Environmental Permit
During the period, we obtained an Environmental Qualification Resolution (RCA 511/2021) for a project that is very important to the sustainability of the MolymetNos operations: “Second Voluntary Reduction of SO2 Emissions by Modernizing and Strengthening Gas Cleaning and Roasting Facilities at MolymetNos.”
Commitment to the
Environment
In order to maintain and preserve the company’s 123 hectares of green area in Nos, we established the first Real Right of Environmental Conservation in the district of San Bernardo, Metropolitan Region through our subsidiary Inmobiliaria San Bernardo S.A. This instrument makes environmental conservation of the land surrounding Molymet’s facilities compulsory and fosters the development of sustainable farming of walnut trees and other organic crops.
Investment
Confirmation
Our Board confirmed the total investment (US$ 59,057,26) and the implementation timeline for the project to modernize the gas cleaning facilities at MolymetNos to be carried out between 2021 and 2024.
SALES AND MARKETS
New Contracts
In a context of global concentrate shortages, we closed spot contracts for considerable volumes for both our own supply and tolling service contracts, including in non-traditional markets like Asia.
Strategy Adjustment
Due to the sharp recovery in molybdenum consumption in the western market in 2021, we changed our sales strategy to favor markets with greater liquidity and returns.
Global Logistics Crisis
In 2021 the world was faced with a complex supply chain crisis that led to major difficulties such as limited reserve space on vessels, a lack of containers and low productivity at major ports that triggered a crisis in the logistics chain. In spite of these conditions, our satisfactory logistics management and proactivity enabled us to meet all contractual commitments as agreed with our customers around the world.
Price Volatility
Even with very volatile prices, variations in sales volumes and high uncertainty from the logistics chain, we appropriately managed our risk position and mitigated the possible negative effects on the company's results.
Operational Continuity
Despite the difficulties we encountered in managing logistics worldwide, we managed to procure molybdenum and rhenium concentrates and ensure operational continuity at our plants.
PEOPLE AND COMMUNICATIONS
Labor Relations Index (LRI)
In 2021 we applied the Labor Relations Index (LRI) for the first time ever. This tool is an organization-wide measurement of trust between different players within the organization, people management and labor relations. It will provide us with a diagnostic of Molymet’s strengths, gaps and opportunities for improvement, based on national and international best practices.
New Code of Conduct
We have issued our first Code of Conduct to add a more up-to-date, more inclusive and more sustainable vision to the ethical and respect-based principles that should govern our actions. We also drafted a Communications Policy detailing this tool’s scope and strategic purpose among all our internal audiences.
Corporate Development and Internal Succession Committee
During the period, we formed a new Corporate Development and Internal Succession Committee, comprised of the CEO, the Vice President of Corporate Human Resources and Communications and several other vice presidents in the company. This committee's objective is to continue developing a talent management culture and succession processes for critical positions throughout the group, which allows for sustainable leadership of the business, decentralizes talent management and holds Molymet’s leaders accountable.
Global Diversity, Equity and Inclusiveness Strategy
In order to foster a diverse and inclusive culture and a strong sense of belonging, we have developed a global diversity, equity and inclusiveness strategy that helps boost our employees’ productivity, innovation and commitment, as well as our brand positioning, in line with our strategic objectives, values and purpose.
Articles of Incorporation
Molymet is the trade name of Molibdenos y Metales S.A., a corporation formed in Valparaíso by public instrument dated October 28, 1975, and authorized in Resolution No. 463-C.
Currently our legal domicile is Camino Nos a Los Morros N° 66, San Bernardo.
10/28/1975
Registration current address
Important Corporate Figures
We have four industrial plants at subsidiaries in Chile, Mexico, Belgium and Germany, and commercial offices in England, China, the United States, Brazil and Chile.
Our ongoing search for efficiency and flexibility, process optimization and innovation have enabled us to successfully navigate the difficulties that have emerged since 2020 as a result of the pandemic. These achievements included meeting customer needs, opening markets and continuing collaborative research to find new uses for our products in order to contribute to the well-being of all humankind.
2021
2020
2019
US$ 9 million to increase metallic molybdenum production capacity at the Chemiemetall plant, today Molymet Germany, located in Bitterfeld, Germany.
US$ 54 million for a new chemical product plant at our subsidiary Sadaci, today Molymet Belgium, in Belgium.
2020 : US$ 0,25000
2019 : US$ 0,29109
2020 : US$ 1.051.912.038
2019 : US$ 1.170.147.552
2020 : US$ 3.081.000
Ownership
Control
Situation
Our company does not have a controller, as defined in Section XV of Law No. 18,045, and had 194 shareholders as of year-end 2021.
Major Changes
in Ownership
or Control
During the reporting period, there were no relevant changes in the composition of Molymet’s shareholders.
Majority Partners
or Shareholders
The company has 194 shareholders, all of which own one single series of shares. Among them, there is a business group based on a family relationship that exists between the main partners of the legal entities listed and they may appoint at least one director.
MAJORITY SHAREHOLDERS
These shareholders form a business group based on a family relationship that exists between the main partners of the legal entities listed and may appoint at least one member of the company’s management.
This shareholder can independently appoint at least one member of the company’s management.
These shareholders are connected by a family relationship between the main partners of the legal entities listed and may appoint at least one member of the company’s management.
These shareholders can independently appoint at least one member of the company’s management.
These shareholders are connected by a family relationship between the main partners of the legal entities listed and may appoint at least one member of the company’s management.
Distribution of Shareholders
SHAREHOLDERS AS OF DECEMBER 31, 2021
Stock Performance and Shareholder Rights
Dividend Policy
Our current dividend policy calls for distributing 40% of net profit after absorbing any accumulated losses and maintaining the absolute amount to be distributed reasonably stable over time. This depends on the company’s economic situation based on available cash and projects that must be financed. The percent distributed is expected to remain the same over the next few years, based on current regulations.
Dividends
All (100%) of the dividends distributed are from profit for the year. The following dividends were paid out in the last three periods:
Stock Exchange Transactions
SANTIAGO EXCHANGE
(Source: Santiago Exchange)
Number of Shares Traded
49.978
$ 5.507,02
$ 275.230.046
8.506
$ 5.471,97
$ 46.544.586
16.641
$ 5.028,44
$ 83.678.344
35.124
$ 3.861,37
$ 135.626.806
CHILEAN ELECTRONIC STOCK EXCHANGE
(Source: Chilean Electronic Stock Exchange)
7.196
$ 5.567,80
$ 40.065.872
Period with no trading
Period with no trading
120
$ 4.095,00
$ 491.400
2021 Stock Market Presence
Market presence calculated in accordance with General Standard 327 of 01/17/2012 of the Financial Market Commission. It includes transactions completed on Santiago Exchange and the Chilean Electronic Stock Exchange until the day before the dates indicated. (BCS)
Other Securities
