The Fly | NEXA

Integrated Value Chain in Zinc Production: Nexa is one of the world's largest integrated zinc producers, operating both mines and smelters, which provides synergistic benefits, better cost control, and allows the company to capture margins across the entire value chain from ore to refined metal.

Extensive Mineral Reserves and Resources: The company holds substantial mineral reserves and resources, particularly in zinc, copper, and lead, across its operational portfolio, ensuring a long mine life and providing a strong foundation for sustained production and future growth.

Strategic Geographic Focus in Mining Hotspots: Nexa's primary operations are concentrated in prolific mining regions of Peru and Brazil, countries known for rich mineral endowments and established mining infrastructure, offering operational efficiencies and reducing geopolitical fragmentation risks.

Commodity Price Volatility Risk: Nexa's profitability is highly sensitive to the global prices of zinc, copper, and lead, which are subject to significant fluctuations due to market supply and demand dynamics, economic conditions, and geopolitical events.

Operational Disruptions Risk: Mining operations face inherent risks such as equipment breakdowns, power outages, labor disputes, geological challenges, adverse weather conditions, and natural disasters, any of which can lead to production shortfalls and increased costs.

Environmental and Regulatory Compliance Risk: Strict and evolving environmental regulations in Peru and Brazil, including permitting processes, waste management, water usage, and carbon emissions, pose a risk of non-compliance, fines, operational restrictions, and project delays.