Zijin Mining is developing three major copper projects in Serbia while expanding production at its existing Bor and Čukaru Peki operations, with the company facing increased scrutiny over labour practices affecting access to the US market. The Chinese mining group has completed an expansion of the concentrator serving the Upper Zone at the Čukaru Peki copper-gold mine and is preparing block-cave developments for the deeper Lower Zone and the Jama underground mine in the older Bor copper complex.
Zijin has also identified more than 5mn tonnes of copper-equivalent resources at Malka Golaja, which it lists alongside Čukaru Peki and Jama among its principal global development projects.
The Bor and Čukaru Peki operations produced a combined 296,000 tonnes of copper and 9.1 tonnes of gold in 2025. Zijin’s combined production guidance for 2026 is 296,000 tonnes of copper and 8.1 tonnes of gold. The company’s longer-term expansion plans are intended to raise combined Serbian copper production capacity towards 450,000 tonnes a year, although Zijin has not published a complete development timetable or consolidated capital budget.
Underground expansion centres on block-cave mining
Čukaru Peki began production in 2021 with the high-grade Upper Zone. Development of the substantially larger Lower Zone would involve lower-grade ore and require a different mining approach as well as significantly higher capital investment. Zijin is preparing block caving for the Lower Zone, a method in which an orebody is undercut and allowed to collapse under gravity. Once operating at scale, the technique can deliver low unit production costs, but requires extensive underground infrastructure and careful management of rock movement.
The Jama mine is also being prepared for a block-cave expansion. Developing the two underground projects simultaneously would extend Serbia’s copper production over a long period while exposing the company to concurrent construction, geotechnical and financing requirements. Block-cave projects generally require several years of development before reaching full production. Unexpected rock behaviour, groundwater conditions or a slower ramp-up can affect project returns. The method can also result in surface subsidence, requiring environmental assessments and land-use planning to cover areas beyond the underground mining footprint.
Malka Golaja adds another potential production source
Malka Golaja represents a third expansion opportunity for Zijin. The reported resource of more than 5mn tonnes of copper equivalent indicates significant scale, but publicly available information does not provide sufficient detail on grades, resource classification, mine design or capital requirements to independently assess the project’s economics.
In Serbia, Zijin controls Čukaru Peki through Serbia Zijin Mining. At the Bor complex, Serbia Zijin Copper is 63 per cent owned by Zijin, while the Serbian state holds the remaining 37 per cent. The ownership structure gives the Serbian government direct exposure to dividends, investment and employment generated by the operations, while also leaving it exposed to environmental, labour and reputational risks associated with the mines.
Zijin said its Serbian operations made it Europe’s second-largest copper producer in 2025. The assets are positioned to supply a European market seeking regional sources of copper used in electricity grids, renewable-energy infrastructure and electric vehicles.
Serbian copper faces tighter European supply-chain requirements
Serbia’s status outside the European Union adds another dimension to Zijin’s expansion. Serbian producers can supply European customers, but are increasingly required to provide information on labour conditions, emissions and raw-material provenance. The Bor complex also carries historic environmental liabilities. Mining and smelting over previous decades affected air, soil and waterways, while expansion of the Veliki Krivelj open pit has required negotiations concerning the relocation of nearby residents.
Zijin says it has invested in new smelting capacity, wastewater recycling and environmental remediation. Higher production will nevertheless increase the volume of ore, tailings and other mining waste requiring management.
US customs action targets Serbia Zijin Copper
Market-access risks increased in June when US Customs and Border Protection (CBP) issued a Withhold Release Order covering copper and copper products manufactured by Serbia Zijin Copper. CBP said its investigation found reasonable indications of forced labour, citing abuse of vulnerability, withholding of wages, intimidation, restrictions on movement, retention of identity documents and excessive overtime.
The order requires US customs officers to detain affected shipments. Importers can export or destroy the goods, or submit evidence demonstrating that the products were not manufactured using forced labour.
Serbia Zijin Copper said it opposed all forms of forced labour, regarded the matter seriously and was reviewing the allegations. The immediate financial impact will depend on the volume of Serbian copper destined for US customers. The issue also creates broader supply-chain requirements because European manufacturers and commodity traders can impose their own labour and human-rights due-diligence standards.
Copper can pass through multiple intermediaries during blending, refining and resale, increasing the importance of traceability showing the mine and smelter from which the metal originated. The issue could therefore affect financing and offtake arrangements for Zijin’s Serbian expansion even if most of the company’s output is ultimately sold into European or Asian markets. Banks and industrial customers can impose contractual labour and human-rights requirements independently of any European prohibition.
Zijin’s Serbian development programme combines the expansion of existing operations with the preparation of Čukaru Peki Lower Zone, Jama and Malka Golaja. The projects’ commercial development will therefore involve both the technical execution of underground mining and the ability of the resulting copper to satisfy labour, environmental and traceability requirements in international supply chains.
