On Friday 23 May 2025, the government officially announced a modification of the copper tax calculation rules. The proposed changes will support the investments necessary for the further development of KGHM and, as a result, the entire Polish Copper Belt region. They can also help in the efforts of the Management Board of KGHM Polska Miedź S.A. to reduce the costs of mining. The announced changes are the result of months of dialogue between the Management Board of KGHM and the government.
‘We have an ambitious task ahead of us to make the most of the opportunities presented by the announced change in the copper tax. We want to move as quickly as possible with the necessary investments in domestic production assets to ensure the stable and secure operation of KGHM for decades’, said Andrzej Szydło, President of the Management Board of KGHM Polska Miedź S.A. ‘I would like to thank Minister Jakub Jaworowski and Minister Robert Kropiwnicki for their invaluable personal support in conducting an honest dialogue with the Ministry of Finance. I would also like to thank Minister Andrzej Domański and Minister Jarosław Neneman for the months of substantive discussions and the proposed changes to the copper tax. Now is the time to invest wisely in the future of KGHM and the entire Copper Belt’, he added.
Investments in the Polish Copper Belt
When announcing plans to change the copper tax formula, Finance Minister Andrzej Domański said: ‘In the next 10 years, the reduced costs on the part of copper mining entities in Poland will amount to PLN 10 billion. It is important that this solution supports investment in Poland, supports the creation of new jobs and supports investment in new shafts. We are treating this project as an absolute priority, we want it to come into force from 1 January 2026’.
‘Copper is a key raw material that we use for the energy and digital transformations. It has also been recognised as a key raw material by the European Union. Data shows that Poland has the sixth-largest reserves of this resource in the world’, said Jakub Jaworowski, Minister of State Assets. ‘It is about increasing investment in Poland. By taking care of investments in Poland, by taking care of the development of KGHM, we also take care of the collective security of the West and the European Union.
‘This is great news for KGHM and the region as a whole, as it will enable new investments that will develop the company and extend its life. KGHM needs to start building new shafts as a matter of urgency so that people can work underground. This is a huge leap forward. The changes in the copper tax are good news for the Management Board, the Employees and the Shareholders of KGHM. The company is of strategic importance for both the Polish and European economies, and its stable development is in our common interest’, said Robert Kropiwnicki, Secretary of State at the Ministry of State Assets. ‘The increase in investment funds is not only a good sign for the future of the Company, but also a guarantee of jobs and further development of the Polish Copper Belt. I am convinced that in the long term, the decision to change the copper tax will also be beneficial for the state budget, thanks to increased revenues from the CIT and PIT taxes’, he added.
The analysis of the coherence of the Core Production Business carried out last year provides the basis for determining the optimum directions for KGHM’s development in the long term. The priority is to guarantee forward-looking and stable operating conditions in mining, processing and smelting. KGHM will also continue exploration work to develop the resource base, maintain or increase production levels and maximise asset value in the long term.
In 2024, KGHM Polska Miedź S.A. produced more than 400 thousand tonnes of copper concentrate in Poland.
KGHM / Biznes Alert