Intellectual capital

The purpose of development activities concerning intellectual capital in the KGHM Polska Miedź Group in 2022 was to develop taking into account the strategic directions: 5E (Elasticity (flexibility), Efficiency, Ecology – safety and sustainable development, E-industry, Energy) as well as its long-term development plans. They were mainly directed at the development and implementation of advanced technologies, creating a smart production line. Among other things, this goal was supported by:

• Implementation Doctorates Program (as of the end of Q4 2022, 28 doctoral students from two editions of the program participated in the program. In the course of their research, PhD students from the program successfully disseminated partial results of their research by speaking at both national and international scientific and industry conferences. Publications by participants in the KGHM DW Program frequently appeared in prestigious international scientific journals, confirming their real contribution to the development of their respective disciplines. In addition, doctoral students delivered lectures at universities, sharing with students not only their theoretical knowledge, but also their practical knowledge built up over many years of work at KGHM Polska Miedź S.A.,
• The CuBR Venture (under the four editions of the Venture competition, co-financed by the National Centre for Research and Development (NCBR) and KGHM, 25 R&D projects having a total value of over PLN 180 million were launched. In 2022, there were 6 projects under implementation, and 19 projects were completed),
• use of external financing for R&D projects (advancement of European research projects continued and applications were submitted for the subsidising of initiatives under the Horizon Europe and KIC Raw Materials Programs, and a list of potential subjects of interest to KGHM Polska Miedź S.A was prepared under efforts to obtain future financing. In 2022, the Company advanced a total of 12 projects using subsidies in the amount of EUR 2.84 million,
• The Legnica Hybrid Metallurgy Facility (HHL) (in 2022, a preliminary business model for the Legnica Hybrid Metallurgy Facility was developed, assuming flexible work by the facility based on own copper concentrate and purchased copper-bearing materials, including concentrates and scrap. Design documentation is being prepared for the modernisation of the production line at the Legnica Copper Smelter and Refinery as well as construction of the Scrap Trading Base at the Legnica Copper Smelter and Refinery),
• Hackathon CuValley (the second edition was held, aimed at seeking innovative, ready-to-implement solutions. Forty projects took part in the hackathon (three of which were ultimately acquired by KGHM),
• KGHM 4.0 program (in the area of ICT (Information and Communication Technology) and Cybersecurity: work was carried out in terms of ensuring ICT security due to the war in Ukraine, and the Charlie CRP alarm level (involving cyberspace threats) was introduced at a country-wide level. Thanks to this there were no interruptions recorded in the business operations of the KGHM Group, and security processes were supported; in the area of Digitalisation of business processes: implementation work was completed under the project to implement the platform – construction of a Digital Workplace. The implementation of a Digital Workplace supports the development of KGHM in terms of increasing employee efficiency, managing information and building the potential to implement new application solutions and to cooperate with external business partners. In terms of the project APO/BDG2.0 – testing was performed in cooperation with all of KGHM’s Mining Divisions and the Head Office, and five tasks were implemented for use. In terms of the project „Optimisation of the Production Planning and Settlement Process”, in 2022 work on the implementation of nine tasks was completed. The fourth and fifth stages of implementation of the CMMS system (Computerized Maintenance Management System), supporting production and material logistics in the Metallurgical Plants, Concentrator Division and Tailings Division, continued. The project is aimed at increasing KGHM Polska Miedź S.A.’s organisational and cost efficiency in terms of maintaining operational continuity. In terms of the project „Improvement and automation of the accounting processes in CUK (accounting services centre)” advancement of over 20 initiatives, aimed at enhancing the efficiency of KGHM Polska Miedź S.A.’s accounting and reporting processes, was completed),
• continued advancement of projects to automate the production lines of the Mining Divisions of KGHM Polska Miedź S.A. (work continued related to the electromobility of mining machinery. In this context, work continued connected with testing electric battery-powered mining machinery. In the Lubin mine, following the completion of tests, a mobile bolting rig was brought into operation, while tests continue on a mobile drilling rig. Certification procedures are underway for a prototype vehicle for the transportation of people and materials in the underground mines, which are planned to be completed in 2023. In the Rudna mine, operational tests are underway on an Epiroc ST14B fork loader. The anti-collision system was integrated as well as the system for locating and identifying machinery and people in the underground mines. Robotisation of production and auxiliary processes continued. Work continues on building a CuXRF robot to scan for copper content at the working faces. The acquisition was completed of equipment and elements of the dewatering monitoring system, which was built and brought into operation at the Polkowice-Sieroszowice mine with visualisation in the dispatcher’s office. Supplementary workshops were held for internal Auditors of the Energy Management System (ISO 50001) and of the Occupational Health and Safety Management System (ISO 45001). Work continued on managing the risk of a lack of improvement in the energy results of KGHM (risk was analysed in line with the cascade model, including the identification of actions to mitigate this risk)),
• protection of intellectual property (in 2022 proceedings were underway to obtain legal protection for selected trademarks, among others: the word-figurative trademark „KGHM” was registered on the territory of China Protection was prolonged for a European patent, validated in 16 European countries, to which KGHM Polska Miedź S.A. is jointly entitled under the CuBR project being advanced, two inventions were filed with the European Patent Office and in the Patent Office of the Republic of Poland protection was prolonged for six patents, and four inventions, a utility model and an industrial model were announced. The Patent Office of the Republic of Poland has also granted patents for two inventions, and there are also patent proceedings pending for five inventions announced for protection).