Nexa Resources S.A. (NEXA): Business Model Canvas

Key Partnerships

Mining equipment suppliers: Nexa Resources S.A. collaborates closely with mining equipment suppliers to ensure that they have access to the latest technologies and tools needed for efficient and safe mining operations. These partnerships help Nexa stay ahead of the competition and improve their operational performance.

Local and national government agencies: As a mining company, Nexa relies on strong partnerships with local and national government agencies to navigate complex regulatory environments and ensure compliance with environmental and safety regulations. These partnerships also help Nexa secure permits and licenses for their mining operations.

Environmental and regulatory bodies: Nexa values its partnerships with environmental and regulatory bodies to ensure responsible mining practices and environmental stewardship. By working closely with these organizations, Nexa is able to mitigate environmental impacts and promote sustainability in their operations.

Joint ventures with other mining companies: Nexa engages in joint ventures with other mining companies to share resources, assets, and expertise in order to maximize value and minimize risks. These partnerships allow Nexa to access new opportunities and expand their reach in the mining industry.

Research institutions and universities: Nexa collaborates with research institutions and universities to drive innovation and technological advancements in the mining sector. By partnering with academic institutions, Nexa is able to explore new ideas, develop new processes, and improve their mining operations.

Key Activities

Nexa Resources S.A. is a leading mining company that specializes in mineral exploration, ore extraction, and processing. The company's key activities include:

• Mineral exploration: Nexa Resources invests heavily in geological surveys and research to identify potential mineral deposits. This includes conducting ground surveys, drilling operations, and data analysis to determine the feasibility of mining in specific areas.
• Ore extraction and processing: Once viable mineral deposits are identified, Nexa Resources focuses on extracting the ore in a safe and efficient manner. The company utilizes state-of-the-art equipment and technology to extract the ore from the ground and transport it to processing facilities. At these facilities, the ore is crushed, milled, and treated to extract the desired minerals and metals.
• Product development: Nexa Resources is dedicated to producing high-quality products for its customers. The company works closely with its research and development team to continuously improve its processes and products, ensuring that they meet the highest standards of quality and performance.
• Sustainability and environmental management: Nexa Resources prioritizes sustainability in all aspects of its operations. The company is committed to minimizing its environmental impact through responsible mining practices, waste management, and reclamation efforts. Nexa Resources also invests in programs to support biodiversity conservation and community development in the areas where it operates.
• Sales and marketing: Nexa Resources has a dedicated sales and marketing team that works to promote its products and secure new business opportunities. The company maintains strong relationships with its customers and partners, ensuring that it meets their specific needs and requirements.

Key Resources

Mining licenses and permits: One of the key resources for Nexa Resources S.A. is the mining licenses and permits that allow the company to extract minerals from designated areas. These licenses are obtained through a rigorous process of compliance with environmental regulations and government requirements.

Mineral reserves: Nexa Resources S.A. possesses vast mineral reserves that serve as a critical resource for its mining operations. These reserves ensure a steady supply of raw materials for the company's production processes, providing a competitive advantage in the market.

Mining and refining equipment: Another essential resource for Nexa Resources S.A. is the specialized mining and refining equipment used in its operations. This equipment includes drills, excavators, crushers, and processing plants that are essential for extracting and processing minerals efficiently and safely.

Skilled workforce: Nexa Resources S.A. relies on a skilled workforce to operate its mining facilities and oversee its production processes. The company invests in training and development programs to ensure that its employees are equipped with the necessary skills and knowledge to perform their roles effectively.

Research and development teams: In addition to its mining operations, Nexa Resources S.A. has dedicated research and development teams that focus on innovation and continuous improvement. These teams explore new technologies and processes to optimize production, reduce costs, and minimize environmental impact.

• Mining licenses and permits
• Mineral reserves
• Mining and refining equipment
• Skilled workforce
• Research and development teams

Value Propositions

Nexa Resources S.A. (NEXA) offers a range of value propositions that set us apart in the mining industry. We are committed to providing our customers with reliable supply of zinc, lead, and copper, ensuring that they have access to the essential metals they need for their operations.

• Reliable supply of zinc, lead, and copper: Our customers can trust us to consistently deliver these critical metals, helping them to maintain their production and meet their business demands.
• High-quality metal products: We pride ourselves on offering top-notch metal products that meet the highest industry standards, ensuring the performance and longevity of our customers' end products.
• Sustainable mining practices: We are dedicated to operating sustainably, minimizing our environmental impact and ensuring the well-being of local communities near our operations.
• Tailored solutions for various industrial customers: We work closely with our customers to understand their unique needs and provide them with customized solutions that address their specific challenges.
• Long-term customer support and service: Our commitment to our customers doesn't end with a transaction – we offer ongoing support and services to help them optimize their use of our products and achieve their business objectives.

These value propositions form the foundation of our business model at Nexa Resources S.A., as we strive to be a trusted partner for our customers and a leader in the mining industry.

Customer Relationships

Nexa Resources S.A. places a high priority on building strong and lasting relationships with our customers. We understand the importance of maintaining a positive connection with our clientele in order to ensure their continued satisfaction and loyalty. Our approach to customer relationships includes:

• Long-term contracts: We believe in establishing long-term partnerships with our customers, providing them with stability and security in their supply chain.
• Customer support and technical assistance: Our dedicated team is available to assist customers with any inquiries or technical issues they may have, ensuring a smooth and seamless experience.
• Sustainability partnerships: We work closely with our customers to promote sustainable practices and support their sustainability goals, fostering a shared commitment to environmental stewardship.
• Regular updates on product developments and supply chain improvements: We keep our customers informed of any advancements or enhancements to our products and supply chain processes, ensuring transparency and trust.
• Community engagement and development programs: We engage with local communities where we operate, working to build mutually beneficial relationships and contribute to their development through various initiatives.

Channels

Nexa Resources S.A. utilizes a variety of channels to reach its customers and distribute its products effectively. These channels include:

• Direct sales teams:

  Nexa Resources S.A. has a dedicated team of sales professionals who directly engage with customers to understand their needs and offer tailored solutions. This direct approach allows the company to build strong relationships with customers and provide personalized service.

• Company-owned distribution networks:

  The company has established its own distribution networks to ensure efficient and timely delivery of its products to customers. By owning and managing these distribution channels, Nexa Resources S.A. can control the quality of service and provide a seamless experience for customers.

• Third-party distributors and traders:

  In addition to company-owned distribution networks, Nexa Resources S.A. also leverages third-party distributors and traders to reach a wider customer base and expand its market reach. These partners help the company penetrate new markets and increase sales volumes.

• Online marketing and sales platforms:

  Nexa Resources S.A. utilizes online marketing and sales platforms to promote its products, generate leads, and facilitate transactions. These digital channels allow the company to reach customers globally and increase its brand visibility.

• Industry conferences and trade shows:

  The company actively participates in industry conferences and trade shows to showcase its products, network with potential customers, and stay abreast of industry trends. These events provide valuable opportunities for Nexa Resources S.A. to connect with key stakeholders and generate business leads.

Customer Segments

Nexa Resources S.A. (NEXA) serves a diverse range of customer segments in the industry. These segments include:

• Electronics manufacturers: NEXA provides essential raw materials to electronics manufacturers for the production of various electronic devices such as smartphones, computers, and appliances.
• Construction industry: The company supplies metals like zinc, lead, and copper to construction companies for building infrastructure and residential projects.
• Automotive industry: NEXA caters to the automotive sector by offering materials needed for the manufacturing of vehicles, including aluminum and steel.
• Metal traders and distributors: The company supplies metals to metal traders and distributors who sell them to various industries and clients.
• Government infrastructure projects: NEXA works with government bodies to supply materials for large-scale infrastructure projects such as bridges, roads, and public buildings.

Cost Structure

Nexa Resources S.A. (NEXA) incurs a variety of costs in order to operate its mining and processing operations. These costs can be broken down into several categories:

- Operational costs of mining and processing:

This includes expenses related to labor, equipment, machinery, and materials needed to extract and process minerals from the company's mines. These costs can vary depending on the type of mineral being mined and the complexity of the extraction process.

- Research and development expenditures:

NEXA invests in research and development to improve efficiency, develop new mining technologies, and explore new mineral deposits. These expenditures are vital for the company to stay competitive and maintain its position as a leading mining company.

- Environmental compliance and remediation costs:

As a responsible mining company, NEXA incurs costs related to environmental compliance and remediation efforts. This includes expenses for environmental impact assessments, monitoring, and remediation of any environmental damage caused by mining activities.

- Sales and marketing expenses:

To market its products and attract customers, NEXA invests in sales and marketing activities. This includes advertising, promotional campaigns, trade shows, and sales commissions. These expenses are necessary to maintain and grow the company's customer base.

- Administrative and general expenses:

NEXA also has administrative and general expenses such as salaries for management and support staff, office rent, utilities, and other overhead costs. These expenses are essential to keep the company running smoothly and efficiently.

Overall, NEXA's cost structure reflects the diverse range of activities and operations involved in running a successful mining company. By effectively managing these costs, NEXA is able to maintain profitability and sustain its operations for the long term.

Revenue Streams

Sales of extracted and processed metals:

Nexa Resources S.A. generates a significant portion of its revenue through the sales of various metals that are extracted and processed from its mining operations. These metals, which include zinc, copper, and lead, are in high demand globally and are used in a wide range of industries such as construction, automotive, and electronics.

Long-term supply agreements:

NEXA enters into long-term supply agreements with its customers, ensuring a steady stream of revenue over an extended period of time. These agreements provide both Nexa and its customers with stability and predictability in their business relationships, reducing the risk of market fluctuations impacting revenue generation.

By-products sales:

In addition to its primary focus on mining and selling metals, Nexa also generates revenue through the sale of by-products that are produced during the extraction and processing of metals. These by-products, such as sulfuric acid and iron ore, are often in demand in their own right and provide Nexa with an additional source of revenue.

Technology licensing:

Nexa leverages its expertise in mining and processing operations to license its technology to other companies in the industry. By allowing others to use its proprietary technology, Nexa is able to generate revenue streams while also expanding its reach and impact within the sector.

Service agreements:

Lastly, Nexa offers a range of services to its customers, such as technical support, maintenance, and training. These service agreements provide Nexa with a reliable source of recurring revenue while also enhancing the overall customer experience and satisfaction.