The identity of the Nippon Mining Holdings Group is firmly rooted in resources, materials and energy. With the petroleum business of Japan Energy Corporation and the metal business of Nippon Mining & Metals Co., Ltd. positioned as its two core businesses, the Nippon Mining Holdings Group is now working to enhance corporate value by achieving operational efficiencies and optimal allocation of management resources.
While undertaking safety control, strict compliance measures and proactive environmental initiatives, the Nippon Mining Holdings Group will make wide-ranging societal contributions as it works to become a stable and efficient supplier of resources, materials, and energy.

Since the founding of Nippon Mining Holdings, Inc. (the "Company") in 2002, we have implemented several policies, primarily to bolster our financial position and to restructure and build the competitiveness of existing businesses. With the settlement of long-standing matters of concern, in the fiscal year ended March 31, 2006, the Group was able to shift its management focus to a strategy for growth based on expansion and long term business objectives, while continuing to strengthen its financial position.

Additionally in 2008, we finalized its Long-Term Vision towards Fiscal 2015, which details the Group's strategy for achieving stable and sustainable growth in volatile business environments.

Due to the conclusion of basic memorandum on management integration with Nippon Oil (announced on December 4, 2008), 'Medium-Term Management Plan for Fiscal 2008-2010' has not been revised. Earnings estimates in Fiscal 2009 are disclosed in the 'Latest earnings forecast & IR materials'

Our policy is to determine shareholder dividends by taking into consideration a balance of three factors: 1. corporate profit levels, 2. aspects of our business that are easily affected by market fluctuations, and 3. our goal of continually paying out stable dividends. At the same time, we must set aside adequate internal reserves during a period of financial restructuring aimed at maximizing corporate value to allow us to allocate the funds required for investments essential to maintaining and increasing the profitability of existing business and for investments to expand into new areas of promising growth.

To enhance corporate value with efficient management throughout the Group and the optimal allocation of management resources, the Nippon Mining Holdings Group respects the operating autonomy of each group company. The Group management is structured around basic management agreements between Nippon Mining Holdings, as a pure holding company, and its core business companies.
Basic philosophy of Nippon Mining Holdings with regard to corporate governance is to maintain effective control over the Group operations and ensure management transparency by essentially keeping operations separate from the Group management through the holding company system. Nippon Mining Holdings seeks to enhance corporate value and maintain sound corporate management, while respecting and building up harmonious relationships with its shareholders, employees and clients as well as local communities and all other stakeholders.