|
| Friday, 14 September 2012, 12:48 HKT/SGT | |
| |
|
|
|
HONG KONG, Sept 14, 2012 - (ACN Newswire) - China Molybdenum Co., Ltd. ("CMOC", HK:3993) commenced on 11 September the preliminary book building process and roadshow for its initial public offering of A shares, which starts the countdown to its return to the A-share Market. CMOC intends to issue not more than 542 million ordinary shares to raise approximately RMB3,646 million which will be invested in four projects, including the "clean and efficient resource integrated utilisation and construction project with an annual processing capacity of 42,000 tonnes of low-grade and complex scheelite ores", the "ammonium molybdate production line project with an annual production capacity of 10,000 tonnes", the "high-performance cemented carbide project" and the "tungsten metal products and tungsten alloy material downstream processing project".
As disclosed in the prospectus, as a leader of the molybdenum industry, CMOC is China's largest in terms of reserve and China's largest and the world's fourth largest player in terms of output. It is also one of China's largest tungsten concentrate producer. CMOC has unique and abundant mine resources mainly including Sandaozhuang molybdenum and tungsten mine, the molybdenum mine in East Gobi, Hami, Xinjiang and the Shangfanggou molybdenum and iron mine, all being mega mines characterized by distinct advantages of "large reserve, high grade, shallow in terms of buried depth and easy for mining and processing".
Has the largest reserve of molybdenum and second largest reserve of tungsten in China as well as abundant gold and silver resources
According to the most comprehensive reserve verification report currently available, the Sandaozhuang molybdenum and tungsten mine has a molybdenum reserve of approximately 595,200 tonnes, the molybdenum mine in East Gobi, Hami, Xinjiang has a molybdenum reserve of approximately 508,000 tonnes, and the Shangfanggou molybdenum and iron mine has a molybdenum reserve of approximately 191,300 tonnes above elevation 1,154m (513,100 tonnes below elevation 1,154m). Presently, the total molybdenum reserve amounts to approximately 1,807,700 tonnes, the largest in China followed by Jinduicheng Molybdenum with a total reserve of 1,475,600 tonnes. Meanwhile, the Sandaozhuang molybdenum and tungsten mine has a reserve of approximately 407,200 tonnes of scheelite associated with molybdenum, making it the second largest scheelite mine in China after Shizhuyuan scheelite mine. In addition, the Company has abundant gold and silver resources with a proved gold reserve of approximately 68 tonnes.
Be of high grade, shallow in terms of buried depth, easy for mining and very competitive mining costs
The Company's three major mines are endowed with high-grade ores, which is in a leading position among the domestic peers. The grade of the molybdenum ores at the Company's three major mines is above 0.1%, a leading level in the PRC molybdenum industry. At present, there is no other rival for these three mines, except for the Jinduicheng molybdenum mine and Ruyang Donggou molybdenum mine of Jinduicheng Molybdenum Co., Ltd. and the Shapingou molybdenum mine at Jinzhao, Anhui of Tongling Nonferrous Metals Group Co., Ltd. However, Ruyang Donggou molybdenum mine contains a lot of intercalated ore and has a higher damage rate, making its ore recovery ratio fall far behind; and the Shapingou molybdenum mine, which is a underground mine, incurs higher mining costs which offset its advantage of high grade of 0.17%.
At Sandaozhuang molybdenum and tungsten mine, modern, safe and large scale open-pit mining is adopted, digital mining console systems are used, and on-site ore transportation and processing procedures are automated to enhance mining and ore transportation efficiency, thus making the mining costs lower gradually and become more competitive. More importantly, as the Sandaozhuang molybdenum mine has reserve of scheelite associated with molybdenum, the recovery and utilization of scheelite will greatly enhance the profitability of the mine, thereby lowering the overall mining costs of the mine.
Shangfanggou mine, a molybdenum and iron mine, is adjacent to Sandaozhuang mine, and may directly adopt the production mode of Sandaozhuang mine to become the second "Sandaozhuang".
The Company's molybdenum mine at the Gobi Desert of Hami, Xinjiang, is applying for the mining right certificate. The geological conditions of the Gobi Desert will save the Company a large sum of money for future mining activities in respect of land acquisition and reclamation. In addition, the further improvement and application of the Company's experience in mining and processing from Sandaozhuang mine will make the mining costs of the mine very competitive.
Dominant position well established in the molybdenum and tungsten market offers great prospect
Owning large-scale, high-grade and easily accessible high quality mines is the prerequisite for being a top player of the molybdenum industry. The Sandaozhuang molybdenum mine has positioned CMOC as a leading producer of the molybdenum industry and placed it among other top ranking tungsten concentrate producers. The reserves of the molybdenum mine in East Gobi, Hami, Xinjiang and the Shangfanggou molybdenum and iron mine lay a solid foundation for the sustainable development of CMOC and provide strong support for the implementation and fulfillment of its development strategies with molybdenum business as the pillar and tungsten and precious metal as complements.
Topic: Press release summary
Sectors: Metals & Mining, Daily Finance
https://www.acnnewswire.com
From the Asia Corporate News Network
Copyright © 2025 ACN Newswire. All rights reserved. A division of Asia Corporate News Network.
|
|
|
|
|
|
|
| |
Latest Press Releases
Founders Metals Expands Upper Antino; Hits 33.0 m of 3.50 g/t Gold
May 22, 2025 13:39 HKT/SGT
|
|
|
MHI Conducts Flight Test for Hybrid-Type Medium-Sized UAV
Thursday, May 22, 2025 12:35:00 PM
|
|
|
Pet Diets Are Quietly Contributing to Climate Change - but There's a Simple Fix
May 22, 2025 02:00 HKT/SGT
|
|
|
ARYA RESOURCES LTD. (RBZ) Arya Expands Exploration Portfolio With 38,926-Acre Strategic Gold Claims Acquisition Adjacent to Ramp Gold Discovery in Saskatchewan, Canada
May 21, 2025 22:29 HKT/SGT
|
|
|
PlayX Showcases AI-Powered Transparency and Fairness at SiGMA Asia 2025 in Manila 
May 21, 2025 21:00 HKT/SGT
|
|
|
GMG Approves AU$900k for Early Works for 10 Tonne per Annum Second Generation Technology Graphene Production Plant
May 21, 2025 20:29 HKT/SGT
|
|
|
Eisai Demonstrates Commitment to Oncology Innovation at ASCO 2025
Wednesday, May 21, 2025 2:00:00 PM
|
|
|
GMG Launches G-Lubricant.com: A Transformative Graphene Energy Saving Solution for the Multi Trillion Dollar Global Liquid Fuel Industry
May 21, 2025 13:40 HKT/SGT
|
|
|
New RAV4 Makes World Premiere in Japan
Wednesday, May 21, 2025 1:09:00 PM
|
|
|
Naoris Protocol Begins Token Sale for First Post-Quantum Infrastructure Layer
Wednesday, May 21, 2025 1:00:00 PM
|
|
|
|
|
More Press release >> |
|
|
|
