"Yes, the contribution of investment to GDP is about 50%. The infrastructure plan mentioned in the news just now is mainly to invest in infrastructure such as railways, roads, airports and bridges, and what is the most demanded construction of these infrastructures? You can't do this infrastructure without enough steel. If the infrastructure plan launched this time is several trillion yuan, if it is converted into steel demand, it will be a lot of money! This is a big pie falling from the sky for the iron and steel industry! To tell you the truth, when my factory was opened a few years ago, it just caught up with the good opportunity of the rapid development of the real estate market, so it has developed to this scale. Today's TV said that the upcoming trillion scale infrastructure plan, for me, and even for the entire steel industry, is almost equivalent to a few years ago the real estate market from scratch to the steel industry brought such an opportunity to the steel industry again, this is really a good opportunity to survive, in the next few years I will make a lot of money!" Long Yunkai excited, told his most real feelings.

Although Li Xin is not familiar with the steel industry and does not know how much such a large-scale infrastructure plan will have a pulling effect on the demand for steel, he feels that Long Yunkai is very right, which coincides with the idea that he expects to buy the bottom of the asset price now. So he asked, "Mr. Long, congratulations, you have caught up with such a good opportunity again." What do you think you can buy at this time other than steel?"

Long Yunkai thought for a while: "I only understand these things in the steel industry, if you don't buy steel products, then you can only buy raw materials, buy some iron ore or coke is also good, the demand for steel is up, the price of these two things will definitely rise." ”

"Coke?"

"That's right. ”

"Do you need coke for steelmaking?"

"You're really a foreigner, as soon as you hear what you say, you know you're a layman. I'll give you the basics of the steel industry and tell you how steel is made, haha. ”

"Hehe, yes, yes, you say. ”

"Steelmaking is very mysterious to laymen, but after you carefully understand this process, the principle is actually very simple, it is a chemical equation learned in junior high school, all kinds of iron oxide and carbon are burned at high temperatures, and the chemical properties of carbon are more lively than the chemical properties of iron, so under the action of high temperature, carbon takes the oxygen in iron oxide, and the two combine to form carbon dioxide, and the iron element is reduced. This redox reaction process is the principle of steelmaking, and the carbon in this chemical equation is coke. ”

"Oh, I see. Li Xin suddenly realized.

Long Yunkai continued: "Of course, I have simplified this process, in fact, iron ore is also divided into many kinds, such as ferric dioxide, ferric tetroxide, iron sulfide, etc., all kinds of iron ore are available, but the general process is to use coke and iron ore to burn in a blast furnace, under the action of high temperature, the carbon element will take away other elements in the iron ore, generate carbon dioxide or sulfur dioxide and other gases, and the iron element will be reduced." The reduced iron element is pig iron, and different types of steel will be formed by adding different trace elements and different amounts of carbon elements to pig iron. ”

Li Xin said: "Actually, it's not simple, it's very complicated!"

Long Yunkai smiled: "The specific process is indeed very complicated, I have simplified and said a rough idea for you, isn't there such a sentence? From my point of view, steelmaking is such a process, but for those engineers in my factory, every link of steelmaking is very complicated, and each link and every step must be very precise, otherwise it will be scrap steel, and the indicators cannot be used if they do not meet the requirements. ”

Li Xin said sincerely: "Mr. Long, as soon as you say it in such a simple way, I understand that coke is indeed a very important raw material for the steel industry. ”

"That's right, do you know how many tons of coke it takes to make one ton of steel?"

"How much?"

"It takes about 1.5 tons to 2 tons of iron ore to make one ton of steel, and the specific amount depends on the grade of the ore, in addition, 0.5 tons of coke are needed as a reducing agent. ”

"So much?"

"Of course, so if you think about how much iron ore and coke demand will be brought about by this large-scale infrastructure plan, this is the reason why I let you buy iron ore and coke. ”

"It seems that this is really a good opportunity, but now there are no iron ore and coke futures in the futures market, so you can only make ideas on the relevant listed companies. ”

"By the way, that's the way to do it. However, there are relatively few listed companies related to iron ore, but there are many listed companies in the coal industry, which you can pay attention to. ”

"Mr. Long, please ask again, just now you said that coke is used in steelmaking, what is the difference between this coal and coke?"

Long Yunkai laughed when he heard Li Xin ask such a question: "Haha, you are really a little white, you don't understand anything." ”

Li Xin also smiled: "I'm not a layman, I've never seen those things that professionals in your industry are used to, so it's not surprising that I can't figure it out." ”

Long Yunkai said: "Then I will give you another popularization of the common sense of the steel industry, coke is made of coal, and the coal used to make coking carbon is called coking coal." ”

"Oh, that's right. ”

"Didn't you just say that coke, as a reducing agent, is used to put it into a blast furnace with iron ore to make steel. The reason why there is an additional process to make coking coal into coke is that coking coal contains other impurities besides carbon. The process of coking is to remove other impurities from the coking coal, so that the carbon content of the coke is higher. Otherwise, in the process of steelmaking, other impurities in the coking coal are mixed with the molten iron, which will make the molten iron index not meet the requirements. ”

"Mr. Long, now I understand. However, I remember that it was said in the previous data that the domestic energy supply pattern is generally more coal and less oil, right? With such large reserves of coal in China, there should be no shortage of coking coal supply, right?"

"In general, there are a lot of coal reserves, but there is also a lot of knowledge here. ”

"Mr. Long, you give me a lot of advice, I'm here to listen. ”

Long Yunkai has the heart to make Li Xin a friend, so when he talks about these things in the industry, he talks endlessly, and there is nothing to hide: "I just said that the domestic coal reserves are very rich, but in fact, there are two kinds of coal, one is thermal coal, and the other is coking coal. Thermal coal is easy to understand, and the coal burned by trains in the past is thermal coal. There is also coal used in thermal power plants to generate electricity, and the coal burned by ordinary people for cooking at home is thermal coal. Because thermal coal is mainly used for combustion to provide heat source for power, the requirements for thermal coal are not too high, even if it contains more impurities. However, coking coal is different, and coking coal is basically the highest quality of coal. The technical indicators of high-quality coking coal are very high, if these technical indicators are not met, the finished coke yield will be very low, and it will contain too many impurities, which cannot be used for steelmaking. It is precisely because the domestic reserves of high-quality coking coal are very small, and the demand for high-quality coking coal and coke from so many factories in the national steel industry is very large, so there has always been a big gap in the supply and demand of domestic high-quality coking coal and coke, and a large amount of coke and coking coal must be imported abroad every year to fill this gap. Slightly larger factories in the steel industry will have a coking plant, in order to provide high-quality coke for their blast furnaces and ensure their own raw material supply. I have my own coking plant, and I buy a lot of high-quality coking coal every year. ”

Having said that, Li Xin has already seen a huge opportunity in front of him: "According to what you say, once the large-scale infrastructure construction plan mentioned in the news today is launched, as soon as so many key projects are launched, won't the already large supply-demand gap between coke and coking coal be widened?"

"That's what I'm saying, that's why I asked you to buy iron ore and coal! To tell you the truth, I was still discussing with a few friends in the industry just now, and I wanted to take advantage of this opportunity to set up another steel mill or coking plant. This opportunity is a once-in-a-lifetime opportunity, and investing in such a factory under this premise will definitely make a lot of money in the next few years. I have a lot of money on hand, but I know that you have made a lot of money in the stock market and futures, if you are interested, you can come and invest, and we will do this together, what do you think?"

Li Xin excused himself: "Haha, Mr. Long, I have no experience in doing entities, I know that running a factory needs to deal with all aspects, and I can't take care of any place." I'm blind to this, but I'm still more interested in stocks and futures. ”

Long Yunkai couldn't help but be a little disappointed when he heard this, but he knew that this matter had to be done slowly, so he said: "It's okay, this matter can't be rushed, you can think about it slowly, let's talk about it if there is any problem." ”

"Okay, thank you, Mr. Long, I'll go and see which companies in the coal industry are worth paying attention to, and then I'll ask you if there's anything I don't understand." ”

"No problem, contact more when you have time. ”

After Li Xin put down the phone, Xia Xiaona asked, "Who is it?"

Li Xin said: "A friend who speculated in stocks together in the big room of a securities company, he is the owner of a steel mill, and I asked him about something. ”

"Are you going to buy any stocks again?"

"I'll see if there are any opportunities for companies in the coal sector in the stock market, and the news broadcast in the news today may bring a very big change to the stock market, which is also good news for you Southern Group. ”