Chapter 1019 Xiling Iron Mine

After the Spring Festival, a number of development and construction projects led by Rongxin Construction, Rongxin Real Estate and University Town Holdings, a subsidiary of Huaihai State-owned Assets, such as the East Ring Expressway, Nanwan Lake Expo Park, Nanwan Lake Convention and Exhibition Center, Nanwan Lake University Town, Huaihai Institute of Technology, Huaihai Institute of Technology, Huaihai Normal University New Campus, Nanwan Lake Software Industrial Park Phase I, and University Town Youth Apartment, were started one after another and other road transportation, power supply and communication, water supply and drainage infrastructure projects, which have been put into construction one after another years ago.

This kicked off the prelude to the construction of Nam Van Lake New Area.

The international industrial park and power equipment industrial park, which were originally subordinate to Qinjiang District, have also been classified as Nanwan Lake Yanjiang Industrial Zone, and the province and Xucheng City have also actively promoted Nanwan Lake Yanjiang Industrial Park, University Town Science and Technology Park and Nanwan Lake New Area to apply for a national new area.

Major industrial projects such as Huaihai Electric Heavy Industry Manufacturing Base led by Huaihai State-owned Assets and Dongshi Group's 50,000 car assembly line have also started construction after the Spring Festival.

In the first half of the year, the Provincial Iron and Steel Group also launched a comprehensive restructuring work, and Rongxin Group also unabashedly wanted to obtain a controlling stake in the Provincial Iron and Steel Group, and wanted to integrate the steel assets of the Provincial Iron and Steel Group with Rongxin, and establish a large-scale steel consortium that is truly capable of competing with large steel enterprises such as Meigang in China.

As a wholly state-owned backbone central enterprise, Rongxin Group will not touch sensitive issues even if it wants to acquire Provincial Steel Group in its entirety.

Not to mention that Cui Weiping, Chen Baoqi, Dai Lesheng and others have decision-making power at the meeting of the Provincial Standing Committee, and Zhong Limin, Secretary of the Provincial Party Committee, is also supportive of the comprehensive restructuring of the Provincial Iron and Steel Group, and Xu Pei cannot be too aggressive.

How to restructure the provincial steel system, the problem is still thrown to the provincial state-owned assets office, the provincial steel and Rongxin Group to negotiate.

Shen Huai is no longer in charge of the work of the provincial state-owned assets office, the property rights department and other departments, and puts the main energy on the side of Huaihai state-owned assets, and because of the comprehensive restructuring of the provincial iron and steel group, it involves the sensitive issue of competition with Meigang, he should have avoided it, but in fact he could not avoid it.

Rongxin Group mainly wants to acquire the steelmaking assets of the Provincial Iron and Steel Group, while the assets, including the Xiling Iron Mine, want to be accepted by Huaihai State-owned Assets.

The domestic steel market and steelmaking capacity have increased significantly, which naturally stimulates the demand for iron ore.

Xiling Iron Mine, with an annual output of 1.6 million tons of concentrate and tens of millions of tons of reserves, cannot be said to be a high-quality resource from this point of view.

However, the biggest problem of Xiling Iron Mine is the backward equipment and redundant personnel, which has a great relationship with the development history of the provincial iron and steel, which can be regarded as a historical burden.

Although it has been streamlined many times, the total number of employees in Xiling Iron Mine, which has an annual output of 1.6 million tons, is still as high as more than 20,000 people in 00 - if it is not for the drag of Xiling Iron Mine, the annual profit of the Provincial Iron and Steel Group will increase by another 230 million.

Xiling iron ore reserves are limited, production capacity is limited, after the completion of Xinjin Iron and Steel, the province of steel will eat nearly four million tons of high-quality iron ore from overseas every year, the future to further expand production, but also in Xinjin Port to build a larger scale of the second phase of steelmaking projects, so that Xiling iron ore for Rongxin has become a chicken rib.

It is precisely because of the drag of Xiling Iron Mine that the profitability of the Provincial Steel Group has declined in recent years, and the gold-absorbing machine like Meigang is far from being compared, and the halo is not as dazzling as the provincial state-owned assets groups such as Huaimei and Huaihai Rongtou. In addition to the operation of Rongxin and Hu people, the province also tends to support the comprehensive restructuring of the provincial steel group.

Throughout May, Shen Huai took Sun Fujing and went to Xiling for two or three trips.

Xucheng has developed rapidly in the past two years, and it is difficult to imagine that there is such a poor county as Xiling under Xucheng.

Xiling is located in the northeast of Xucheng, southwest of Yuanling, surrounded by mountains, in the early years it was because of the iron ore and Xing, there are several small iron and steel plants, in addition, there is no decent industrial enterprises, although it is proposed to develop the tourism industry in recent years, but because of the continuous sixty or seventy years of iron ore and other mineral mining, the vegetation is reduced, the mountain is exposed, the environment is very poor, the county is just below the mining area, the sky is like covered with a layer of ash.

Due to the subsidy from the municipal finance, the streets of Xiling County are still neatly decorated.

If Xucheng wants to develop, Xiling's environment needs to be remediated, and environmental debts need to be repaid, which has become a big burden for Xiling Iron Mine.

Rongxin regards Xiling Iron Mine as chicken ribs, and does not want to be included in Rongxin's steel industry system, and it is not difficult to understand that it is not difficult to take a trip to Xiling.

"Rongxin may treat Xiling as a chicken rib to be thrown away, or it may be retreating as advance, but no matter what they are thinking, we will not give up the initiative;

Huai coal in the past also has serious redundancy, streamlining staff is a very difficult thing, as a state-owned enterprise has the inevitable social responsibility, Huai coal in recent years, on the one hand, the coal mining capacity has doubled, on the other hand, the new more coal washing, coking and other related factories to the original staff diversion, so that the per capita coal mining volume to increase the international average, in the process to complete the mining equipment renewal and replacement, enhance profitability.

According to the development plan and environmental requirements of the province and Xucheng City, Xiling will not only not be able to expand production capacity in the future, but also eliminate and shut down some small mines that have a great impact on the environment - Xiling Iron Mine will have to update its equipment and almost streamline eight or nine out of ten employees before it can be reborn.

said that Rongxin takes retreat as advance, and Sun Fujing believes that there is such a possibility.

Xiling iron ore mining equipment is not a big problem, you can increase investment in the replacement of equipment, with the rise of iron ore prices in the future, profits are still expected, more headaches are redundant.

If so many workers can't be dismissed, they have something to do, they can't live in vain, they can't update the mining equipment with a higher degree of automation, and the production efficiency of Xiling Iron Mine will always fall below the level of the same industry, where there may be opportunities for profit.

If the province does not have the confidence to deal with the problem of Xiling Iron Mine, and wants to package the steelmaking assets of Xiling Iron Mine with Provincial Steel, it will inevitably have to accept Rongxin's strict withdrawal plan for Xiling Iron Mine, and the provinces, cities and Xiling County will have to endorse the responsibility for the riots that may result from the removal plan.

There are no factories in Xiling, and nearly 20,000 workers in the mining area will be dismissed at once, and the small county town will not be turned upside down?

If you don't retreat, even if the price of iron ore has the prospect of rising sharply in the future, Xiling Iron Mine is also a huge burden, carrying too many workers, backward mining equipment can not be updated, and there is no development prospect in sight.

In the process of provincial steel restructuring, this looks like an intractable dead knot.

Sun Fujing didn't know how Shen Huai would seize the initiative from Rongxin Group, and why Rongxin Group regarded it as a matter of chicken ribs would no longer be a problem in Shen Huai's hands.

"Evergreen Group is optimistic about the good growth prospects of the iron ore market in the future, and acquires several iron ore companies overseas, and Xiling can set up a labor service company to export the surplus workers overseas," Shen Huai saw that Sun Fujing had expectations in his eyes, and continued, "Huaimei will also go out of Huaixi sooner or later, and it is better to leave early than to go late." ”

Rongxin led the comprehensive restructuring plan of the provincial steel, Shen Huai has no intention of obstructing, even if there is no Rongxin, Meigang is still facing competition from several other major steel companies in China, and there are not many Rongxin families.

Rongxin wants to control Provincial Steel, and its current vision is still on the expansion of the scale of steelmaking, so it also regards Xiling Iron Mine as chicken ribs - Shen Huai wants to eat the chicken ribs of Xiling Iron Mine with relish.

Since 97, Evergreen Group has acquired an iron ore company in Thailand, and in recent years, it has set its sights on Australia and Africa, which are more abundant in iron ore resources.

Although Australia is more abundant in iron ore resources, Shen Huai advocates that Evergreen Group should be placed in Africa, especially in East Africa. Australia has extremely strict restrictions on the import of labor, and Africa is the paradise for Chinese companies to export labor - and China's high-quality and low-cost labor resources are the real gold mine for now.

Meigang was listed in London as a whole, relying on the financing of 3 billion yuan of funds and some bank loans, for the construction of the second phase of Xinpu Iron and Steel project is enough, and the annual profit of nearly 2 billion yuan is not in a hurry to pay dividends, and now it has the ability to enter the overseas iron ore market together with Evergreen Group.

Although Huaixi City currently has more than 30 billion tons of proven coal reserves, but mining is difficult and easy, the cost is high and low, according to the provincial and Huaixi City planning, the future Huaixi City annual coal mining volume will reach about 120 million tons, will limit further growth.

The orderly exploitation of resources should avoid the premature depletion of regional resources.

After several years of development, the annual coal mining capacity in Huaixi City has exceeded 60 million tons, and Huaixi coal accounts for nearly half. Even if the proportion of Huai Coal in Huaixi's coal mining industry does not decrease in the future, the actual development potential is limited.

In order to achieve greater development, Huai Coal will have to go out of Huaixi sooner or later.

Mining coal and other mineral resources in other provinces and overseas is a suitable path for Huai Coal to give full play to its own advantages.

Therefore, Shen Huai still hopes that Huai Coal will take over the Xiling Iron Mine together with Meigang and Changqing Group in order to give full play to its greater advantages; in the future, Huai Coal will develop into a comprehensive large-scale mineral group, not just limited to coal.

In this way, no matter whether Rongxin regards Xiling Iron Mine as chicken ribs, or has a calculation of retreating as advance, Shen Huai will not play any dumb riddles with them, and will directly inherit Xiling Iron Mine by Huai Coal, Meigang and Evergreen Group, even if there are still various problems in Xiling Iron Mine, they can also be resolved in the development process.