Seeing the construction site of Tianjiang Iron and Steel Industrial Park with his own eyes, Zhao Changbo was still shocked by the construction progress and scale here.

According to Bao Feiyang, joint venture projects such as Xinpu Steel and Fangxia Coal, as well as ThyssenKrupp and POSCO, will be completed and put into operation within two years, and they will be completed and put into operation as a whole. A steel plant involves a lot of links and equipment, from ironmaking, steelmaking to steel rolling, to steel processing, five million tons of steel smelting and processing, the entire production area is a steel city, and all this has to be completed in two years.

"The construction of Xinpu Steel and Fangxia Coal Chemical we have adopted the method of sub-bidding, after the end of the bidding, the winning construction unit will start construction at the same time, and now it is actually some infrastructure construction in the early stage, because the design and bidding work of some projects has not been completed, so the large-scale construction has not begun. Bao Feiyang said to Zhao Changbo next to him.

Zhao Changbo couldn't help but be a little silent, it turned out that what he saw was only the prologue and prelude to the big construction, and the real scene had not yet arrived.

"So the construction funds of the project are in place?" Zhao Changbo asked, in fact, to use this kind of sub-bidding, and it is not difficult to carry out construction at the same time, as long as the design plan is in place, in strict accordance with the standard construction, there will be no problem, such a project as a steel plant, the original device is independent, as long as the connection part is done well, there is no problem.

However, starting construction at the same time means that the construction funds of each project must be paid at the same time, and the financial pressure will be very large.

Bao Feiyang shook his head and said: "Part of the funds are in place, and some of them will not be in place immediately, so we ask the construction unit to advance funds!"

"Advance?"

Zhao Changbo couldn't help but be a little surprised, in the field of engineering construction, the situation of advancing funds is not uncommon, but for such a large project as Xinpu Steel and Fangxia Coal Chemical, the scale of the construction party needs to advance funds will be in the hundreds of millions, which is not something that ordinary construction units can afford. Even if these projects are split into projects for bidding, the target amount of each project is relatively high, and the general construction unit cannot afford this construction fund.

Bao Feiyang nodded and said: "Yes, whether or not we can advance funds will become an important consideration in our bidding, and of course it is not the only consideration." It may not be that every construction unit has the strength to advance funds, and it doesn't matter, the units that can advance funds can obtain those larger, more profitable projects, and the units that do not have the strength to advance funds can obtain projects with relatively small scale and lower profit margins, and we have also prepared a part of the construction funds, which should be able to ensure the needs of each project to start construction at the same time. ”

Bao Feiyang said to Zhao Changbo: "The construction team over there is Fanghua Engineering Construction, they have participated in the construction of a number of projects in the petrochemical base in Northwest Province, and have also participated in the construction of coal mines and coal chemical projects, and have rich experience in engineering construction. This time, they first invested in several bids for the early construction of the project, which were basically advances......"

Zhao Changbo couldn't help but glance at Bao Feiyang, after meeting with Executive Deputy Mayor Zhou Kunlin yesterday, he also asked someone to inquire about some of Bao Feiyang's situation, and then learned some information that he hadn't noticed before, and also roughly knew the relationship between Bao Feiyang and Fangxia Group, and also roughly knew that Bao Feiyang and Tucker Oil, Tangsheng Heavy Industries, Sinar Mas Group, and even Taihu Chemical and other multinational companies also have more cooperation, it seems that this Fanghua Construction is also a related household of Bao Feiyang, which also solves the doubts in his heart, because in this era, it is not so easy to advance funds, and the one who is now in charge of the government has attracted national attention by solving the national triangular debt problem.

The situation is indeed similar to what Zhao Changbo thought, among the major shareholders of Fanghua Construction, there is actually an offshore company registered by Bao Feiyang and the Bao family fund, which is also an enterprise indirectly controlled by Bao Feiyang. In addition, Tucker Petroleum, Tangsheng Heavy Industries, Fangta Mining and Taihu Chemical do hold a part of the shares, Fanghua Construction's business is mainly industrial installation and engineering construction, and the main business is chemical equipment installation and chemical engineering construction. Because of the support of oil and chemical giants such as Tucker Petroleum, Petroleum Corporation and Taihu Chemical, Fanghua Construction soon pulled up a strong installation and construction team, participated in the construction and installation of a number of large-scale chemical projects, this time Fanghua Construction in order to support the construction of Tianjiang Park, directly from the Northern Province to acquire several steel plant construction teams, the formation of a new metallurgical construction project department, and entered the Tianjiang Park construction market in a big way.

It is precisely with the support of Fanghua Construction that Bao Feiyang can smoothly promote his sub-project bidding, and at the same time the construction plan, and propose to be able to advance the capital first. In fact, with the current strength of Fanghua Construction, it is completely possible to eat all the construction and installation projects of Xiaxia Coal Chemical, as well as most of the projects of Xinpu Iron and Steel Co., Ltd., in the case of uniting some cooperative enterprises. As for the issue of advancing funds, Bao Feiyang can borrow money from Fanghua Construction by using offshore funds, anyway, although the requirements of these projects in the park are relatively high, the profits are still considerable, even if it is calculated according to the normal interest rate, Fanghua Construction can still make a lot of money in the end.

This is not that Bao Feiyang wants to engage in benefit delivery, but such a large project, the quality standards are relatively high, but also to advance funds, in the construction and installation market of large-scale projects, such prices and profit margins, and even such profit margins are already low, because there are very few domestic companies that can contract such large projects, and key projects even need foreign companies or engineers to provide service support, otherwise it will not be possible at all.

Just like the large-scale refining and chemical project invested by Pujiang Petrochemical in Jingshan Chemical Industry Zone, although Jian'an Company, a subsidiary of the Petrochemical Corporation, has contracted the main project, it is actually in cooperation with BP, and the key equipment and devices are introduced in complete sets, and the other party needs to provide technical support during installation.

This is also the reality of large-scale engineering construction and installation projects, when Bao Feiyang asked Tucker Oil, Fangta Mining and other independent engineering construction and installation business, but also saw this situation. At present, large-scale equipment and devices in many fields in China must be imported from abroad, including complete sets of production processes. In the past, the country has carried out technical breakthroughs in large ethylene, large chemical fertilizer, synthetic ammonia and other projects, solved the problem of whether there is any, and the technological development is also very fast, but compared with the world's advanced level, the gap is still relatively obvious. Pujiang Petrochemical's refining and 900,000 tons of ethylene project in Jingshan Chemical Industry Zone can only cooperate with BP if it wants to benchmark against the world's advanced level.

Tuck Oil's core competency lies in its exploration and drilling technology, and over the years, Tuck Oil has acquired multiple oil fields in the Americas, Asia and Africa, as well as entering the petrochemical industry. On the surface, Tucker Oil is still a purely American-funded company, and its background is also very positive, so it will not be subject to many restrictions in the international market like Chinese companies. Through acquisitions and transactions, Tucker Oil has gradually mastered some core technologies in the petrochemical industry, such as using half of the equity of an oil and gas field in Qatar to acquire a petrochemical equipment production and installation company owned by Mobil through a transaction, and quickly built up its own equipment production and installation capabilities.

With the technology of Tucker Oil, Fanghua Construction directly acquired an installation company under the Petroleum Corporation, and then developed rapidly with the support of the two major oil giants and Northwest Petroleum.

Bao Feiyang hopes that Fanghua Construction can grow into a giant in the field of engineering construction and security in the future, and there are many large-scale industrial projects in Huaguo in the future, and the potential for development in this area is very large.

If you want to go to the world, the biggest problem facing Fanghua Construction is that the technology is still relatively backward in the manufacture of chemical equipment in China, such as some high-pressure vessels, the standards of domestic products do not meet the requirements, and some valve products also have some problems, in short, there are still many places to catch up.

At present, Tucker Oil is also developing equipment manufacturing and installation business, but their focus is equipment manufacturing, and they also have special technical force for installation, but the actual installation work in China is in cooperation with Fanghua Construction. Internationally, they will also look for partners, and at present, they have more cooperation with Taihu Chemical and Mobil.

Although there is still a certain gap in technology compared with some world-class petrochemical giants, Tuck Oil has also rapidly improved its technical strength through this cooperation. However, compared with the domestic technical level, Tucker Oil is still world-class. Bao Feiyang also hopes that Tucker Petroleum will rely on the development of China at the same time, and use its own technology to feed back and help Huaguo develop related technologies, so Tucker Oil and Northwest Petroleum have also established a petrochemical equipment manufacturing company in Northwest Province, specializing in the research and development and manufacturing of petrochemical equipment.

Zhao Changbo also paid special attention to Tucker Oil and Taihu Chemical, although these two companies are not top petrochemical giants, can not be compared with ExxonMobil, BP and other behemoths, but they are also second only to these giants, in addition to the scale may be lacking, but in their respective advantageous areas, in fact, it is not worse than Mobil and BP, but also ahead of Huaxia Petrochemical and Huaxia Petroleum. The cooperation of Taihu Chemical Industry and the introduction of their investment is also a very great achievement, which will play a very big role in promoting the construction of the chemical industry park.