Chapter 676: Ore Negotiations

Volume 1, Pot 1, Gold Chapter 676, Ore Negotiations

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After an afternoon of shopping in the Singapore and Malaysia Special Economic Zones, the two did not go back to the company headquarters after dinner, but went to the only five-star hotel in the special economic zone to open a room.

Lingering overnight.

The next day, although he wanted to sleep a little more with the docile little beauty in his arms, Jiang Chen still got up early.

According to Jane's schedule, he will meet with representatives of the BHP Group today to discuss the renewal of the iron and aluminium ore supply contract.

Luke Joyce, chairman of the BHP Group, arrived in the SAR and started talks with Jiang Chen at the headquarters of Future People's Heavy Industries.

"Mr. Jiang is really a good method, I'm afraid that in Germany, the design plan of Penglai City will be on your desk. ā€

As soon as they met, although Luke smiled and stretched out his hand, Jiang Chen could still hear some dissatisfaction from his mouth.

This is inevitable, after all, Jiang Chen has cheated him very much.

The displacement of an aircraft carrier is 100,000 tons, and the steel and aluminum consumed in Penglai City can top hundreds of aircraft carriers.

What's more, the Future People Group has never said that they only plan to build a Penglai City. If Penglai City works well, many countries will definitely be interested in this thing. At that time, if Jiang Chen is interested in exporting this "ocean city" project, I believe that the order will fly like snowflakes to the future of Renren Heavy Industry.

If nothing else, Huaguo will definitely become the largest buyer.

The reality is that compared with last year's sluggish metal ore market, iron and aluminum ore, whether futures or spot, have rebounded significantly. And the 80 million tons supply contract in Jiang Chen's hand was undoubtedly copied on the floor, and it was discounted by 8% according to the floor price at that time.

Luke's bowels were green with remorse. But it can't be helped, the contract is here. For the sake of the group's credibility, they BHP Group had to pinch their noses and admit it.

Recognition and recognition. The 40 million tons of ore have been supplied, and the Future People Group wants to renew the contract?

"Iron ore prices have risen across the board this year. The original price is no longer suitable. ā€

"How much are you going to increase the price?" Looking at Luke's face, Jiang Chen smiled.

"At the current market price, we will give you 90% cheaper. Luke spoke without hesitation.

"Do you think I don't know that a week ago, the International Mining Federation released a global iron ore production reduction assessment report, which raised the price of iron and aluminum ore in the futures and spot markets?" Jiang Chen said with a smile.

With Jane's ability to gather numbers, any information that has been published cannot escape her capture. After summarizing this information, it is naturally not difficult to analyze the relationship between these two things.

Luke's face froze.

He really didn't expect that Jiang Chen, who was focusing on the layout of the graphene market, could still pay attention to the commodity market. Generally speaking. The report of the International Mining Union (IMA) will only be paid attention to by people in the industry, and Jiang Chen will be prepared to do so fully for this negotiation!

"85% of the market price, it can't be lower. It's impossible to supply at last year's price! If you nod your head, we can sign the contract now. Luke said.

Jiang Chen shook his head.

"The Penglai project has consumed a total of 19.79 million tons of steel and aluminum, most of which have been consumed in the post-war reconstruction of Mindanao and the development of the new and Masar Special Economic Zone. We have five iron ore mines in Mindanao with reserves of more than 40 million tons, but we have no plans to mine them yet. You don't have a lot of leverage in the bargaining, you know what I mean?"

The main project of Futureman Mining is seabed mining, which mainly produces metals such as molybdenum, manganese, copper, nickel and cobalt. The gross profit of mining iron, aluminum, and other ores is too low, so even if there is a lot of iron ore obtained from the Moro government. In the future, people have no plans to open mines.

Luke's eyes narrowed, his fingers tapping lightly on the table, thinking about how to negotiate the deal. Jiang Chen looked at him with a smile. Wait for him to make concessions.

"You have iron ore mines in Mindanao?"

"That's right, and it's a very tasteful iron ore, probably 67-68. Not only iron mines, but also two aluminum mines. Jiang Chen smiled, "You should know." A year ago, under the harassment of the Moroccan Liberation Organization, the investment climate in Mindanao was poor, and the Philippine government was unable to develop the rich mines on a large scale. But now, all these minerals are in our hands. ā€

Jiang Chen's words expressed two meanings. The first layer is: we have the mine on our hands. If your price is higher than the cost of our own mining, we won't take you to play! The second layer is: the Future People Group is no longer the Future People Group of a year ago. Stop thinking that we will be pressured by you on other levels to compromise. Not to mention you Irish aristocrats who follow Rothschild, the Boston consortium has been instigated by us. Will we still be afraid of you?

The silence lasted for a long time, and Luke sighed.

"The afterlife is terrifying. ā€

"You still know Chinese?" Jiang Chen said with a smile.

"I've only learned it recently, although only a little bit. Luke waved his hand, "Don't digress." I now have a mention that is in the interests of both of us. ā€

"I want to hear about it. ā€

"We have advantages in iron ore mining, transportation, and management, and your advantages are as you mentioned earlier, you have the resources of Mindanao and the influence in Moro. It is entirely possible for us to register a mining company in the Moro country as a joint venture, and we each have a 50% stake. We are out of the mines and in charge of public relations, what do you think?" said Luke, leaning forward and lowering his voice.

BHP can keep ore prices very low, but due to import and export tariffs, fiscal taxes, environmental fines and other expenses, the gross profit of iron and aluminum ore has not been rising. If Futuresman Group can use its influence to reduce various taxes and fees on Mindanao's ore production and export, BHP Mining will have a lot of profit margin even if it supplies cheap ore to Futures.

"This mention yƬ is really good. Jiang Chen's eyes lit up and he nodded with interest.

Those iron ore and aluminum ore have been idle, and the future mining industry has no extra energy to mine. This proposal is equivalent to contracting the mining to BHP Group, and the two sides will split the profits fifty-fifty.

However, just when Luke thought that the agreement had been reached, Jiang Chen changed his words, "But is the stake you asking for too high?"

This vampire!

Luke scolded in his heart, but he didn't make any expression on his face, and fought with Jiang Chen with a calm face. In the end, the two sides reached an agreement, Jiang Chen invested 70 million US dollars and minerals, and BHP Mining Group invested 150 million US dollars, with 55% and 45% of the equity of the two parties.

That's Luke's bottom line.

It takes time to print the contract, and both parties agree to officially sign the contract tomorrow. However, in the capacity of both parties, it is unlikely that they will make a temporary return, so the cooperation between Future Mining and BHP Group can basically be finalized.

Feel the vibration of your watch.

After Luke left, Jiang Chen pressed on his watch, and Jane's holographic bust appeared next to the desk.

"Is there any problem?" Looking at Jian who had something to say, Jiang Chen said with a pleasant face.

Because he needed to make a transcript for the meeting, Jiang Chen turned on the recording function. Naturally, Jane could hear his conversation with Luke.

"In my database, we have found more advanced mining technology than the current one, and we can mine it ourselves. ā€

Hearing Jane's question, Jiang Chen shook his head with a smile and casually stuffed the signed document into the drawer.

"We're never going to make all the money in the world, and there's no point in doing that. ā€

"Is there a problem with my mention from an efficiency standpoint?" asked Jane.

"A lot of things are a problem in themselves from the perspective of efficiency. Compared with squeezing the last bit of profit, we can take the initiative to divide this part of the profits, and use the chain of interests to tie more people to our chariot in exchange for greater benefits. Jiang Chen said with a smile.

"What's that? ā€

"Whatever it is, it's not the dollar anyway. (To be continued.) )