To say that Mutong Iron Mine is super chicken ribs is really a bad joke. The proven reserves of Mutong iron ore are 40 billion tons, and in previous years, the proven reserves of iron ore in China have not yet reached 40 billion tons. It was not until the first 10 years of the new century that China's proven iron ore reserves rose rapidly due to the soaring demand for iron ore in China, which gave birth to a boom in prospecting. By around 2010, the proven reserves of iron ore in China reached 60 billion tons, equivalent to 1.5 Mutong iron ore.

Huang Gang said that the Mutong iron ore mine is a chicken rib, not a lie. The discovery of the Mutong iron ore mine dates back to the 70s of the last century, but this world-class iron ore mine remained unexplored until the beginning of the 21st century. Brazil and Peru, both in South America, with Bolivia, have large iron ore mines, and the transportation conditions are much better than those of the Mutong iron ore mine, and the development of the Mutong iron ore mine is unprofitable when the production of these iron ores is sufficient to meet the global demand for iron ore.

In addition, in Huanggang's mind, the entire iron ore industry is also a piece of chicken ribs. The international iron ore market has been stable for more than ten years, and the profits from operating iron ore are not very large compared to the high investment. Standing at the height of the State Planning Commission, of course, it can be seen that China's iron ore demand is rising sharply, but the production capacity of international iron ore giants such as BHP Billiton and Vale is far from being saturated, and there is no reason to think that iron ore prices will change significantly in the future.

In terms of judging economic issues, Lin Zhenhua is naturally inferior to Huanggang, but Lin Zhenhua has an advantage that Huanggang does not have. That is, he is a time-traveler. Ability to see the future. Lin Zhenhua clearly remembers that at the beginning of the 21st century, in the face of China's huge demand for iron ore, several major international iron ore giants secretly conspired to constantly push up the price of high-speed iron ore. In 2005 alone, China's iron ore import contract price rose by 71.5%, which is tantamount to a naked robbery.

Because we do not have iron ore resources, China is completely in a passive position in the iron ore price negotiations. Not even the ability to bargain at all.

Lin Zhenhua is a person who has experienced this stage in his previous life, and naturally knows how much the price of mineral resources will rise in a few years, so it was even as early as 10 years ago. He has already started to lay out the mining industry of Hanhua. Last year, GCA set up a sales center in Santa Cruz Province, where the Mutong Iron Mine is located, and for more than a year, the sales center did not sell a few pieces of equipment, but visited the government departments, mine owners, and farmers related to the Mutong Iron Mine. Fang Lei, the director of the sales center, has now become a Bolivian expert, who can skillfully chat with local magnates in Spanish, about making money, about gambling, and even about women......

After sufficient preliminary preparations, the headquarters of Hanhua Group made the decision to invest in Mutong Iron Mine, and decided to invest 30 billion to 50 billion yuan to fully develop Mutong Iron Mine. Provide a reliable source of iron ore for domestic development. The team led by Hu Fei did a lot of sensitivity analysis and determined that even if the price of iron ore did not rise significantly, the investment of GCA would be recovered. And if the price of iron ore really grows at a rate of more than 30% as Lin Zhenhua predicted, then the profit that Hanhua will get from it will be no less than any existing industry.

To invest 300 to 50 billion yuan, Hanhua's current existing funds alone are far from sufficient, and even if you find a bank loan, it is difficult to meet the requirements. At this time, He Fei, who has been advocating for money in the listing circle, once again put forward his own proposal, believing that Hanhua could raise this huge amount of money from the stock market, and this time, this proposal was approved by the management. ..., "It's not chicken ribs." Let's take a look in a few years, anyway, investing in minerals, at least you won't lose money, you say? Lin Zhenhua said to Huang Gang. His prophecies were somewhat too appalling. He didn't want to talk too much to Huang Gang at this time, he just needed to explain to Huang Gang that this was Hanhua's decision. What Huang Gang needs to do is just to help Hanhua complete the listing work.

Huang Gang said: "That's right. In recent years, the domestic demand for iron ore has been rising, and the price of iron ore has risen steadily, and it is unlikely to decline in the short term. Therefore, if Hanhua wants to invest in iron ore, I can't judge whether it can get a high return, at least it won't lose money. ”

Lin Zhenhua said with a smile: "That's enough, these days, it's not easy to find a project that will definitely not lose money." ”

Huang Gang shook his head and said: "Mr. Lin, there is still some truth in what others say, if you Hanhua can't find a suitable project, it's a joke." I don't know why you're suddenly interested in iron ore, but if you're in need of a lot of money for that reason, there's nothing wrong with going public to raise money. After all, you Hanhua have long been qualified to be listed. ”

"It's not enough to have listing qualifications, we still have to ask the Securities Regulatory Commission to give us a listing quota. I know how tight the listing quota is now, and some places do not hesitate to negotiate with the CSRC to get a quota by the provincial government. Lin Zhenhua said.

Huang Gang said disappreciably: "That's other companies, you Hanhua Heavy Industries, if you want a place, it's not a matter of getting it?" Whoever is the CSRC card can't card you, right? ”

"Well, I also think that if we want a place, we should be able to get it." Lin Zhenhua said, "However, what we want...... Not a slot. ”

"What do you mean?" Huang Gang was surprised, "You still plan to ask for quotas for other companies?" Is it from Xunyang City, or from Jiangnan Province? ”

Lin Zhenhua said: "It's not other companies, but our own Hanhua Group." This time, we are going to establish five listed companies, so what we need is five places. ”

"You're crazy!" Huang Gang jumped up, "Five places, you can figure it out, do you know how many listed companies there are in China, and the CSRC can't approve dozens of them a year, so you want five at once?" ”

Lin Zhenhua said: "Even if we launch five listed companies, each of them is a high-quality stock. So many junk stocks have been listed, what reason is there not to list such a good resource for us? ”

"Five?" Huang Gang gradually calmed down from the initial surprise, he looked at Lin Zhenhua and asked, "So, you don't want to go public in the name of the group, but to split the branches under the group and go public?" ”

Lin Zhenhua said: "That's right, our idea is that Hanhua Group will remain unchanged and list our five subordinate chemical equipment companies, machine tool companies, refrigeration equipment companies, household goods companies, and Hunbei Forging Machine Tool Factory. In the future, as the majority shareholder of these five listed companies, Hanhua Group will retain businesses including steam turbines, electric welding equipment, ship propulsion, electronics, and automobiles. We will sell up to 40% of the five companies, and the recovered funds will be used to establish a wholly-owned mining subsidiary to develop overseas mines, including the Mutong Iron Mine. ”

Huang Gang is still familiar with the composition of the Hanhua Group, he pinched his fingers and calculated, and said: "The tangible and intangible assets of the five companies you split up are probably already more than 100 billion. If you give up 40% of the equity, if you consider the appropriate premium issuance, it should not be a problem to recover 50 billion to 60 billion yuan, and it will be more than enough to invest in the Mutong iron mine. ..., Lin Zhenhua said: "Our own estimates are similar to this. Of course, not all of this money will be invested in the Mutong iron ore mine. We also have some mining rights in Africa, as well as in Mongolia, Indonesia and other places, and these mines are also in need of investment. In this way, the funds are still a little tight. ”

"Large-scale overseas investment like this can apply for national policy support." Huang Gang reminded, "As long as your project is suitable, the state can provide you with some loans, and the interest rate is relatively low, and the repayment period can be set for a longer time, so you can use it with confidence." ”

"Then thank you, Director Huang." Lin Zhenhua said with a smile, "The matter of the quota of these five listed companies also requires Director Huang to worry a lot." ”

Huang Gang patted his head, his eyebrows wrinkled into a pimple, and said: "Mr. Lin, I can't hide it, before I went out, I thought about what kind of price you might offer, and I was ready to be slashed by you." But I never expected that your appetite would be so great.

Now who doesn't know, a listing quota means tens or even tens of billions of funds, and you have to place five places in one go, which is equivalent to getting 50 billion funds. If it was just to dig a Kra Canal, I might as well persuade the Securities Regulatory Commission to auction off these five places, and the money from the sale would be enough. ”

Lin Zhenhua smiled: "The question is, do you dare to publicly auction the listing quota?" Besides, if people want to list places, they are just to make money, how can they return the money they get to you? Our subsidiaries of Hanhua are all high-quality assets, which company has at least more than one billion profits a year, how many of the companies you listed in the past can have such profits? ”

Huang Gang said: "There are many companies with high profits, but there are not many that can reflect the profits on the books. I hope you Hanhua will not engage in this kind of trick of small profits on the books. ”

Lin Zhenhua said: "Don't worry, we took out these five companies to go public, and it was carefully considered." These five companies have now entered a period of stable growth, and the company no longer needs to make large investments in them. Our assumption is that after these companies go public, they will ensure that at least 50% of their profits will be used for shareholder dividends every year, and they will not let the shareholders who pay the money suffer. ”

"Don't be so optimistic about it yet, I estimate that it would be good if the China Securities Regulatory Commission could give you three listing places, and five companies will be listed in one go...... This is what you dare to think of. Huang Gang muttered. (To be continued)