ChinaRealNews

Nanjing Iron and Steel records profits of RMB250 million for first four months

2009-05-15 Nanjing

Nanjing Iron and Steel Union Co., Ltd, a Chinese steel manufacturer, achieved profits of RMB250 million (approx. US$36.7 million) for the first four months of the year, despite the gloom in the global steel sector arising from the financial turmoil. Yang Siming, Chairman and CEO of Nanjing Iron and Steel Union, said the impressive performance was mainly attributable to the reorganization of the company in 2003, which increased its steel production capacity from 2.5 tons to 6.5 million tons and enhanced its total assets from RMB10.4 billion (approx. US$1.47 billion) to RMB28 billion (approx. US$4 billion).

Hunan Valin Iron & Steel signs overall strategic cooperation agreement with FMG

2009-05-13 Changsha

Hunan Valin Iron & Steel, becoming the second largest shareholder of Fortescue Metals Group (FMG) not long before, recently signed an overall strategic cooperation agreement with FMG., the third largest iron ore supplier in Australia. Under the agreement, Valin Iron & Steel will coordinate enterprise resources in Hunan province and banking resources across the country, providing equipment and financing supports for FMG’s further expansion. In addition, FMG is planning to list on Shanghai Stock Exchange, in a move to become the first foreign ore enterprise to list in China.

Xilin Steel achieves RMB1.7 billion in gross industrial output value during first quarter

2009-05-13 Harbin

Xilin Steel Group, a large steel maker based in Heilongjiang province, China, achieved RMB1.7 billion (approx. US$250 million) in gross industrial output value during the first quarter of 2009, despite the shrinking demand for steel from international markets arising from the global financial turmoil. The company has successfully weathered the financial crisis by taking a series measures to reduce costs and enhance production efficiency. Additionally, with a total investment of RMB540 million (approx. US$79), a high speed wire rod production line of the steel maker is expected to be put into operation next November.

Xilin Steel industrial output value up 3.8% in Q1

2009-05-12 Harbin

Xilin Iron and Steel Group realized an industrial output value of RMB1.7 billion (approx. US$249 million) in the first quarter of this year, an increase of 3.8 percent over a year ago. This increase can be mainly attributed to consumption of the high-priced inventory, cost reduction, adjustment to marketing strategies in slack seasons.

WISCO partners with WPG to develop iron ore resources in Australia

2009-05-11 Wuhan

Wuhan Iron and Steel Corporation (WISCO), China's leading steel producer has recently signed a framework agreement with Australia-based WPG to jointly develop the iron ore resources in the center of South Australia. WISCO plans to acquire a 50 percent stake for AUD45 million (US$34 million) in WPG's Hawk Nest project, which marks another milestone for WISCO following its cooperation with Australia’s Centrex Metals in 2008. According to the agreement, WPG will issue additional 15 percent of its stake (12 million shares) for AUD0.25 (US$0.2) per share to WISCO, which will become the second largest shareholder of WPG.

Baosteel Group Xinjiang Bayi Iron & Steel records steel sales of approx.1 million tons for Q1 2009

2009-05-07 Urumchi

Baosteel Group Xinjiang Bayi Iron & Steel recorded steel sales amounting to approximately 1 million tons for the first quarter of 2009, driven by the steady implementation of the RMB4 trillion (approx. US$586 billion) stimulus package put in place by the Chinese government to expand domestic demand. Chen Zhongkuan, General Manager at the company said, it will make efforts to control production costs, including purchase prices, production consumption, management expense and labor costs, among others, in a move to attract more customers.

A new large vanadium-titanium magnetite deposit discovered in Hebei province, China

2009-05-07 Shijiazhuang

A one billion-ton vanadium-titanium magnetite deposit has been recently discovered in Chengde, the largest vanadium titanium production base in Northern China with vanadium-titanium magnetite reserves totaling 4.5 billion tons. Vanadium-titanium magnetite, a scarce resource in the world, serves as the main raw material of vanadium-titanium products. Vanadium has the ability to significantly enhance the strength, endurance and heat resistance of steel. The city is expected to become the world’s largest vanadium titanium production base, with an annual capacity of 12 million-ton alloy steel made of vanadium and titanium.

Chongqing Iron and Steel’s net profit down nearly 90 percent for Q1

2009-05-05 Chongqing

Chongqing Iron and Steel reported net profit of RMB19.8 million (approx US$2.9 million) for the first quarter of 2009, a sharp decline of 89 percent from the year earlier, and operating revenue fell 40 percent year-on-year to RMB2.5 billion (approx. US$360 million), as a result of the steep fall in steel prices. In addition, the company’s profits for the quarter increased RMB724 million (approx US$106 million) compared with the previous year, due to the decline in the original purchase price of fuel, reduced internal expenditure, and a decrease in the cost of sales.

Anshan Steel expected to win approval for investment in Australia Gindalbie within a Month

2009-04-29 Shenyang

Anshan Iron & Steel Group may receive approval from Australia for its AUD 162 million (approx.US$114 million) investment in Perth-based Gindalbie Metals within a month. Garret Dixon, CEO of Gindalbie said in a statement to the Australian stock exchange that "We firmly believe the application will be approved." Gindalbie and Anshan will hold a media briefing in Perth at 11:30 AM local time. Mr Dixon added Gindalbie's Karara project in Western Australia won't be affected by a forecast decline in iron ore prices this year.

Shandong steel group expected to complete reorganization of Rizhao Iron & Steel this year

2009-04-28 Jinan

Shandong Iron & Steel Group is expected to complete reorganization of Rizhao Iron & Steel this year, said Zou Zhongchen, Chairman of the steel group. Refusing to unveil details, Mr Zou disclosed that the group would focus on the real regrouping in the future and did not worry Rizhao Steel's assets injection into a Hong Kong listed company as asset injection should be approved by the Hong Kong Exchanges and Clearing Limited (HKEx).