Xining Special Steel recently announced that its 2008 net profit fell over 90 percent from a year ago due to steel price falls. The steel mill realized operating revenue of RMB6.97 billion (approx. US$1 billion) in 2008, up 20.9 percent year-on-year; however, net profit fell 94.1 percent to RMB17.6 million (approx. US$2.6 million). Xining Special Steel targets to produce 1 million tons of pig iron and 1.2 million tons of crude steel in 2009.