BTC Chapter 481 : Ore Price War

Edited: XiaXue

When Guangtu Mining confirmed Sheng Wenyan decision and was willing to introduce Red Letter Capital. Rio Tinto Mining Company people in Nigeria. Which is far away in West Africa, were scolding them.

After the local land and resources department of Kaduna took back the mining rights of Guangtu Mining. They immediately sold it to Australian Rio Tinto Mining Company.

Rio Tinto Mining Company represented by Joyce, after a brief inspection. They discovered, it wasn’t as they thought!

“This is a conspiracy!” Joyce, who has always been a British old-school gentleman, was yelling in the mine at this moment, “These bastards! Those Chinese people, and those black people, they lied to us!”

“What damn iron ore, what damn ilmenite-associated ore! This place has been dug up!”

“Look, what did they leave for us? No wonder that bastard Esmidala didn’t let us explore it. It turned out to be a trap for us! I want to sue them, these scammers!”

“Those black people are too treacherous. They even deceived us after taking our money! If it reaches the company headquarters, our position will be lost!” His colleague also looked very ugly.

When they finally won the mining rights and re-explored the mine. They found the mineral resources here were not as much as the data they had obtained before!

About 70% of the rich mines have been dug away by the predecessor, Guangtu Mining Group!. Only some ore with poor quality and very difficult deep ore to mine are left to them!

Rio Tinto Mining Group has been planning for so long, and it has become a successor!

Actually, Nigerian Land and Resources Department has discovered this situation. They already knew, they hadn’t pitted Chinese Enterprise, but they didn’t want to lose money, so they deliberately conceal the facts.

When Rio Tinto Mining sent people to investigate, their people gave wrong guidance and promised to make a bunch of guarantees.

As a result, Rio Tinto Mining took down this unfinished mine and made a loss-making business!

“I hope Satan will take these bastards away!” Joyce cursed. They will certainly not stop there, they must recover some costs from Department of Land and Resources.

But, there’s an unquestionable fact, this is Nigeria, the territory of others. Even if their British capitalists have a lot of face, this time loss is certainly.

As for the remaining minerals, they can only dig clean to reduce losses.

Rio Tinto Mining Company and Nigerian Ministry of Land and Resources have been tossing for a long time and each has suffered losses, but Guangtu Mining, which has already withdrawn from Nigeria, has not been affected.

On the contrary, they have reached a formal cooperation with Red Letter Group. Red Letter Group already holds 5% of Guangtu Mining’s shares and becomes one of the major shareholders with seats!

Guangtu Mining has stepped up it’s efforts to continue to develop African market and provide stable raw material transportation to Red Letter Group industrial system.

But the dispute between mining groups has just begun!

“Last month, the international price of ilmenite ore fell by 18.3%. The value of ilmenite ore we excavated in China and from Nigeria has directly shrunk!” In Guangtu Mining Group, Sheng Wenyan assistant is reporting to him.

“In the international market, the price of titanium-related high-titanium slag is also rising. The prices of ore and metal raw materials have changed. In the major mines we have, the export prices of raw materials have fallen sharply, the import prices of metal have increased significantly…”

“In these several countries in Africa, our mining rights cannot be approved.”

The assistant reported a series of situations, which gave Sheng Wenyan a headache. Sure enough, if Guangtu Mining wants to become a world mining giant, the problems it facing are still extremely huge!

For example, the market prices of raw materials are controlled by mining giants like Rio Tinto. They have abundant mineral resources and advanced metal smelting technology, and they control the raw material market. As soon as they rise and fall, Guangtu Mining Group’s profits can shrink substantially.

“Iron and copper minerals have little impact. my country is a country rich in mineral resources. These raw materials can face the impact of international market, but our ilmenite ore is a bit difficult to sell.” Sheng Wenyan pondered. With the development of titanium industry, titanium metal value has been rising, and Guangtu Mining has stocked a lot of ilmenite.

If the price of ilmenite falls. It definitely won’t affected them.

“President Sheng, the prices of ilmenite raw materials have fallen. But, the prices of titanium concentrates and high-titanium slag are actually rising.” The assistant reminded.

Titanium concentrate is extracted from ore with higher titanium content like ilmenite or titanomagnetite. Then used to make high-titanium slag, titanium dioxide, acid slag, sponge titanium and other industrial raw materials.

High-titanium slag is a titanium ore formed by physical production methods from ore containing titanium. It’s a high-quality raw material for the production of titanium tetrachloride, titanium dioxide and titanium sponge products.

With the development of modern industrial technology, the demand for titanium industrial raw materials is also increasing, so the prices of titanium concentrate and high-titanium slag are also rising.

“If we can refine our ilmenite ore into high-titanium slag, we will definitely make a lot of money. Unfortunately, we do not have this process. We still have to sell the ore abroad and then import the high-titanium slag.” Sheng Wenyan said helplessly.

Raw materials and processing materials naturally processed to make money. But without processing technology, they can only be anxious.

“President Sheng, why don’t you visit Red Letter Group, in case they have a way?” At this moment, Xin Zhe walked into Sheng Wenyan office. He also came for the fall in ilmenite price.

“This is in terms of raw material processing. Red Letter Group are engaged in Internet and machinery equipment. This aspect cannot help us either.” Sheng Wenyan said.

Xin Zhe shook his head and said: “Not to mention the large amount of ilmenite we mine in Nigeria, our group owns several ilmenite mines in the country. The price of ilmenite ore has fallen, and the biggest loss is us.”

“The international demand for high-titanium slag has been rising. High-titanium slag refined by our own processing plant is limited by electric furnace technology and the accuracy can’t be improved. Red Letter Group’s equipment research and development technology is very strong, if they can help, maybe we can solve it by making a better electric furnace? In short, we have good resource and not used, it’s too wasteful.”

“That said, dead horses should be living horse doctors. We still have to find a way to reduce the mining and sale of ilmenite ore first, and wait for the price to stabilize.” Sheng Wenyan did not have much hope for this, ore processing It is not smart technology, and estimates Red Letter Group have no way in this regard. But it’s always good to ask, if it can help somewhere, it can also save some losses.

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