December 03, 2008

Longmen Steel to explore Daxigou iron mine

It is reported that Daxigou iron mine, located in Zhashui county of Shaanxi Province has rich siderite resources with a proved reserve of 302 million tonnes and prospective reserve of 500 million tonnes. It's a keynote construction project for Shaanxi Province which will involve total fund of CNY 2.8 billion.

Shaanxi Longmen Iron & Steel Co now is to undertake the exploration of this iron mine, scheduling to mining and dressing 8 million tonnes siderite and generating 2.7 million tonnes iron concentrate per year.

Once the project is completed, annual sales revenue will top CNY 2 billion and net profit some CNY 800 million.