Chapter 146 Iron Ore

"The price of iron ore has risen again." Fan Wubing flipped through today's newspaper and said with some annoyance.

"Iron ore price increase, does this have anything to do with you?" Feng Ping, who was helping Fan Wubing make breakfast, asked in surprise.

Because today I want to help Fengmao with the most thorough treatment, Fan Wubing came to the hospital very early and did not have breakfast, so Fengping volunteered to get them something to eat, but the conditions in the hospital are naturally not comparable to those at home. Just fiddled with it roughly.

The price increase of iron ore, of course, has a lot to do with Fan Wubing.

To build Panshi Airport, tens of thousands of tons of steel will be used. Fan Wubing is now planning to carry out technical transformation of the iron factory in Shuixi County so that it can produce a large amount of steel. How high-quality iron ore, which must rely on imports.

If imports are considered, then the main choices are Vale, BHP Billiton and Rio Tinto.

And his choice is naturally the world's largest iron ore producer and exporter, Brazil's Vale. Brazil is extremely rich in iron ore resources, accounting for about 6.5% of the world's total reserves, and is the world's largest producer of rich iron ore. Brazil's Vale is the world's largest iron ore producer and exporter and the largest mining company in the American continent. It is known as the jewel in Brazil's crown and the engine of the Amazon region. The company was established in 1942. In addition to operating iron ore, it also operates mineral products such as manganese ore, aluminum ore, gold ore, pulp, ports, railways and energy.

Vale's iron ore production accounts for 80% of Brazil's total output, and its iron ore resources are concentrated in the Iron Four Corners region and the state of Barra in northern Brazil. Carajas Iron Mine, etc., have iron ore reserves of about 4 billion tons.

And BHP Billiton and Rio Tinto, the main focus is on Australia. From the perspective of operational difficulty, it is easier to cooperate with Vale. The backstage bosses of BHP Billiton and Rio Tinto are British, and these guys are too conservative to deal with.

Dealing with these guys, domestic people are useless, so Fan Wubing used his overseas company to do it, and the destination of the goods is nothing more than mainland China.

Now the international price of iron ore has increased by about 15%, which is also a big loss for Fan Wubing. So when he saw the news, he was naturally a little upset.

Since the reform and opening up. China's economy continues to maintain a relatively high growth rate. Steel production grew rapidly. However, the potential for domestic mines to increase production is limited. Iron ore is of lower grade. Mining costs are high. Ore production can no longer meet the needs of steel production growth. As a result, foreign trade imports increased rapidly. In recent years, the average annual growth rate of imported iron ore has been greater than that of steel production.

The import of subway ore through port foreign trade is about 40 million tons.

Iron ore has become the largest commodity in China's foreign trade bulk import and export. It accounts for about 10% of the global ore shipping volume. It plays a pivotal role in the global iron ore transportation.

However, due to the import of domestic subway ore, enterprises go their own way. So there is some confusion. Domestic steel enterprises have not formed a consortium to negotiate pricing rights with international iron ore giants. Therefore, it has not taken the initiative in price. Only passively accept the price set by others.

The northern region is an important steel production base in China. There are a large number of iron and steel enterprises here, with scattered layout and comparable scale. The ore required by each steel mill is based on the surrounding mines. Imported ore is mainly used for ore blending or to make up for the shortage of self-owned mines. The import volume is mostly around one million tons.

There are many iron and steel enterprises along the Yangtze River. There are Baosteel, Shanghai Iron and Steel, Meishan Iron and Steel, Maanshan Iron and Steel, Wuhan Iron and Steel and other local iron and steel enterprises. Steel production accounts for about 30% of the country. Iron ore resources in the region are very scarce. It is the area with the lowest degree of guarantee for self-produced mines in the country. Therefore, it is also the area with the largest amount of imported ore in foreign trade. The region's foreign trade imports of iron ore accounted for more than half of the country's land.

Due to the characteristics of most steel companies building along the river and the differences in the conditions of the river and sea waterways. Most of the iron ore needed by steel mills along the Yangtze River is transferred at Ningbo Beilun Port.

In the early 1980s, in order to cooperate with the construction of Shanghai Baosteel, the Beilun Port Area of ​​Ningbo Port built my country's first 100,000-ton iron ore specialized wharf and supporting transshipment facilities. During this period, the scale of China's imported ore was small, only several million tons. After the 1990s, with the rapid development of China's iron and steel industry, iron ore foreign trade imports continued to increase. Due to the lack of large unloading terminals, many ports use 30,000 to 50,000-ton bulk cargo berths to unload ore. A large number of foreign trade imported mines can only be directly arrived at the port by ships with a class of less than 50,000 tons. Especially common in northern regions. Not only the loading and unloading efficiency of the terminal is low. The transportation cost is also very high, causing huge economic losses to the hinterland steel mills.

Think years later. Because of the iron ore incident, the domestic iron and steel companies have been forced to survive. Fan Wubing felt that he should do something now. At least the Japanese have not invested heavily in Australian and Brazilian iron ore. Large-scale development, and the privatization of the iron ore industry in Brazil has not yet been carried out on a large scale. Now if you can get involved in these three major iron ore production and export companies and control a certain amount of equity, it will certainly be very beneficial to your future development. , Even for other domestic steel companies, there is also a kindness of rescue.

But if you really want to acquire a super-big company like Rio Tinto, BHP Billiton, and Vale, the funds involved must be very huge. Based on the current situation, it will take hundreds of dollars to acquire any of these companies. Hundreds of millions of dollars are used as support.

Moreover, this also involves some more complicated political factors. No one is willing to hand over the largest mining company in the country to foreigners, unless it is absolutely necessary.

Fan Wubing thought for a while, and felt that it would be easier to control Vale, but it would be much more difficult to control established companies like Rio Tinto and BHP Billiton. 30 or less shares, in this case, the words can count.

But this matter cannot be done in a day or two, so Fan Wubing thought about it, and now, by breaking up large sums of money into small pieces, taking advantage of the downturn in the international stock market, he will first conduct a comprehensive analysis of the three companies where they are located. Once the opportunity is ripe, we will launch a large-scale attack and strive to achieve the goal of controlling more than 30% of these three companies at the same time.

Thinking of this, Fan Wubing's mind is no longer in the hospital. He plans to spend 30 billion US dollars to absorb the stocks of these three companies as much as possible. The best goal is to control one of them and participate in two of them. If it is too much, it may backfire. After all, there is an anti-monopoly regulation, which is not so easy to deal with.

"Still thinking about something?" Feng Ping asked with some doubts, shaking her finger in front of Fan Wubing.

For a long time, Fan Wubing had always acted in front of Feng Ping and Chen Jingchu in that kind of laughing and heartless manner. Feng Ping had never seen him thinking about something so seriously here before. When Fan Wubing is silent, everyone will feel a little uncomfortable.

Feng Ping filled a bowl of the mushroom cheese soup she made and handed it to Fan Wubing, and made him a pie. While drinking the soup, Fan Wubing was thinking about his own affairs, so he didn't feel Chen Jingchu and Fan Tianlan walk in.

Chen Jingchu walked over to Fan Wubing with a smile on his face and said to him, "Wubing, those people outside of my house have all disappeared in a second. It's really strange."

Being harassed by this group of people for more than a week, he had no freedom of movement, and his family suffered greatly from it. Chen Jingchu didn't want to mention how much he hated these annoying guys. After these people disappeared suddenly, Chen Jingchu was naturally very upset. I breathed a sigh of relief, but when I thought about it, I felt a little strange. After all, this thing seemed abnormal.

Not many people knew about the conflict at the gate of the Panshi City Government, and the final publicity was a joint exercise, so no one knew what the root cause of the incident was, and ordinary people naturally had no way of knowing.

Chen Jingchu didn't know that this incident was caused by himself, but he just thought that it must have something to do with Fan Wubing.

Fan Wubing listened to Chen Jingchu's words and smiled slightly, thinking that the water inside is deep.

Because of this incident, many old cases were brought up, and Fan Wubing made a fuss afterwards, which greatly affected the personnel affairs of the entire military region. My lord, it's best not to provoke him if you have nothing to do, so the talent scouts from the art troupe who were squatting at the door of Chen Jingchu's house suddenly dispersed and went back to various places.

The old man took advantage of Fan Wubing, drank a bowl of mushroom cheese soup, went out for a while, and then came back, and said to Fan Wubing, "Today we will give Fengmao a complete cure, in order to You have to do your best and serve!"