New Mineral Resources Co., Ltd. is the largest private and sixth largest iron ore operator in Hebei Province, China. It has huge ore reserves and resources, strengthens its growth potential through low production costs and rapid increase in production capacity, and has a large number of exploration opportunities. Geographically, it has a strategic advantage. It has been able to seize the market opportunities brought about by the strong growth of Chinese steel production and the serious shortage of local iron ore supply in China, especially in Hebei Province.
Yanjiazhuang Iron Mine, which we own and operate, is a large open-pit iron mining area, covering an area of about 5.22 square kilometers. According to independent technical reports, Yanjiazhuang Iron Mine has identified and estimated reserves of approximately 260.0 million tons, converted from the proven and controlled iron ore resources of approximately 311.8 million tons on December 31, 2010. Our overall goal is to have an iron ore mining and washing capacity of 10,500 kilotons per year by the end of 2012.
Our iron ore resources contain relatively low levels of harmful chemical elements such as sulfur and phosphorus, which can reduce the need for tailings treatment, so we will be able to produce iron concentrate with an iron grade of 66% with a relatively simple iron ore washing process. As we use open-pit mining to mine resources, the construction time of infrastructure in the mining area is short, the capital expenditure demand is low, and the process of iron ore mining is relatively simple. In addition, low-cost mining and washing methods are also used to mine and wash iron ore. Based on these facts, we believe that low mining costs can be maintained.
CEO： Tianlong Zhuang
Market： Hong Kong motherboard
Listing Date： 07/04/2011