Shaanxi Wuzhou Mining Co., Ltd. is mainly engaged in mining, processing, smelting of vanadium pentoxide, there are 5 processing and smelting production lines. Its annual production capacity is to process 800,000t of vanadium ore; its production capacity for vanadium compounds is 5000t/year, its production capacity for catalyst used for sulfuric acid preparation is 1000t/year. The main products include vanadium compounds, 50 vanadium iron, 80 vanadium iron and vanadium catalysts, of which, the production technology for 80 vanadium iron is advanced in China, the 50 vanadium iron and 80 vanadium iron have entered the international market successfully. The company has 2 subsidiaries (subsidiary company): Shaanxi Wuzhou Mining Co., Ltd. Shanyang Subsidiary, Shaanxi Wuzhou Vanadium Metals Technology Co., Ltd. in addition, it has 2 proprietary companies: Shanyang Zhongtian Vanadium Industry Co., Ltd. and Shanyang Yuyuan Mining Co., Ltd.
Zhongcun vanadium mine of Shanyang Subsidiary
Zhongcun Vanadium Mine area starts from Suyugou, Zhongcun Town, Shanyang County in the west to Shicaogou, Zhulinguan, Danfeng County in the east, its total length from east to west is 30km, its width from south to north is more than 80m, its prospective reserves (vanadium pentoxide) is close to 3 million tons. Its potential economic value is above 100 billion yuan. Since the market price is fluctuating sharply, lacking of production fund, Zhongcun Vanadium Mine built in 1995 was off production for auction. In order to translate the rich resources advantages into economic advantages as soon as possible, and further develop the Non-ferrous metals industry in Shaanxi Province, the company obtained the legal assets of Shanyang Vanadium Mine after auction on Sept. 3, 2004 under the support of the Provincial Party Committee, Provincial Government and leaders at all levels and Shaanxi Non-ferrous Metal Holding Group, therefore, it has made headway in invigorating the vanadium industry in Shaanxi Province.
In order to resume vanadium ore production in Shanyang County as soon as possible, we allocated a group of capable management and technical personnel to establish Shaanxi Wuzhou Mining Co., Ltd Shanyang Subsidiary within a week after obtaining the legal assets of Shanyang Vanadium Mine and prepared for production resumption. Shanyang Vanadium Mine had stopped production for 5 years, the underground exploitation and mining system were in poor condition, and the production equipments were deteriorating and pipes were rusting and damaged; without electric power and access road; the mine was in disorder, with great difficulty in production resumption. Given the difficult situation, the whole employees of the enterprise worked hard for 48 consecutive nights and days to resume the production of the mine, which had been off production for many years by the spirit of unity and cooperation, pioneering and innovation, hardworking and diligent and high efficient?± under the support of the leaders from Shaanxi Non-ferrous Metal Holding Group.
In 2005, the whole employees of the company took the opportunity of the rising price of vanadium on market and overcame difficulties and made best achievement in all indexes since its establishment through strict management and careful work, it took back all its investment within 6 months and overfulfilled its annual production task and came up to the standard and production target and efficiency; in addition, it actively carried on technical innovation and expansion effort, and paved the way for production capability enhancement.
In 2006, the company offset the adverse effect due to product price fall with focus on production and improving economic benefit through technical innovation and strengthening management to expand production and enhance technical indicators and reduce cost by gains-to-scale. Its annual ore processing volume was 204000t. with annual output of vanadium pentoxide of 1593t, being the 138.5% of its annual production plan, with an increase of 33%, its recovery rate was 71.36%, with an increase of 3.36%, up 2.81% compared to that of 2005, its annual sales revenue was RMB 140 million yuan, with profit of RMB 310.593 million yuan, at present, its production and production quota are stable, the operating skill is improving, and the production is rapidly developing.
Shaanxi Wuzhou Vanadium Metals Technology Co., Ltd.
Shaanxi Wuzhou Vanadium Metals Technology Co., Ltd located in Huokou Industrial Park in Baqiao District, Xi?ˉan City has two vanadium compounds and 50 vanadium production lines. Through investigation, given the regional advantages, it is able to meet the requirement of development and sales so as to implement industrial chain expansion. In Jan. 2006, the company purchased 86.7% of the stock rights of the former company￡?in Nov. 2006, according to the agreement it purchased the remaining 13.3% of the stock rights for RMB 600,000 yuan from the former company. The purchase of the entire stock rights of Yuxin Company laid solid foundation for further development and vanadium product research and industrial chain expansion.
Shanyang Zhongtian Vanadium Industry Co., Ltd.
The ore body of Shanyang Zhongtian Vanadium Industry Co., Ltd. is next to that of Zhongcun Vanadium Mine, the daily ore processing capacity of the concentrating plant is 200t. in order to strengthen the control of resources, the company invested RMB 25.28 million yuan to purchase 100% of the stock rights of Zhongtian Company, and conducted restructuring through introducing investors, and laid foundation for production of Wuzhou Vanadium Industry and made headway in resource integration. Since June, 2006,-the assets takeover, after more than 10 days of hardworking, it completed the inspection and repair and debugging of the equipments of the concentrating plant, in July 20, 2006, it started operation and produced qualified product.
In order to improve the level of resources utilization and technical economical index, in Aug. 2006, the company conducted production process and equipment innovation of Zhongtian Vanadium Industry Co., Ltd, through technical innovation and production optimization, its daily processing capacity has been increased by 600t. after technical innovation and expansion, its daily processing capacity shall be increased from 200t to 800t. its annual output of V2O5 shall be increased from 420t to 1680t. its recovery rate shall be up to 73￡￥, its annual production value shall be RMB 170 million yuan. At present, the technical innovation and expansion projects are in the final stage. And the production and debugging shall be conducted within the year so as to have investment results.
Shanyang Yuyuan Mining Co., Ltd.
Shanyang Yuyuan Mining Co., Ltd is located in the west end of Zhongcun vanadium ore belt, next to that of the Shanyang Zhongtian Vanadium Industry Co., Ltd. the daily ore processing capacity of the concentrating plant is 500t. its annual output of V2O5 1000 is 500t, with additional site for expansion. Since the former enterprise has promblems in production and environmental protection, together with lacking of floating capital and falling price of vanadium on market, the enterprise stopped production in Jan. 2007, according to the development plan of the Group, in order to further improve the strength, and implement the development target of 11th-Five-year Plan?±, Shaanxi Wuzhou Mining Industry Co., Ltd. completed the purchase of stock rights and restructuring of Shanyang Yuyuan Mining Co., Ltd according to the preferential policy to support advanced industry issued by Shangluo Government and relying on the capital, technology and management advantages under the support of the Group in April 20, 2007, and it started production in April 24 and made significant headway in business expansion.
During ?°11th Five-year Plan?±, the company shall improve its process flow base on the vanadium resources and market through strengthening management and scientific research and technical innovation to ensure high production and high efficiency and enable the production index to reach the advanced level in the industry in China. And keep enlarging production scale through resource integration, and purchasing and mergering other enterprises and technical innovation and expansion, and research and develop vanadium products and enhance the enterprise?ˉs reputation and develop international market and plan to realize sales revenue of RMB 2 billion yuan by the end of ?°11th Five year Plan?± so as to make the enterprise be the emerging vanadium production and scientific research base in China.