OMH a strong BUY, page-118

See what happens when power prices go up, alloy production ceases. The power price in Guangxi is now been set at 0.54 yuan/kWh this is equal to USD$0.078/kWh which is nearly 3 times more than OM Sarawak pays. It no wonder that "Most factories have stated that they will stop production on the agenda after the raw materials are used up."
Production of ferro alloys with power costs higher than US$0.05/kWh are not commercially viable in todays market. India and Bhutan are struggling with power costs around USD$0.05 -0.06/kWh, no other country in Asia is even close to being competitive. Russia power cost is US$0.04-0.05/kWh is now becoming a major supplier of ferro alloys with power costs still marginally higher than OM Sarawak.

Ferroalloys Spot Network reported on January 14:

　　On the one hand, recent news from the market indicates that the electricity price in Guangxi has been set at 0.54 yuan / kWh. Most factories have stated that they will stop production on the agenda after the raw materials are used up. Large-scale production shutdowns and production reductions. At the same time, current companies have few stocks and their overall costs have increased. On the one hand, the year is approaching, and some companies have already entered vacations, and the actual operation is slightly normal. In addition, considering the end of the year There are financial pressures in the factory, and the willingness to ship some parts has obviously increased.