the rise of , page-2

Sinosteel Group / China Acquires Chrome Interests Of Zimasco / Zimbabwe
= Chrome Mine, Ferro-Chrome Refinery
It was known that Sinosteel Group of China has acquired ( informally ) the interests of chrome mine and ferro-chrome refinery from Zimasco Consolidated Enterprises ( ZCE ), which is the owner of Zimasco as a leading producer of chrome ore and ferro-chrome in Zimbabwe. This matter was informed from China. Sinosteel Group marked chrome resources in Zimbabwe from a previous time and took a positive attitude to acquire the chrome resources.

Although it is not known yet how percentage of Zimasco interests does Sinosteel Group acquire, it was previously informed that, since the Government of Zimbabwe ( Mugabe President ) has opposed to this acquisition, a percentage of the interests to be acquired by Sinosteel Group has a possibility to be settled down by 50%. Zimasco has the capacity to produce 190,000 tons per annum of ferro-chrome but also has possessed chrome mine ( Great Dyke area ) to produce high grade chrome ore as raw material for production of ferro-chrome, which has been highly evaluated.

Sinosteel Group has been already managing Shanghai Shenjia Ferro-Alloys ( with capacity to produce 150,000 tons / year ), Jilin Ferroalloy ( with capacity to produce 550,000 tons / year ), Tuoli Taihang Ferro-Alloys ( Xinjiang Uygur Aut. Region with capacity to produce 70,000 / year, planned to produce 300,000 tons / year for future ) and Zunyi Ferro-Alloys ( with capacity to produce 250,000 tons / year ). Therefore, Sinosteel Group is now forming a large group of enterprises to produce ferro-alloys in China. Also, Sinosteel Group has been actively working on their strategy in overseas countries. Following ASA Metals ( with capacity to produce 160,000 tons / year ) of South Africa which Sinosteel Group has placed under their control, Sinosteel Group has reached in December of 2006 an agreement with Samancor Chrome of South Africa to participate in 50% of capital of the Tubatse ferro-chrome plant ( with capacity to produce 360,000 tons / year ) as a joint venture with Samancor.

The strategy for chrome adopted by Sinosteel Group has aimed to secure chrome ore resources and ASA Metals has possessed Dilokong chrome mine, while the Tubatse plant has possessed Tweefontein chrome mine. Also, Zimasco has possessed chrome mine in Great Dyke area as mentioned above.