Jiangxi Tungsten Industry Group Co., Ltd Plans to Fulfill Operating Income 12 billion in 2011

According to news published on March 7th, it has been learned from Jiangxi Tungsten Industry Group Co., Ltd that in 2011, Jiangxi Tungsten has a budget investment of 2.4 billion yuan, which will be used to construct 18 investment projects, the Company plans to fulfill an operating income of 12 billion yuan, and strive for the target of 13 billion yuan.

According to Zou Fensheng, General Manager of Jiangxi Tungsten Industry Group Co., Ltd.,among the 18 investment projects there are 7 continued projects, with an investment of 300 million yuan; and 11 newly started projects and opportunity investment projects, with a planned investment of 2.1 billion yuan.

Over the past 5 years, the average rate of return on net assets of Jiangxi Tungsten Industry Group Co., Ltd has been kept above 20%; in particular it still reached 9.01% in 2009 when the impact of financial crisis hit hard at the industry, signifying the company’s relatively high profit earning ability. The net asset after rehabilitation at the end of 2010 is 2.66 billion yuan, 2.5 folds that of 2005.

It has been learned that, in 2010, Jiangxi Tungsten Industry Group Co., Ltd overcame difficulties of the decline in Tungsten mine grade,and rising difficulty in ore extraction and so on,rationally adjusted production arrangements. Its whole year production of Tungsten concentrate reached 11435 tonnes, fulfilling 100.04% of its annual production plan. Its total mineral product quantity reached 1,016,000 tonnes, up by 21.7% on year-on-year basis, registering the highest historical output level. In the same year, Jiangxi Tungsten successfully fulfilled the"10 billion Project" target, the Group’s overall operation condition has recovered to the level before the outbreak of the global financial crisis. It achieved 11.5 billion yuan in operating income, up by 30% on year-on-year basis; 1.09 billion yuan in industrial added value, up by 38% on year-on-year basis; its operating income and profit tax respectively ranked 4th and 5th in 12 large scale industrial groups in the province, making it a leading enterprise in the industry.

In the next 5 years, Jiangxi Tungsten Industry Group Co., Ltd will adhere to the principle of“extending two ends and optimizing the middle section” and concentrate on main business projects, industrial advantageous projects, hitech and high added value projects; based on the three main businesses of Tungsten, Rare Earth, and Tantalum-Niobium, make moderate expansion toward copper and lithium battery sectors. By 2015, it will ensure to achieve 18 billion yuan in operating income, striving for the target of 20 billion yuan; 1.8 billion yuan in industrial added value, striving for the target of 2 billion yuan, and double both on the basis of that in 2010.