Hami’s Nonferrous Metal Industry Evolves Towards Clusters

In the development of black and nonferrous metals, Hami is characterized by a high starting point, high level, and high efficiency. Large enterprises and large groups are brought in to develop mineral resources. Focusing on large projects, Hami makes great efforts to extend the industry chain, turning resource advantages into industrial advantages.

Hami boasts rich copper-nickel resources. The metallogenic belt of nonferrous metals located in the eastern part of Tianshan Mountain in Hami is on the list of the top ten mineral development belts in the Western Development campaign. In Tuwu, Tuwudong, Yandong and Xiangshan Deposits, there are proven reserves of copper total 691,500 tons for the metal and proven reserves of nickel total 1,182,400 tons for the metal. In China, Hami is second only to Jinchuan, which is the nickel capital. Xinjiang Nonferrous Metals, Macrolink Group, Xituo Mining and the like have invested in the area.This year, there have been 12 nonferrous metal projects, with the total investment topping 2 billion yuan. More than 1 billion yuan investments have been made and the newly added production capacity exceeded 2 million tons.

Xinjiang Zhongxin Mining Co., Ltd. is dedicated to a nickel matte coarse smelting project with an annual capacity of 5,000 tons. For a long time the project did not reach the designed capacity, and the company’s profit grew slowly. This year, as a number of projects were put into production, the company has reached the designed capacity for the first time. It plans to expand production capacity and increase value added of products next year. As of October, the company has produced 7,185 tons of hardened nickel, 4,100 tons of nickel, and 1,300 tons of copper. This year, it has achieved sales revenue of 600 million yuan, and profit of 13 million yuan, with an increase of nearly 8 million yuan from last year, up by nearly 50%.

At the same time, with 2.21 billion tons of predicted reserves of iron ore resources, Hami ranks first in Xinjiang. This resource advantage has lured large enterprises like Bayi Iron and Steel, Xining Special Steel and Jiu Steel Group.Now, these enterprises’ mining capacity is 10 million tons, production scale of fine iron powder is 4 million tons, and that of pellets is 4 million tons in Hami. Hami has become a significant production base for auxiliary materials used in iron and steel making in Xinjiang. As production factors converge in production bases for auxiliary materials used in iron and steel making, Hami has gradually enhanced its capability to assimilate and convert iron ore resources locally. This year, Yamansu Mining Co., Ltd., a subsidiary of Xinjiang Bayi Iron and Steel Plant, took measures to increase investment to tap internal potentials, and expand production capacity to accelerate the production of pellets, to promote the industry’s development.

Wang Jingquan, deputy general manager of Yamansu Mining Co., Ltd., said: “Our undressed ore output has topped 1.45 million tons. From January through October, our output of fine iron powder totaled 850,000 tons, and that of pellets 1.57 million tons. The three indexes rose significantly from last year, especially the output of fine iron powder, which is largely ascribable to the launch of our 180 mining production line. From January to October this year, our sales revenue exceeded 1,511 million yuan, and profit reached 320 million yuan.

In 2015, Xinjiang’s largest best-equipped production base for auxiliary materials used in iron and steel making will be completed in Hami. With the highest comprehensive utilization rate of resources, its production scale includes 12 million tons of iron ore, 4.5 million tons of fine iron powder, and 4.5 million tons of pellets. The mining scale of copper and nickel is 3 million tons/year, that of fine copper powder is 30,000 tons for the metal/year, and that of both nickel matte and fine nickel powder is 10,000 tons for the metal/year. As a deep processing system for copper, nickel and molybdenum takes shape, Hami has become a key mining and milling base for nonferrous metals in Xinjiang.