Xinren: in preliminary stages of looking to build/ acquire a 4th smelting plant in China, SE Asia or Saudi Arabia. The China-based firm currently has 2 smelting plants, which produce primary aluminium such as ingots & plates, with total pdtn capacity of 275k tpa. It is waiting for provincial govt approval in China to build a 3rd plant with annual pdtn capacity of 100k tpa in Heilongjiang for Rmb 700m (S$138.4m). The invmt will be funded by ~60% internal resources and the rest by bank loans...
Other growth catalyst would be the tripling of capacity at its fabrication plant in China to 150k tpa by end 2011, expected to boost fabrication revenue by 20-30% from 2009.
Mgt said that the current average selling price for aluminium was around Rmb 16k/ton, up from Rmb 14.9k/ton in 3Q. Expects huge demand in China to drive price resilience in 4Q. Xinren’s total sales volume in 9M10 was 230k tons, +29% yoy.
No comments:
Post a Comment