Bafangshan Lead-Zinc Mining to stop production
2020-12-09 11:31:33 [Print]
BEIJING (Asian Metal) 9 Dec 20 - Due to the end of mining and the government's encouragement to withdraw, Baoji Bafangshan Lead-zinc Mining Co., Ltd., a medium-sized lead-zinc mine producer in Shaanxi, plans to stop production at the end of this year, and expects to produce about 400 metal tons of zinc concentrate and about 50 metal tons of lead concentrate in December, a source from the company disclosed to Asian Metal.
"At present, our mine's mining has come to an end, and the government encourages small and medium-sized mining companies to withdraw, so our company plans to halt production at the end of this year," the source said, adding that there is a high probability that the mining will not be resumed and the dressing plant may still produce in the later period. But even if the dressing plant resumes production, the output will be lower. The company is a subsidiary of Dongling Group, and has Bafangshan lead-zinc mine with a mining scale of 150,000 tons per year. Its dressing plant has a daily processing capacity of 500 tons. The current average lead grade of raw ore is only about 0.5%, compared with about 0.8% previously, and the average zinc grade of raw ore is about 3%, with about 3.8% in the previous period. The company produces lead concentrate 60%min and zinc concentrate 50%min which are mainly for internal use of the group.
With an annual capacity of 2,000 metal tons for lead concentrate, the company produced about 80 metal tons in November, and expects to produce about 50 metal tons in December. With an annual capacity of 8,000 metal tons for zinc concentrate, the company produced about 450 metal tons in November, and expects to produce about 400 metal tons in December, holding no stock for both products.
Mainstream prices for lead concentrate 60%min stood at RMB12,850-13,050/metal ton (USD1,967-1,998/metal ton) locally this Tuesday, up by RMB200/metal ton (USD30.62/metal ton) from Monday.
Mainstream prices for zinc concentrate 50%min stood at RMB15,600-15,900/metal ton (USD2,388-2,434/metal ton) locally this Tuesday, up by RMB300/metal ton (USD45.93/metal ton) from Monday.
"At present, our mine's mining has come to an end, and the government encourages small and medium-sized mining companies to withdraw, so our company plans to halt production at the end of this year," the source said, adding that there is a high probability that the mining will not be resumed and the dressing plant may still produce in the later period. But even if the dressing plant resumes production, the output will be lower. The company is a subsidiary of Dongling Group, and has Bafangshan lead-zinc mine with a mining scale of 150,000 tons per year. Its dressing plant has a daily processing capacity of 500 tons. The current average lead grade of raw ore is only about 0.5%, compared with about 0.8% previously, and the average zinc grade of raw ore is about 3%, with about 3.8% in the previous period. The company produces lead concentrate 60%min and zinc concentrate 50%min which are mainly for internal use of the group.
With an annual capacity of 2,000 metal tons for lead concentrate, the company produced about 80 metal tons in November, and expects to produce about 50 metal tons in December. With an annual capacity of 8,000 metal tons for zinc concentrate, the company produced about 450 metal tons in November, and expects to produce about 400 metal tons in December, holding no stock for both products.
Mainstream prices for lead concentrate 60%min stood at RMB12,850-13,050/metal ton (USD1,967-1,998/metal ton) locally this Tuesday, up by RMB200/metal ton (USD30.62/metal ton) from Monday.
Mainstream prices for zinc concentrate 50%min stood at RMB15,600-15,900/metal ton (USD2,388-2,434/metal ton) locally this Tuesday, up by RMB300/metal ton (USD45.93/metal ton) from Monday.
Lead Conc. TC 50%min CIF China
Unit:USD/mt
China lead concentrate producers' number MoM output increase statistics by province by month
Unit: pcs
