Gansu recombines Gansu Rare Earth New Material with China Northern Rare Earth
2018-01-24 17:51:54 [Print]
State-owned Assets Supervision and Administration Commission of Gansu Provincial Government signed the reconstructing agreement with China Northern Rare Earth (Group) High-tech Co., Ltd. in Lanzhou on January 22nd. Song Liang, the standing committee of CPC Provincial Committee and vice governor attended the signing ceremony and made a speech.
Song Liang pointed out that the reorganization between China Northern Rare Earth and Gansu Rare Earth New Material is a realistic choice of solving rare earth resource shortage based on the long-term development for the latter company. China Rare Earth owns the largest rare earth ore resource in the world and Gansu Rare Earth New Material has the advanced smelting and separation technology in rare earth industry. The provincial government agreed to regroup the two companies to realize a strong alliance, which will help make up resource shortage of Gansu Rare Earth New Material, promote the high-quality development of the company, protect employees' interests, and provide more high-quality products, such as permanent magnet materials, luminescent materials, abrasive materials and so on, to achieve mutual benefit.
After the reorganization, China Rare Earth will occupy 49.35% of Gansu Rare Earth New Material's shares, and companies owned by State-owned Assets Supervision and Administration Commission of Gansu Provincial Government take 26.96% of the shares. The two shareholders will take their advantages to stimulate the company's vitality and motivation to optimize and strengthen Gansu Rare Earth New Material further. In addition, the two companies will speed up the construction of rare earth industrial park project in industrial concentration district in Liuchuan, Baiyin, to support the economic development in the local place after the reconstructing.
Song Liang pointed out that the reorganization between China Northern Rare Earth and Gansu Rare Earth New Material is a realistic choice of solving rare earth resource shortage based on the long-term development for the latter company. China Rare Earth owns the largest rare earth ore resource in the world and Gansu Rare Earth New Material has the advanced smelting and separation technology in rare earth industry. The provincial government agreed to regroup the two companies to realize a strong alliance, which will help make up resource shortage of Gansu Rare Earth New Material, promote the high-quality development of the company, protect employees' interests, and provide more high-quality products, such as permanent magnet materials, luminescent materials, abrasive materials and so on, to achieve mutual benefit.
After the reorganization, China Rare Earth will occupy 49.35% of Gansu Rare Earth New Material's shares, and companies owned by State-owned Assets Supervision and Administration Commission of Gansu Provincial Government take 26.96% of the shares. The two shareholders will take their advantages to stimulate the company's vitality and motivation to optimize and strengthen Gansu Rare Earth New Material further. In addition, the two companies will speed up the construction of rare earth industrial park project in industrial concentration district in Liuchuan, Baiyin, to support the economic development in the local place after the reconstructing.
