The rise of nanometers

Dalian.

Near the intersection of Huanghe Road and Xinkai Road, not far from Jinguang Building, a 17-story commercial building was purchased by Suiren Company.

Currently, this building is undergoing overall renovation of the exterior facade, and the interior is also undergoing renovation.

Not only are people from the decoration company busy, but there are also many employees from Time Information. Computers, related servers, electronic equipment and the like are also arranged here.

Modeling futures trading systems at home and abroad, it was compiled by Time Information. Huang's International, which had previously withdrawn to the mainland in Hong Kong, has more than a hundred financial employees who are also cooperating in the preparation of the ore futures trading system.

Huang International's technical executives Li Hongwen, Huang Xiuyuan and Jiang Hailin discussed some details.

"It's such a pity this time. If Huang International was not targeted by the Americans, I would definitely make Rio Tinto vomit blood." Li Hongwen said helplessly.

Huang Xiuyuan doesn't have a lot of money for heartache. After all, Suiren Company is now a big business, and financial speculation is just a stopgap measure: "Finance is just a tool, and industry is the foundation. Now we have to change our role and become the maker of international rules."

"General Manager Huang is right." Li Hongwen also knew that he was fooled. Shorting Rio Tinto, BHP Billiton and Vale, etc., was nothing more than a small profit in the face of controlling global mineral pricing power.

What's more, Huang Xiuyuan knows the insidiousness of those guys on Wall Street, such as negative crude oil prices, modifying transaction data, unplugging network cables, and freezing accounts. There is simply no bottom line.

Although the Ore Exchange is nominally spearheaded by the Steel Association, it is Suiren Company that actually leads the specific business.

After withdrawing to the mainland, except for some of Huang's International employees who joined the financial team of the Ministry of Security, the rest became the management of the Dalian Ore Exchange.

After all, the people from the Steel Association have no experience in operating a futures exchange. It is better to leave professional matters to professionals.

Shan Zhonghua didn't have any objections. He just communicated with the China Securities Regulatory Commission and the Central Bank. In fact, the Dalian Ore Futures Exchange now has all formal procedures in place.

The Dalian Ore Futures Exchange Management Company is also a company 100% controlled by the State-owned Assets Supervision and Administration Commission, but its management has been handed over to the Locust Ant Company.

Locust Ant Company appointed Li Hongwen and other former Huangshi International employees to form the management company of Dalian Ore Futures Exchange Management Company.

"Mr. Huang, according to the news from Sega, our current production capacity is to produce 170,000 to 210,000 tons of pure iron powder every day, and the inventory is around 640,000 tons. And as the production volume increases, the inventory will be more backlogged. We need to be in time These raw materials have been sold." Jiang Hailin reported some specific situations to him.

Huang Xiuyuan thought for a while and then ordered: "Then you should arrange for the listing of raw material futures as soon as possible! By the way, what are your opinions on the price?"

"We definitely can't sell it at the price of iron ore, we should sell it at the price of pig iron." Jiang Hailin explained why.

Because the pure iron powder produced by Blue Star Mining is just semi-finished pig iron to steel plants, it can be easily smelted into pig iron ingots when taken back.

At present, the domestic pig iron production cost averages around 2,900 to 3,000 yuan per ton, while the wholesale price of pig iron is around 3,200 to 3,600 per ton.

According to Baosteel's data, smelting one ton of pig iron requires 1.7 tons of iron ore, 0.28 tons of coke, and about 0.2 to 0.4 tons of slag-forming agent. Of these three core raw materials, coke and slag-forming agent are domestically self-sufficient. Prices are basically in a very stable state.

Therefore, the cost of iron ore has become a key factor affecting the cost of pig iron.

This year's imported iron ore price is about 1,100 yuan per ton, which is equivalent to smelting one ton of pig iron, which requires an iron ore cost of about 1,870 yuan.

Including coke, slag-forming agent, equipment depreciation, electricity and labor, the total of these expenditure items is about 1,100 to 1,200 yuan.

It seems that there is still a profit of 200 to 700 yuan. In fact, if you add management expenses, inventory backlog, and improper internal management, especially state-owned enterprises with rigid mechanisms, they are basically on the verge of losing money, or on the verge of losing money. At a loss.

Jiang Hailin explained while flipping through the data: "Snail Steel Plant uses our own pure iron powder to basically make steel directly. The purchase price is 1,200 yuan per ton. If it is used for ironmaking, the total cost is about 1,800 yuan per ton of pig iron."

Huang Xiuyuan also knows the difference.

Pure iron powder ironmaking: 1 ton of pure iron powder (1200) + coke or electricity (300) + other miscellaneous charges (300) = 1800

Iron ore ironmaking: 1.7 tons of iron ore (1800) + coke (800) + power slag agent (160) + other miscellaneous expenses (220) = 2980

The price Blue Star Mining gave Snail Industrial for each ton of pure iron powder was the internal brother price. Even at such a cheap price, it still made a tearful profit of 1,050 yuan.

Jiang Hailin mentioned a limit cost: "Mr. Huang, I think that in order to crack down on the three major iron ore suppliers, the price of pure iron powder must be lowered to 1,400 yuan. In this way, the production cost of steel companies will drop to 2,000 yuan, or even more." Low."

"Yes, but not enough. The ultimate pressure cost of the three major iron ore suppliers is around 250 yuan per ton. If necessary, the price of pure iron powder can be lowered to 800 yuan, turning the iron ore trade into a loss-making business. "

At this price, the price of iron ore must be lower than 150 yuan before it can compete with pure iron powder.

The problem is that at a price of 150 yuan, the three major iron ore suppliers will lose 50 yuan per ton, while Blue Star Mining still has a profit of 650 yuan per ton.

This is a direct crushing. The two are not opponents in the same dimension at all.

The three major iron ore suppliers may suffer direct losses of tens of billions of dollars if they lose procurement from Chinese steel companies.

Li Hongwen suggested: "Mr. Huang, we can also start preparing our other mineral varieties."

"Well, please communicate more with Hailin and Sega."

Although it is not fully renovated, the Dalian Ore Exchange is already capable of undertaking transactions.

October 3rd.

Shan Zhonghua, who had secured a second interest-free loan for Blue Star Mining, brought people from the Steel Association to Dalian.

Not far from the Dalian Ore Exchange, there is a business hotel acquired by Suiren Company. In the business conference hall, Huang Xiuyuan, Shan Zhonghua and others had a second in-depth discussion on ore futures trading.

"I have issued trading seats to each member of the Steel Association according to the plan. Currently, a total of 537 trading vouchers have been issued." Li Hongwen explained while holding the document.

Shan Zhonghua asked: "When do you plan to open?"

"On November 8, the exchange building will be ready for use. We are trial-running the internal trading system and there will be no big problems." Li Hongwen replied.

Suddenly Shan Zhonghua said: "Mr. Huang, are you interested in taking over Tonghua Steel?"

"Um? Didn't it say that Shougang is considering mergers and acquisitions?" Huang Xiuyuan was surprised.

"During the last negotiation, some people ignored the overall situation. This time when I went to Beijing, the higher-ups hoped that the Locust Ant Company would take over Tongshan Iron and Steel and join forces with your company." Shan Zhonghua said something unexpected, but also reasonable. reasons.

The management of Locust Ant Company does not have to worry about the loss of Tonghua Iron and Steel's state-owned assets. At the same time, it is also a warning to other steel companies who have their own evil intentions.

After all, in the last negotiation, the domestic steel companies were cheating, which made the superiors very disappointed and angry.

Huang Xiuyuan didn't know whether to laugh or cry. Tonggang went round and round, but in the end he still got entangled with Suiren Company.

Thank you for your support (ω｀), and thank you to book friends "Jingyi Di", "ologe1986", "The Director of the Orphanage", and "Zheng Mu Tianyu" for their rewards!