Resource Tycoon Reborn

Chapter five hundred and seventy seventh attitude

On one side is the iron ore export that he is in charge of, and on the other side is the tourism industry that the country urgently needs to further develop... Pimenyar feels it is a pity to give up the interests of either side.

"By the way, I forgot to congratulate you!" Fang Mingyuan smiled casually, "If nothing else happens, your country will be able to change from an oil importer to an oil exporter this year. Such a great transformation is all under your leadership, Minister.

Once completed, the name Alexander Pimenyar will leave a huge mark in the history of Brazil’s economic development!”

Although Pimenyar was in a dilemma, he still couldn't help but smile happily: "Thank you, and I also want to thank Mr. Fang for his unswerving support." The discovery of deep-sea pre-salt oil fields can be said to have changed the Brazilian petroleum industry.

The company's fate has also changed the Brazilian economy. A large amount of crude oil has been explored and mined, which has strongly supported the development of the Brazilian economy. Moreover, as oil production continues to increase, and the price of oil in the international market has consolidated at a high level, it means that a

A bright future. But this bright future is hard-won. If it weren't for the persistence of Pingchuan Petroleum Group Company, Petrobras, which had drilled many wells but failed to produce any oil, would have given up on the exploitation of the Lula oil field.

"In the future, Pingchuan Petroleum Group Company will still need more care from Minister Pimenyar, and I will definitely report the consequences in the future." Fang Mingyuan raised his glass and chuckled.

It suddenly occurred to Pimenyar that as oil production continues to grow, after Brazil meets domestic oil demand, it does need to export excess oil. Pingchuan Petroleum Group Company and Kuok Shipping Group Company,

It will undoubtedly become a major customer of Petrobras in the future, and the Fang family and Huaxia are also the main purchasers of Brazilian soybeans. For a piece of iron ore, they completely offended each other. This person is not like most Chinese people who only protest.

Condemn, you may play a trick on your opponent at some point, and there are not just one or two people who have fallen into trouble because of it.

"Don't worry, Mr. Fang, the crew from Hong Kong Kumho Film Group is here. We will treat guests as VIPs and ensure 100% cooperation throughout the process and will not let any unstable factors disturb the crew's work. As for... Vale

company, I can only say that I personally hope that both parties can reach a mutually satisfactory price and achieve a win-win result. However, I will report this matter to the President in detail. I believe that the President will make a wise decision.

Come." Now that Pimenyar had figured it out, he naturally said it very beautifully.

When Roger Agnelli rushed to the presidential suite of the Copacabana Palace Hotel, he saw Minister Pimenyar and Fang Mingyuan enjoying a drink.

"Rogge, let me introduce you. This is the famous 'Fang', Mr. Fang, and this is Rogge Agnelli, the current president of Vale." Pimenyar enthusiastically introduced him

The two sides introduced.

"I'm honored to have the opportunity to meet Mr. Fang in person!" Agnelli proactively extended his hand and said with a smile.

"President Agnelli, although we are not in the same camp when it comes to iron ore trade, I still have to say that you have done a great job over the years." Fang Mingyuan also smiled, putting aside the differences between the two parties.

From an outsider’s perspective, look at Alexander Agnelli’s words. Fang Mingyuan’s words are not exaggerated at all. Agnelli has been in charge of Vale Brazil for the eighth year. Under his leadership, Vale has

Its business territory has expanded from the Amazon jungle to dozens of countries including Canada, Australia, China, Chile, Peru, Mozambique, Indonesia, etc. It has developed from a regional iron ore company to a large-scale iron ore company.

A large, comprehensive and diversified mining giant. However, he is only fifty years old this year.

"Mr. Fang is too polite. Compared with Mr. Fang, my achievements are nothing." Agnelli said, while admiring Fang Mingyuan, he also had a bit of resentment. The Brazilian Vale Company was under his supervision.

Under his leadership, Fang Mingyuan became a mining giant with global influence. However, the CMM company he originally favored, Brazil's second largest iron ore producer, was acquired by Fang Mingyuan first. Despite his efforts,

They wanted to acquire CMM Company, but all were rejected by the other party without hesitation. If Vale can also control CMM Company, then in the area of ​​iron ore production, Vale has even more say than it does now.

Be big.

"Minister Pineyar, President Fang, can you tell me the secret now?" Agnelli sat down and said with a smile. It must be something important to urgently recruit him here at this time.

affairs.

"Mr. Fang came to my country all the way from China and wanted to ask Vale what it thought of BHP Billiton's acquisition of Rio Tinto, as well as the changes to the iron ore current situation proposed by BHP Billiton and Rio Tinto. There is a proposal for a pricing mechanism, and what is your attitude?" Pimenyar said solemnly.

Agnelli looked at Pimenyar with some surprise, and then said: "We still believe that the traditional long-term price mechanism is the most beneficial way for both supply and demand. BHP Billiton Group Company and Rio Tinto Group Company just because they saw

There is a huge price space between the iron ore spot market and the long-term contract negotiation price. We just want to maximize the benefits. But the higher the return, the greater the risk. For commodities like iron ore, in the short term,

The violent price fluctuations are not conducive to the arrangement of production for ore producers and steel companies."

"President Agnelli's words really won my heart." Fang Mingyuan clapped softly. Although Agnelli smiled on his face, he was slandering in his heart that the iron ore spot market and the long-term relationship

The reason for the huge price space between contract negotiation prices is still in China's iron ore import market. It is precisely because a large number of steel companies in China cannot obtain long-term mining contracts and can only turn to the spot market to purchase iron ore.

, and the strong demand has pushed up the spot price of iron ore, which made BHP Billiton Group Co., Ltd. and Rio Tinto Group Co., Ltd. want to change the existing pricing mechanism of iron ore. But Agnelli

I have to admit that the price of Changxie Mine has experienced such an astonishing increase in the past few years, which is precisely because of the rising prices in the spot iron ore market. Therefore, the role played by Huaxia Iron and Steel Enterprises in this matter

, for Vale, it is hard to say whether it is good or bad.

"President Agnelli and I agree that the stability of iron ore prices is the key to the long-term development of steel companies and mining companies. I don't want Haiping Mining Company and CMM Company to follow the old path of oil!" Fang Mingyuan

smiled.

Agnelli knew that Fang Mingyuan was referring to the last oil crisis. Countries in the Middle East used oil as a weapon to severely hit the economies of European and American countries, triggering a global economic crisis. However, since then, European and American countries have promulgated new energy policies.

Encourage the development, promotion and application of any technology that can improve energy efficiency. Although the price of oil has dropped since then, countries around the world have never stopped developing, promoting and applying new energy and new technologies.

If it were not for the rapid economic development after China's reform and opening up, the demand for oil has increased significantly, and it has quickly transformed from an oil exporting country to an oil importing country. And the import volume has almost doubled, becoming a country second only to the United States.

As a major oil importing country, the international market price of oil, even if there are factors such as world economic development and the depreciation of the US dollar, cannot reach the astonishing price of over one hundred US dollars per barrel today. But at the same time, the wind power industry and the photovoltaic industry

Many industries such as electric vehicles have also prospered as a result. If there were not the factor of sustained high oil prices, no one would believe it. High oil prices not only make it profitable for Brazil to open pre-salt oil fields on the seabed, but also make it profitable for Brazil to develop subsalt oil fields.

Many countries, including the United States, are researching alternatives to oil. It is said that the United States has been working on the development of shale oil. Although, Agnelli does not think it is easy to find alternatives to iron ore.

However, he also had to admit that the price of iron ore cannot continue to increase without limit. It is just that so far, everyone is not sure where the ceiling of iron ore price is.

"Mr. Fang's opinion is that...both Australian Haiping Mining Company and CMM Company will abide by the long-term mining agreement pricing mechanism?" Agnelli asked.

"We will abide by this pricing mechanism, but it does not mean that we will definitely abide by the final price negotiated by you. Excessively high iron ore prices will only severely lag the development of the steel industry. In iron ore mining,

On the premise that the cost has not increased significantly, the market price of iron ore has been significantly increased. This is a killing of the chicken and the egg! If a large number of steel companies go bankrupt and cease production, it will in turn affect the normal development of mining companies!

"Fang Mingyuan said seriously.

"So what does Mr. Fang think the price of iron ore should be this year?" Agnelli asked calmly.

"I can't say how much the increase will be, but if it is too high, I believe you will soon see the phenomenon of an inversion between the spot price of iron ore and the price of Changxie mine. By then, more steel companies will support BHP Billiton Group Company

and Rio Tinto Group Company to change the current iron ore pricing mechanism." Fang Mingyuan said, "Moreover, the high price of iron ore will also cause a large number of steel companies to fall into losses, which will in turn affect future iron ore sales.

I think Vale also doesn’t want to have to lay off a large number of employees. Let more employees be furloughed?”

"I believe President Agnelli has also heard that our country has increased the export tariffs on steel, which means that at least tens of millions of tons of steel will no longer be exported but will be invested in our domestic market, and our country's steel

The market, currently, cannot be called a boom. Moreover, from your perspective, you should also be able to see that the global environment is not optimistic about the economic situation in the next two years. Our government has begun to control the disorderly development of the domestic economy.

In the steel industry, this year's steel production capacity will be locked at last year's production. This time, the higher-ups are serious about it. Don't doubt their determination." Fang Mingyuan smiled and said, "Of course, Danshui River Company is willing to maintain a stable situation.

Amid the economic crisis that may come, it is up to you to decide if you are still willing to have enough to eat this year and be hungry next year, while helping BHP Billiton and Rio Tinto to make troubles."

When Pimenyar and Agnelli said goodbye and left the Copacabana Palace Hotel, it was already early in the morning. Agnelli did not get into his own car, but got into Pimenyar's car.

"Alexander, I want to hear your opinion." Agnelli couldn't wait to ask Pimenyar before the car started. The two of them were old acquaintances, so naturally they didn't need to beat around the bush when talking in private.

"Rogge, I don't want to say anything about Vale's operations, but I will report to His Excellency the President in detail about today's matter." Pimenyar said seriously, "But I want to remind you, never

Ignoring every word he said, his vision has been proven by many things. Moreover, the trade between China and our country is getting closer and closer, and it has become an important export and import country for our country, and this trend is still

It is constantly expanding. I think your Excellency the President certainly does not want to affect the good relations between the two countries for the export of a commodity such as iron ore."

Agnelli pondered for a moment and said: "If we sign a contract with China at a low price, what will BHP Billiton and Rio Tinto think of us?" The three major mining companies have a tacit understanding on iron ore exports.

, is also an important reason why the price of iron ore in the international market has risen rapidly in recent years. If Vale breaks this tacit understanding and the three companies can no longer work together, if they want to continue to push up the price of iron ore,

It's very difficult.

“BHP Billiton Group Company proposed changing the iron ore negotiation mechanism and establishing a daily index system similar to other resource products. When Rio Tinto Group Company announced that it would sell some iron ore in the spot market, did it consider our attitude?

?And BHP Billiton Group Company wants to acquire Rio Tinto Group Company. Isn’t it aimed at us?” Pimenyar said with disdain, “I think what Fang said makes sense. Regular daily meals are far better than

Irregular eating is more beneficial to a person's health, and the same applies to a company. Your Excellency the President certainly does not want to see a large number of layoffs at Vale later in his term."

Agnelli sighed silently in his heart. Although Pimenyar did not express his position clearly, his words have already shown his attitude. (To be continued.)

ps:

ps: There’s only one chapter, sorry. Tomorrow’s update will probably be late as there’s been a lot going on lately.

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