Resource Tycoon Reborn
Chapter Five Hundred and Eighty-Second Taking Care of the Overall Situation
One hundred million tons! Agnelli felt that his little heart was being tested today. You must know that except for China, the purchase volume of other iron ore importing countries is only 100 million tons a year, which is the second largest in the world.
Japan, the iron ore importing country, only purchases more than 70 million tons of iron ore a year! Lnm is now the world's largest steel company, and the long-term supply contract it wants to negotiate with Vale is only ten years.
Just purchased 300 million tons! Pimenyar, who was sitting next to him, was no better than him. He looked dumbfounded and could not see any of the dignity of the Minister of Mines and Energy. Fang Mingyuan seemed to be smiling but not smiling.
Looking at the two of them, Feng Weizhi had heard Fang Mingyuan mention this matter in advance. Although he was still shocked in his heart, he did not show it at all on the surface.
One hundred million tons may sound scary, but for China, which imports more than 400 million tons of iron ore annually, it is not an indigestible number. Huasheng Group Company owns the right to import iron ore and also acts as an agent.
As long as the import of multiple steel companies can win over a group of private steel companies that do not have the right to import iron ore and cannot sign a long-term mining agreement, as long as the price is set at a reasonable price, what does 100 million tons of iron ore mean?
Isn’t it because of this that the spot price of iron ore in China has been pushed up? If everyone can sign a long-term mining agreement, who will go to the spot market to buy iron ore?
If it weren't for the fact that the Chinese government is now strictly controlling the disorderly expansion of steel companies and eliminating backward production capacity, which has initially achieved results, Fang Mingyuan also hopes to take this opportunity to develop the future of the domestic steel industry.
The purchase of two to three hundred million tons can be digested by the scale of the disorderly development of China's steel industry. And having mastered such a huge iron ore resource, he has already controlled the domestic steel industry, at least among private enterprises.
Enough voice!
"One hundred million tons a year?" Agnelli said subconsciously with a surprised look on his face, "Huasheng Group Company needs to import so much?"
"How much? Is it so much that Vale's iron ore production capacity cannot be guaranteed?" Fang Mingyuan raised his eyebrows and asked in disbelief. "If this number makes President Agnelli very embarrassed,
Then it will be 30 million tons per year, and I think BHP Billiton and Rio Tinto will be happy to take the remaining orders."
"No, no, no, Mr. Fang. Don't get me wrong, Rogge didn't mean that. He was just too surprised. This is probably the largest iron ore order that Vale has ever received." Pimenyar said repeatedly.
Said. At the same time, he gave Agnelli a fierce look. The U.S. economy is already full of problems, and the global economic outlook is not optimistic. At this time, is it possible to push the orders that have been received to other countries? Moreover, isn't that giving yourself an advantage?
competitors?
"Yes, Mr. Fang, I didn't mean that, I was just too surprised!" Agnelli also reacted. Even if the amount is large, even if it may affect the contract negotiations with Lnm Company, it will never happen.
Now let’s extrapolate the truth outward.
"I have several additional conditions for this deal. First, the price of iron ore is based on the annual negotiated price of Changxie Mine, but you must give us a certain discount!" Fang
Ming Yuan Road.
"Of course! There is no problem!" Pimenyar said first. With a long-term contract and such a large purchase volume, discounts are natural. It would be strange not to discount. Moreover, with this contract, it is also
It proves that Fang Mingyuan really hopes to maintain the current iron ore pricing mechanism. This is very important for Vale, which is also unwilling to change the current iron ore pricing mechanism.
"Second, Huasheng Group Company will not sell these iron ores to non-Chinese steel companies, so you don't have to worry that I will disrupt your global sales market." Fang Mingyuan continued.
"Okay!" Pimenyar nodded quickly. This is the best. He was originally worried that Fang Mingyuan might use the discounted iron ore to impact Vale's markets in other countries. As for the Chinese market, inside
The water is too deep, and it was difficult for them to grasp it in the past. It is not impossible to hand it over to Huasheng Group Company. As for BHP Billiton Group Company and Rio Tinto Group Company... let them have the headache!
"Third, on the basis of the annual iron ore supply of 100 million tons, I require a fluctuation of 20 to 30%. The specific range can be renegotiated, but the iron ore imported in ten years will not
It will be less than one billion tons! The purchase volume adjustment will be notified to you at least one quarter in advance and will not cause you any difficulties." Fang Mingyuan said again.
Pimenyar and Agnelli looked at each other, and Agnelli nodded and said: "Yes, the specific fluctuation range can be negotiated." The steel market has definitely gone up and down in the past ten years, and Fang Mingyuan's request is also the same.
Reasonable.
"Fourth, your company does not need to worry about the shipping part of the iron ore purchased by Huasheng Group Company. You only need to transport it to the designated terminal on time and in quantity. This point is non-negotiable." Fang Mingyuan said.
Menyar and Agnelli sighed inwardly and nodded in agreement - the Fang family owns Guo's Shipping Group Company, a shipping company with one of the largest iron ore transport capacity in the Pacific, so it is naturally impossible for the wealth to flow to outsiders. Besides, it is impossible for the wealth to flow to outsiders.
Well, although Vale is a top mining company and has a fleet of ships, its scale is much smaller. A large part of the various ores it exports every year is shipped by Kuok Shipping Group Company.
"Fifth, I hope Huasheng Group Company's procurement will have priority to ensure supply. After all, Minister Pimenyar just said that this is probably the largest long-term procurement contract in your company's history.
Right?" Fang Mingyuan smiled and said, "Isn't it natural for Huasheng Group to enjoy some privileges in your company?"
Pimenyar and Agnelli did not stay too long at Fang Mingyuan's place before saying goodbye and leaving. Although the big bosses between the two parties have reached an intention to cooperate, they really need to fully implement this contract.
There is still a lot of work to be done, but in any case, at this time, if Vale Brazil can reach such an agreement with Huasheng Group Company, it will be a great success for both Vale Brazil and the Brazilian economy.
Call it a shot in the arm! Unfortunately, Fang Mingyuan has clearly told them that he does not want any news to leak out before a formal agreement is reached. Otherwise, Pimenyar and Agnelli will be eager to advertise it to the world immediately.
The two people sitting on the helicopter watched the villa gradually go away. Pimenyar said to Agnelli: "What's going on with the Lnm order you just mentioned?"
Agnelli said: "Lnm is in contact with us recently, hoping to reach a long-term iron ore purchase contract with us, which will also last ten years, with a total purchase volume of almost 300 million tons. We are currently in contact with each other.
, because this matter can only be said to be the intention of both parties and has not yet entered the substantive stage, so I did not report it to you."
Pimenyar nodded. He was originally a little annoyed that Agnelli did not report such a big deal between Lnm Company and Vale Company. But if there is no substantive results between the two parties, then Agnelli
It is normal for Genelli to temporarily suppress him. If it were him, he would do the same thing - letting the leaders enjoy themselves in vain is something that should be avoided as much as possible in Brazilian official circles.
"Minister, why do I feel that Huasheng Group Company intends to compete with Lnm Company? Only a few people know about the company's contact with Lnm Company, how did he know about it?" Agnelli said thoughtfully.
Thoughtfully, he felt that the timing of Fang Mingyuan's proposal of this deal was too coincidental, and...if Vale reached this agreement with Huasheng Group, it would be quite difficult to meet Lnm's needs.
Difficulty. It can be said that this order from Huasheng Group has almost squeezed out Vale's spare production capacity, if Vale does not continue to expand production capacity.
"Rogge, if you have to choose one of these two orders, which one do you choose?" Pimenyar pondered for a moment and asked. Although Fang Mingyuan didn't say anything, Pimenyar was also in Brazil.
For those who have been involved in politics for decades, knowing the elegant meaning of a stringed song is a basic skill that has to be learned, so naturally I am aware of it.
"Of course it's Huasheng Group Company!" Agnelli blurted out. Three hundred million tons in one decade, one billion tons in ten years. Do you need to say this?
"Then this order from Lnm Company is best temporary, at least not for this year, if the company still has production capacity. The relationship between Lnm Company and Aselock Group is very tense, and Fang is Aselock
Director of Ji Group Company," Pimenyal said.
"But... that would be cheaper for BHP Billiton Group or Rio Tinto Group!" Agnelli hesitated and said, although he also knew that with Vale's current iron ore production capacity, it would not satisfy Huasheng Group.
After the company was established, there would be great pressure to ensure orders from Lnm Company, but he still wanted to try hard.
"Rogge, we still have things to ask for, so I hope you will take the overall situation into consideration and don't just focus on Vale, but think from the perspective of the overall interests of the country." Pimenyar said, today
He originally wanted to talk to Fang Mingyuan about the oil company, but when he brought the topic up twice, Fang Mingyuan calmly changed the topic. It was obvious that Fang Mingyuan didn't want to talk about the oil company at least today. (
To be continued.)
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