Asian Metals visits Yihe Magnesium, Haotian Coal and Jingfu Coal

On November 28, 2019, Asian Metal Senior Magnesium Analyst and Senior Product Manager Ms. Daphne Zhang visited Fugu Yihe Magnesium Co., Ltd., Fugu Haotian Coal Co., Ltd. and Fugu Jingfu Coal Co., Ltd., and was warmly greeted by the above companies.

On the afternoon of November 28, Ms. Daphne Zhang first visited Fugu Yihe Magnesium Co., Ltd. and communicated with the company's Board Chairman Mr. Su Naitao and Vice General Manager Mr. Li Pei on current and future price trends of magnesium ingot. According to Mr. Li, price fluctuations are natural market events; Yihe Magnesium will act in a way complying with market trends, trying its best to improve product quality to better cater to market demand and to promote its sales instead of imposing too high expectation on or holding a pessimistic attitude toward market trends.

With an annual production capacity of 30,000t of magnesium ingot, Yihe Magnesium maintains an average monthly output of 2,300t; in addition, it has a 20,000tpa Moyuan magnesium project which is expected to go into operation in 2020. Yihe Magnesium has been long referring to market information and prices provided by Asian Metal. Mr. Su and Mr. Li gave positive comments on previous magnesium summits held by Asian Metal, and planned to participate in the 9th Magnesium Summit to be held by Asian Metal in Hangzhou on April 16-17, 2020.

Next, Ms. Daphne Zhang visited Fugu Haotian Coal Co., Ltd. and communicated with the company's Vice General Manager Mr. Wang Huicheng. Currently, the company is still in capacity ramp-up stage and expects its daily magnesium ingot output to rise to over 90t by the end of this year. Since coal prices are high while semi-coke prices are low, Mr. Wang expressed his concern on magnesium ingot plants which have to maintain production under great pressure. As market demand is not expected to pick up in the short term, Haotian Coal will act in compliance with market trend and try its best to promote sales to keep stocks at a low level.

With an annual production capacity of 30,000t of magnesium ingot, Haotian Coal maintains a monthly output of 2,100t now and plans to increase the output to 2,700t by the end of December. The company has been using Asian Metal's prices and market information for a long time. Mr. Wang thought highly of Asian Metal for proving objective, professional and all-sided market information and also gave positive comments on previous magnesium summits held by Asian Metal, planning to participate in the 9th Magnesium Summit to be held by Asian Metal in Hangzhou on April 16-17, 2020.

At last, Ms. Daphne Zhang visited Fugu Jingfu Coal Co., Ltd. and exchanged views with the company's General Manager Mr. Shi Dong on magnesium ingot cost structure, the company's production structure, environmental investment and future development trends. According to Mr. Shi, Jingfu Coal tries hard to improve product quality and its magnesium ingot has met requirements for producing titanium sponge 99.95%min; meanwhile, the company is also active in seeking partnership with end users so as to ensure steady and smooth selling channels. Jingfu Coal also rises to government call on environmental protection and tries to build itself into a premium magnesium producer by increasing investment into upgrading environmental equipment and introducing new standards in environmental inspections.

With an annual production capacity of 35,000t of magnesium ingot, Jingfu Coal maintains steady production at present and produces 3,000tpm on average. The company has been using Asian Metal's prices for a long time in its purchasing and selling activities. Mr. Shi thought highly of Asian Metal for proving thorough, precise and fair market information, and also gave positive comments on previous magnesium summits held by Asian Metal, planning to participate in the 9th Magnesium Summit to be held by Asian Metal in Hangzhou on April 16-17, 2020.