Xinjiang Banchao Group breaks ground on advanced magnesium material project
2025-03-03 15:11:40 [Print]
On March 1, Xinjiang Banchao Group Co., Ltd. commenced construction of its magnesium-based advanced materials circular economy industrial integration project, with an annual production capacity of 20,000t of magnesium metal and 30,000tpa of magnesium alloy.
The project, with a total investment of RMB278 million (USD38.15 million), will build raw material production line, rotary kiln, magnesium reduction furnace, refining plant, raw material warehouse, tailing pond as well as other associated facilities, with the main construction scheduled to complete before June 30. As planned, the project would be ready for trial production by the end of this year and complete full construction in 2026. Once operationally, the project is expected to achieve an annual output value of more than RMB360 million (USD49.40 million) and generate tax revenue of around RMB100 million (USD13.72 million), helping create more than 200 jobs.
Xinjiang Banchao Group operates six subsidiaries, including Hami Shengmei Magnesium Industry Co., Ltd. and Xinjiang Banchao Magnesium Industry Co., Ltd. The company has existing annual production capacity of 1.2 million tonnes of clean carbon, 600,000 tonnes of coke, and 200,000 tons of magnesium metal. Actively expanding into downstream magnesium alloy profiles, the company aims to build a fully integrated circular economy industrial chain for magnesium-based new materials.
The construction of this project will further extend the deep processing industry chain of the 13th Division of Xinjiang Production and Construction Corps, covering "metallurgy – metallurgical profiles – metallurgical products." It plays a crucial role in strengthening the Division's position as a leader in the new metallurgical sector, advancing the development of a 100-billion-yuan industrial cluster, and supporting the establishment of the Corps' new metallurgical demonstration base.
The project, with a total investment of RMB278 million (USD38.15 million), will build raw material production line, rotary kiln, magnesium reduction furnace, refining plant, raw material warehouse, tailing pond as well as other associated facilities, with the main construction scheduled to complete before June 30. As planned, the project would be ready for trial production by the end of this year and complete full construction in 2026. Once operationally, the project is expected to achieve an annual output value of more than RMB360 million (USD49.40 million) and generate tax revenue of around RMB100 million (USD13.72 million), helping create more than 200 jobs.
Xinjiang Banchao Group operates six subsidiaries, including Hami Shengmei Magnesium Industry Co., Ltd. and Xinjiang Banchao Magnesium Industry Co., Ltd. The company has existing annual production capacity of 1.2 million tonnes of clean carbon, 600,000 tonnes of coke, and 200,000 tons of magnesium metal. Actively expanding into downstream magnesium alloy profiles, the company aims to build a fully integrated circular economy industrial chain for magnesium-based new materials.
The construction of this project will further extend the deep processing industry chain of the 13th Division of Xinjiang Production and Construction Corps, covering "metallurgy – metallurgical profiles – metallurgical products." It plays a crucial role in strengthening the Division's position as a leader in the new metallurgical sector, advancing the development of a 100-billion-yuan industrial cluster, and supporting the establishment of the Corps' new metallurgical demonstration base.
Magnesium Ingot 99.95%min EXW China
Unit:RMB/mt
China's magnesium ingot producers' inventory to production ratio statistics by province by month
Unit: %
