Drought cuts output of metal producers
Source: Xinhua |
April 12, 2010, Monday
|
Print Edition
Print Edition
OUTPUT by some non-ferrous metal producers in southwest China's drought-plagued Guangxi Zhuang Autonomous Region has plunged sharply and could stop totally if the dry weather continues.
In Nandan County, which boasts more than 11 million tons of verified non-ferrous metal reserves, companies had cut production by 30 percent, said Miao Zhilong, head of the county's economic and trade bureau.
"If the drought continues for another month, they are very likely to suspend production," Miao said.
The non-ferrous metal industry, despite its high power and water consumption, had long been a major contributor to the economy in Guangxi and neighboring Guizhou and Yunnan provinces, he said. "We estimate that local revenues in Nandan will drop 25 percent in April year on year."
A major producer of electrolytic zinc in China, the Nanfang Non-ferrous Metal Smelting Co Ltd in Hechi has closed two production lines at its zinc plant this year.
"We need 20 tons of water to electrolyze 1 ton of zinc. Since March, our daily water supply has shrunk from 10,000 cubic meters to 3,000 cubic meters and our daily output has dropped by 40 percent from 600 tons to 380 tons," said plant director Yang Youping.
By last Thursday, the severe drought in Yunnan, Guizhou, Guangxi, Chongqing and Sichuan had caused drinking water shortages for 20.88 million people and 13.68 million heads of livestock, according to the Office of State Flood Control and Drought Relief Headquarters.
However, the drought would not cause significant fluctuations in non-ferrous metal prices at home or abroad, said Zhu Rujun, a senior investment consultant with China Merchants Securities Co Ltd.
In Nandan County, which boasts more than 11 million tons of verified non-ferrous metal reserves, companies had cut production by 30 percent, said Miao Zhilong, head of the county's economic and trade bureau.
"If the drought continues for another month, they are very likely to suspend production," Miao said.
The non-ferrous metal industry, despite its high power and water consumption, had long been a major contributor to the economy in Guangxi and neighboring Guizhou and Yunnan provinces, he said. "We estimate that local revenues in Nandan will drop 25 percent in April year on year."
A major producer of electrolytic zinc in China, the Nanfang Non-ferrous Metal Smelting Co Ltd in Hechi has closed two production lines at its zinc plant this year.
"We need 20 tons of water to electrolyze 1 ton of zinc. Since March, our daily water supply has shrunk from 10,000 cubic meters to 3,000 cubic meters and our daily output has dropped by 40 percent from 600 tons to 380 tons," said plant director Yang Youping.
By last Thursday, the severe drought in Yunnan, Guizhou, Guangxi, Chongqing and Sichuan had caused drinking water shortages for 20.88 million people and 13.68 million heads of livestock, according to the Office of State Flood Control and Drought Relief Headquarters.
However, the drought would not cause significant fluctuations in non-ferrous metal prices at home or abroad, said Zhu Rujun, a senior investment consultant with China Merchants Securities Co Ltd.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
