China Minmetals Corp, the nation's largest metal trader, said
yesterday it will join forces with the world's sixth-largest copper
supplier, KGHM Polska Miedz SA of Poland, to develop local and
overseas non-ferrous metal resources.
The two companies will jointly develop copper mines in Poland,
China or a third country, according to a framework agreement signed
in Beijing.
The deal is the latest in Minmetals' push to diversify.
"The move is expected to combine KGHM's expertise in copper
development and manufacturing with Minmetals' advantages in capital
and sales channels," the Chinese firm said.
The two companies are considering exploring a new non-ferrous
mine in the Inner Mongolia Autonomous Region, according to
Krzysztof Skora, chairman and CEO of KGHM.
"The agreement symbolizes the two companies' further cooperation
beyond trade," said Zhou Zhongshu, president of Minmetals.
Minmetals has partnered with KGHM since 1997 in electrolytic
copper and has become its exclusive importer in China. It has
imported 400,000 tons of electrolytic copper from KGHM worth $1.1
billion.
Its annual import from KGHM accounts for nearly half of China's
total imports from Poland.
KGHM gained 2.3 percent on Tuesday and was the most actively
traded stock on the Warsaw market.
(China Daily September 13, 2007)
