Eight hundred and eighty-third chapter iron ore joint venture
After nearly two months of negotiations, Xingyuan Group finally reached an agreement with several major Japanese families, the Xiangjiang Consortium, the Malaysian Chinese Consortium, the Singaporean Consortium, and several major Baodao families.
After two months of tug-of-war, the Marandu Iron Ore Development Company was officially established, with Xingyuan Group owning 30% of the shares, Mitsui Consortium and Sumitomo Consortium each holding 10%, and the Fujiwara family and Ito family each holding 5%.
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The Heung Kong Consortium holds 15% of the shares, several major Baodao families jointly hold 5% of the shares, and the Malaysian Chinese consortium and the Singaporean consortium each hold 10% of the shares.
The transfer of these shares brought US$7 billion in cash profits to the Lee Consortium. This part was earned by the Lee Consortium and did not belong to the Malandu Iron Ore Development Company.
At the same time, all parties jointly invested US$1 billion in iron ore mining, railway construction and port construction based on their shares, completely breaking the blockade between Rio Tinto and BHP Billiton.
Representatives of all parties held a cocktail party to celebrate the signing of the joint venture agreement at the Xiangjiang Peninsula Hotel. Core members of all parties attended the reception.
At 6:30 pm on December 8, while the Shanghai investment delegation was still discussing with Xiangjiang entrepreneurs, Li Guangyu and Cao Weiqing came to the Peninsula Hotel to attend the celebration.
Li Guangyu was very excited this time. The discovery of the Malandu Iron Mine has allowed him to earn billions of dollars.
Although this kind of profit is definitely not as much as the profit from developing it on his own, Li Guangyu doesn't care about it. Even if the iron ore is not mined and shipped out, it will have no higher value. Now with this huge cash return, he can use it
Invest in more industries to obtain more profits.
Moreover, if he develops it alone, he will face great pressure, especially financial pressure. You must know that the iron ore cannot recover the cost in the short term. Whether it is railways, ports, or iron ore mining supporting facilities, huge funds are needed. Li Guangyu can
I don't want to put all my money on this.
This time, after excluding various costs, the profit of the Malandu Iron Mine is expected to be more than 15 billion US dollars. This is still at the current price, and Li Guangyu sold 70% of the shares for 7 billion US dollars, which is currently acceptable to both parties.
Because this mine will take decades to mine, and Li Guangyu has the US$7 billion in his hands, who knows how many times it will have multiplied by then, so he doesn't care if he sells it at a loss now.
As for Japan and the Baodao family, they are also willing to buy it at such a price. At present, both Japan and Baodao mainly rely on imports of iron ore, especially Japan. They are currently the world's largest importer of iron ore. Several major
The family very much hopes to take the initiative in this matter.
When these Chinese families join, firstly, they hope to make good friends with the Li Group and deepen the relationship between the two parties. Secondly, they also want to find a stable investment for their families. Investment in minerals is relatively stable and does not carry too much risk.
Tonight's Baodao Hotel gathered together influential family heads or core family members in Baodao, Xiangjiang, and Japan in Southeast Asia.
Sumitomo Qiying, the head of Japan's Sumitomo family, came to Xiangjiang in person, and Mitsui Nagao, a core member of the Mitsui Foundation, attended on behalf of the Mitsui family.
The heads of the Fujiwara family and the Ito family are currently at the top of Japan's political circles, so those who came were the family's second-in-command, Fujiwara Tomoken and Ito Nobu Makoto.
On the Malaysian side, headed by Kuok Henian, several core members of the consortium including Lin Wutong, Li Shenjing, and Zhong Tingsen came here.
The Singaporean consortium, headed by Khoo Teck Puat, together with Wong Cho Yao, Kwok Fong Fung, Ng Teng Fong, Li Chengwei, as well as Kwok Ling Ming and Huang Zhixiang who are currently in Hong Kong, attended the celebration reception.
Ku Zhenfu, Lin Tingsheng, Wu Shunwen, and Gao Qingyuan from Baodao also rushed over from Taipei to attend this important meeting.
This time, more than a dozen family heads of the Xiangjiang Consortium came to Baodao Hotel in person to attend this special cocktail party.
The Xiangjiang media has always been well-informed, and they are very concerned about this cocktail party. Many reporters are staying at the Peninsula Hotel, hoping to get some exclusive information here.
When Li Guangyu and Cao Weiqing arrived at the Peninsula Hotel, many reporters gathered around and asked Li Guangyu countless questions.
Li Guangyu said: "Thank you for your concern for me and my industries. This cocktail reception tonight is just a gathering for the establishment of the Malandu Iron Ore Development Company. It does not involve other cooperation or agreements, and we will not target it."
Any force or group."
Oriental Daily reporter said: "Li Sheng, according to our information, the shareholders behind the Marandu Iron Ore Development Company have a very good relationship with you. Some people think that the Marandu Iron Ore Development Company is just the beginning of your alliance.
, you will cooperate in more industries in the future to jointly deal with competition from other consortiums and forces. I wonder if this is your plan?"
The key reason why these forces can unite is the Li Group. It is precisely because of the existence of the Li Group that all forces will gather together. Once these powerful companies have mutual holdings, then this will be a huge
Financial group power.
It's a pity that Li Guangyu has no plans to make wedding clothes for others. At present, the Li Group is still far behind the strength of Mitsui and Sumitomo Group. If this is the case, I am afraid that the Li Group will only become a vassal of Mitsui and Sumitomo. Li Guangyu is
This situation is absolutely not allowed to happen.
At present, many forces think that this is an alliance reception for the Eastern Consortium. These families here either have great influence in the world, or they have extremely strong influence in the region. Once these families are truly closely connected,
Together, it is a disaster for many forces and groups.
Rio Tinto and BHP Billiton are particularly concerned about this. This time, these consortia and family cooperation projects are their monopolistic iron ore industry. The Pilbara region has always been regarded as their private territory, but this time Xingyuan Group has
They are very unwilling to break the balance that has existed for more than ten years.
It's just that the forces behind the Marandu Iron Mine this time are too huge, and they don't have many ways to stop it.
The railways and ports, which they have always used as sharp weapons, have no effect on the Marandu Iron Ore Development Company. The other party has made it clear that they want to build it themselves and are not subject to their restrictions.
Looking at the names of the shareholders of the Marandu Iron Ore Development Company and comparing the forces behind them, no matter how powerful the two mining groups are in Australia, they cannot compete with them in terms of financial resources and strength.
There are three world-class consortiums, multiple regional consortiums and families taking shares here, involving multiple countries and forces. They cannot suppress it just by suppressing it.
The only thing that makes them feel relieved is that currently the Xingyuan Group seems to have only explored such a giant iron mine, which does not put too much pressure on them.
What the executives of Rio Tinto and BHP Billiton don't know is that Xingyuan Group is currently exploring the surrounding areas of the Marandu Iron Mine to determine the reserves of the Marandu Iron Ore. These data are beneficial to negotiations between Xingyuan Group and other forces. Currently, there are still a large number of
The area has not been explored.
And Li Guangyu will obviously prepare a huge surprise for the two expansions, especially now that the dust of the Marandu Iron Mine has settled, Xingyuan Group will shift its exploration focus to other places.