Chapter 324 Cooperation
Before the Municipal Bureau's Economic Investigation Corps finally withdrew the case, Zhou Han was restricted from leaving the country, and Cao Mo had no intention of returning to Africa. He arranged for Chen Feng to bring information from the Gulf of Guinea shipping and mining companies to find Qian Wenhan; the information docking work was done first in the early stage.
In order to promote cooperation with Xinganglian, Cao Mo not only merged the Gulf of Guinea Shipping and Mining Investment and Trade into one company, but also transferred 70% of his personal equity to Tianyue Investment, but also hired a third-party accounting firm to audit the assets and businesses of Gulf of Guinea Shipping and Mining Companies.
All materials are quite complete. The third-party accounting firm hired by Xinganglian is also well-known in Xinhai. It mainly serves listed companies. Its reputation and professionalism are worthy of guarantee.
Qian Wenhan agreed with Cao Mo to travel to Africa, but the focus of his inspection will not fall on the shipping and mining companies in the Gulf of Guinea. He personally mainly wants to experience the current overall investment and development environment in Africa.
Regarding the cooperation negotiation and risk assessment of specific projects, his Sun Hung Investment’s own professional team is responsible for it.
After preliminary research on the materials, Qian Wenhan also sent someone to join Chen Feng to Kanem to inspect the business operations of the Gulf of Guinea shipping and mining companies; Xinhai Jinye also sent people to Akwa first to negotiate exploration business cooperation.
It was not until early August that the Municipal Bureau Economic Investigation Corps officially canceled the investigation of the Taihua commercial bill fraud case, and Zhou Han got his passport back, and the matter was settled.
After a brief transaction, Xinganglian suspended trading again in early August to discuss the fourth equity split reform plan, but the stock price was still suppressed at a low point.
Muxiang Capital initially invested 20 million yuan and had a floating profit of 5 million yuan, but no one could predict how long will the suspension of Xinganglian be delayed, and whether Xinganglian can come up with a reform plan for equity split that truly meets the needs of multiple parties and has been approved. No one can predict how long this bull market will last.
Therefore, the floating profit of three to five million is meaningless. Cao Mo is more concerned about raising the price of Yu Jinjie and Han Shaorong as much as possible for people to acquire state-owned shares, which is too irritating and disgusting them.
After "5.30", the securities market experienced a deep adjustment of one and a half months. It started a violent rise again in mid-to-late July, and reached a new high after just two weeks of trading days. Muxiang Capital still has more than 20 million yuan in its hands, and it has achieved even more profits during this period. The key is that it can still cash in profits at any time.
Of course, Cao Mo did not have the energy to pay attention to these things; he was not even in a hurry to bring Jiaying to know Ge Jun.
No matter what, Jiaying is still a beginner. No matter how high her understanding is, she is more tragic in this fight and involves a more complex field of knowledge. In Cao Mo's opinion, she is not qualified to have a direct conversation with a person like Ge Jun for the time being.
We still need to give Jiaying more time to explore and grow independently.
Xinganglian used the acquisition of the newly registered joint venture company of Catero Steel Plant. In addition to the 30% stake in Huamao Investment and 10% stake in Taihua Group, it eventually included 10% stake in Liang Yuan personally. The management team of the joint venture was entirely formed by Xinganglian. In early August, it also officially signed a total of US$150 million acquisition and capital increase agreement with the Oyo State government. These people were eventually similar and brought together.
The scale of the cooperation agreement signed by Cao Mo and Xinhai Jinye in early August is somewhat unremarkable. The cooperation between the two parties is mainly the operation contracting of four 400-meter-deep exploration wells on the east bank of the Wusang River and the cooperation on the C2-level reserve assessment of the mining area, with a total amount of only US$3 million.
Moreover, this is the amount that Yibogu Mining Group has to pay to Xinhai Jinye Geological Mineral Exploration Institute, and the transfer of exploration rights will not be involved for the time being.
Cao Mo finally decided to rent a warehouse on the east bank of Zhiyun Lake and transform it into the headquarters of Tianyue Investment.
The total office area of less than 7,000 square meters is planned to be invested in 20 million yuan of renovation funds, and it can be put into use by the end of the year.
Cao Mo was no longer so short of money at this time.
After four months of continuous construction and rectification, the Beiku Cement Plant and Xintaihua Grinding Station were officially put into operation in July. The production capacity of Conero Cement officially exceeded 2 million tons, becoming the largest cement producer in the western coastal area of Kanem.
A considerable part of the new production capacity of Conelo cement is sold to Benin and Akwa, which does not impact the finished cement market in Kanem, especially Draculamo and the surrounding coastal areas, and still maintains a very pleasant profit margin.
Yibogu Mining completed construction in early June two rock gold mining areas invested and built in Yibogu and Augata. After the merger of the Strutue Gold Company's Nai's mine in Benin, the monthly gold output of Yibogu Mining increased to 30,000 ounces.
After more than half a year of adjustment, international gold prices returned to the range of 650 to 700 US dollars per ounce in early June. Yibogu Mining has made a profit of 20 to 3 million US dollars per month, and has survived the most difficult period.
Cao Mo's four or five-month-old fund pool has recovered now, so he naturally needs to be a little more prosperous in the construction of the domestic parent company headquarters.
Tianyue Industrial’s design and development center has produced two engineering prototypes, which is the most critical first step from the design of the Cad drawings, but this is only the first step. There are a lot of tests and adjustment work to be done. After the first complete model is produced, the subsequent mass organization of production will also take a process.
Production can make full use of the domestic motorcycle industry chain that has already matured for OEM, and there is no need to use a lot of funds to build production bases. At present, the net profit of the West African motorcycle market of up to 15 million per month is enough to support the current product development.
Xu Bin and Huang Yijiang even intend to make more technical reserves, and Xu Bin is mainly discussing OEM production with Huachen Industry.
Huachen Industrial's stock price performance in recent years
It is quite eye-catching. After the full circulation plan for state-owned legal person shares was approved, the stock price rose more than tripled, but the main business operation was in a very tragic way.
Pickup trucks are included in the management of freight vehicles in China, and the traffic on urban roads is strictly restricted. There is almost no sales in China. At present, it is mainly supported by the limited sales of more than 10,000 vehicles per year in overseas markets. However, small SUV cars developed based on pickup truck chassis have frequent quality doors and cannot generate sales.
The domestic mid- and low-end motorcycle market continues to shrink, resulting in fierce market competition and overseas markets are a little more eye-catching, but the contribution of hundreds of millions of profits in the first half of the year cannot make up for the black hole generated by domestic losses.
Of course, Huachen Industry has accumulated a solid foundation in its early years, and its main business has suffered losses every year. However, in the past few years, it has made great achievements in the development of real estate and commercial buildings and some industrial equity investments. At this time, the lean camel is still bigger than a horse.
It is no wonder that Huachen Industrial's senior management is increasingly despising the investment in product development of the main business and focusing on the management of side businesses.
Cao Mo's mentality is not in a hurry.
It will be a long-term process to invest in the construction of a capacity scale that is suitable for reserves. The amount of funds required is also extremely large. Currently, more than 100 million US dollars are invested, and only some foundational work can be done.
Even though Qian Wenhan and Xinhai Jinye showed an urgent desire to cooperate, Cao Mo was still not in a hurry.
It’s not that he doesn’t want to cooperate, but that there is really no way to negotiate a price code at this stage.
For example, Cao Mo accepted the capital injection for the Wusanghe copper and gold mine project alone, and promised Qian Wenhan and Xinhai Gold Industry to inject 300 million US dollars and take away 30% of the shares. What are they willing to do?
If you cannot reach an agreement, then don’t talk for the time being. If you are too anxious, it will easily hurt your feelings and destroy the foundation for future cooperation.
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In mid-August, Xinhai is the hottest season of the year, and the sun is scorching for several consecutive days.
When Zhou Shenhe also handled the domestic affairs and completed the procedures for going abroad, Cao Mo and Shen Ji accompanied Qian Wenhan, Zhou Shenhe and others on their journey to West Africa.
It was also a technician of Xinhai Jinye Geological Mineral Exploration Institute. After taking advantage of the opportunity of cooperation negotiations to inspect the Drake area for a month, Zhou Shenhe finally decided to accompany Qian Wenhan on this trip in person.
The technicians of Xinhai Jinye communicated with Amududi in person and also explored and studied the existing exploration results on the east bank of the Wusang River. A batch of ore samples were sent back to China for analysis, and there was a high possibility that the overall mineralization of porphyria was extremely popular.
In addition to the possible super copper and gold mines in the eastern part of the Usang River, the Drake area and other areas of Akwa are also extremely rich in gold resources. Yibogu Mining also took over two additional gold mines in Akwa in Akwa.
Both gold mines are deep rock gold mines with high mining costs. The proven reserves are three million ounces, with a gold grade of about 2 grams per ton, which is not a good mine. However, Zhou Shenhe believes that with the development of the electronic information industry and the increasing international disputes, gold will have a sharp rise.
Xinhai Gold Industry has expanded rapidly in recent years, increasing its overseas mining search and acquisition forces, which is also based on the cognitive foundation of him and other management and many shareholders of Xinhai Gold Industry.
At present, the profit margins of the five gold mines in Yibogu Mining are not high, but as long as a new round of gold market can come in time, the profit scale will grow rapidly while the production capacity remains unchanged.
The cooperation on the Wusanghe copper and gold mine project cannot be discussed in depth for the time being, but Zhou Shenhe believes that it can still be discussed for gold mine projects with quite clear reserves.
The long-term turnaround is exhausting, but the freshness of coming to the foreign land is still called Qian Wenhan, Zhou Shenhe and his accompanying staff feel quite excited.
Draculamo has a modern and fashionable and prosperous side, mainly concentrated in Salt Lake Island, Victoria Island and Ikoyi Island, while the three island areas are filled with unimaginable chaos and poverty in the country.
Cao Mo and the others did not stay in Dracula, but met with the consulate officials and drove directly to the Conairo Lake Industrial Park.
After more than two years of construction, the Conairo Lake Industrial Park and the Taihua Industrial Park on the south bank are far from comparable to the emerging industrial towns in China, but it can also be said to have begun to take shape.
In addition to the main production capacity of Conelo Cement and the new refinery of Yibogu Mining, Tianyue Industrial Assembly Factory is located along the coast of Conelo Lake, several construction parts of the Taihua project have also come to an end. The installation and commissioning of production line equipment is currently underway.
In addition, hundreds of small and medium-sized processing enterprises have settled in two industrial parks.
More than 80% of these small and medium-sized processing enterprises are Chinese-funded enterprises, business owners, domestic management and Chinese employees, and there are already thousands of people, which is the most densely populated area in West Africa.
No one would trust what Cao Mo has done in Kanem in the past few years. Only by coming to the Konelo Lake Industrial Park can you have a personal experience.
Although the investment scale of Taihua Industrial Park is not smaller than that of the North Bank, Taihua senior executives such as Lu Jianchao, Lu Yan, Huang Hebin abandoned the dispatched employees, causing the dispatched employees to be siegeed by gangsters, which was ultimately Cao Mo to rescue the siege. Among the Chinese business groups in Kanem, Taihua will always be a bad deed that Taihua cannot erase.
Even though Ma Bin, who was disliked by Cao Mo in the early days, decided to invest in building a wood processing factory in Kanem, he finally chose to settle in the Konairo Lake Industrial Park.
The first phase of the Chinese community, which can accommodate only more than 800 people, was built on the north side of the Hubin Yashe Hotel and has been rented out long ago. Although Taihua Industrial Park also has a supporting living area, nearly half of the Chinese businessmen and dispatched employees who entered Taihua Industrial Park in the early days would rather travel eight or nine kilometers a day, and they all chose to live in the Chinese community here.
In the Konelo Lake Industrial Park, in addition to contacting Chinese merchants in Kanem, Cao Mo also made a special trip to the North Bank of 10,000 tons.
The head's completion ceremony held a completion ceremony, and invited Niz Oppenheimer, Rupert, Brahm, Blake, Ochosan, Sanchez and others.
This makes it easier for Qian Wenhan, Zhou Shenhe and others to meet with them.
Niz Oppenheimer finally chose neutrality, and Cao Mo pretended not to see what he had secretly joined forces with the Lu family to plan, and the two sides maintained a superficial harmony.
After staying in Longta for three days, he rushed to Podonov, Benin, to visit the Augata Plantation under development there and the Augata Mine Area that has just been built and put into production on the first phase.
Yibogu Mining has acquired a total of 1,000 square kilometers of gold prospecting rights in Oguta. Its current proven reserves are 900,000 ounces, and the C2 reserves are estimated to reach 5 million ounces. The potential is much greater than the Yibogu gold mine, which is almost the sum of the reserves of the three gold mines, the Fane River, the Emerald Mountain and the Naier.
Currently, the mining area investment is only 20 million US dollars, and the mining scale is seriously insufficient. It will be necessary to increase the investment to 40 to 60 million US dollars to better utilize the benefits of the Augusta Gold Mine.
The Nai'a mining area in Benin still needs tens of millions of dollars in funds to renew machinery and equipment. The two gold mines located in the Fane River in the Akwamanba area and the Emerald Mountains in the Marina Province, Yibogu Mining has just obtained the mining rights from the Akwa authorities, and has temporarily used only a small amount of funds to do preliminary preparations.
At present, Cao Mo's capital pool has begun to recover, but he wants to confirm the plate he has occupied in recent years and then convert it into profits continuously. He is still short of funds, let alone the bottomless pit of Wusanghe copper and gold mine.
The last stop of the inspection was Drake. The exploration team of Xinhai Jinye has entered the site and is preparing to start the exploration of C2 reserve assessment.
The construction here is very fast. The main body of the small hydropower station, the new freight station, and the infrastructure of the ore treatment site in the upper reaches of the Wusang River have been completed or nearing completion. Next, various mechanical facilities are introduced, installation and commissioning, and employee recruitment and training.
Cao Mo's goal is to conduct trial production before the New Year.
In order to save transportation costs, copper concentrate will be transferred to Dracula Port for transit. If everything goes well, after the Spring Festival next year, the first ship of copper concentrate can be transported to the copper smelter acquired by Xinhai Gold Mine in western Zhejiang for refining.
There is no difficulty for both parties to sign such a supply agreement.
The pricing mechanism of copper concentrate is transparent. There are more than 100 large and medium-sized copper smelters around the world, and more than half of them have to purchase ore globally. If Cao Mo had not thought about reducing the cost as much as possible, he could transport the mined copper concentrate to Peimei Port and sell it to the influx of ore traders.
Even as new smelters are constantly put into production and construction and the global supply of copper concentrate is tight, he is waiting for traders to come to Drake, without any problem.
In fact, to truly minimize transportation costs and enjoy tax incentives from the Akwa authorities on industrial product exports, Cao Mo should directly build a copper smelter in Drake and go to sea after producing anode copper (coarse copper). But the key is that Cao Mo has far less funds in his hands...
The last stop of this trip was naturally Peimei. In the early stage, staff from Xinhai Jinye and Xinhong Investment have already come to do a lot of work. Qian Wenhan and Zhou Shenhe took this trip in person, and the wishes of both sides were almost clear.
Qian Wenhan hopes that Cao Mo will lend him $30 million to the Gulf of Guinea Shipping and Mining Company and directly inject capital, and then Sun Hung Investment, under his name, acquires 35% of the shares of Gulf of Guinea Shipping and Mining Company from Tianyue Investment.
The advantage of doing this is that transactions can be completed at home, saving you the cumbersome procedures for cross-border capital flows and foreign capital investment approval.
The purchase price offered by Qian Wenhan is even slightly higher than the agreement originally proposed with Xingang League.
Zhou Shenhe now knows why Cao Mo's cooperation in the Wusanghe copper and gold mine project is vague.
He does not expect to reach a cooperation agreement on this project at this stage. For both parties, the uncertainty is too great. At least it will take until the results of the C2 reserve assessment are released after the New Year before there is a foundation for the negotiation. If you want to cooperate, you will select one or two projects from several gold mines under Yibogu Mining.
After considering it, Cao Mo decided to transfer the Fane River gold mine project located in Mangba area directly to Xinhai Jinye.
But it is not that the Fane River gold mine project, which has 800,000 ounces of gold reserves, is not fragrant, or has other uncontrollable factors.
Cao Mo mainly considers that if Zhou Shenhe is more optimistic about the Augusta Gold Mine Project, Xinhai Gold Industry will be more inclined to regard it as a financial investment in the short term.
This is not what Cao Mo needs to see.
Cao Mo hopes that Xinhai Gold Industry will directly intervene in West Africa. He is particularly looking forward to Xinhai Gold Industry to develop the Farne River gold mine separately so that Xinhai Gold Industry can establish close contacts with Akwa's local forces outside them, and they can penetrate Akwa's stronger influence.
In addition, the Fane River gold mine is located in the Mangba area, and the target Mangba iron mine, which is finally in the Xinhai Gold Industry, is located in the same area. At present, only if Xinhai Gold Industry strongly intervenes, will the pressure Cao Mo faces will be slightly lighter.
Cao Mo was not worried that Zhou Shenhe would wear a pair of pants with Yu Jinjie, Han Shaorong and others one day.
In addition to the grudges between Ge Jun and Han Shaorong, Zhou Shenhe, Qian Wenhan and Han Shaorong also had a deep holiday.
As the helmsman of Xinhai Gold Industry, Zhou Shenhe only holds 3% of the shares. Han Shaorong once regarded Xinhai Gold Industry as a new prey in Zhulu's securities market. In order to facilitate the internal and external control of Xinhai Gold Industry's stock price, he once used means to move Zhou Shenhe from the position of chairman of Xinhai Gold Industry.
Finally, Qian Wenhan joined forces with other natural person shareholders to put pressure on the Shangyu District Government, so that Han Shaorong's plan did not succeed, but the grudges were aggrieved...
Chapter completed!