"Mr. Xia, let me introduce to you. This is Director Chen Liyan of the Rare Earth Office of the Ministry of Metallurgical Industry."

"Director Chen, this is Mr. Xia."

"Mr. Xia, I have admired your name for a long time, and now I am finally honored to meet you."

"Hello, Director Chen, it's an honor to meet you!"

…

Sun Yucai acted as the intermediary and introduced both parties. Xia Yu shook hands with Chen Liyan and exchanged greetings.

In terms of posture, it was obvious that Chen Liyan lowered his attitude and gave Xia Yu enough respect.

After both parties sat down, Sun Yucai said to Xia Yu straight to the point: "Mr. Xia, regarding your previous proposal, I have already reported it to the province, and the province will report it to the higher authorities. Director Chen will tell you the specific situation.

Talked."

Chen Liyan immediately took over the conversation: "Yes, Mr. Xia, this matter is not something that can only be decided by our Rare Earth Office and the Ministry of Metallurgical Industry. It has also been discussed at the top. The above means that we agree on the general direction, but

The details need to be discussed clearly.”

"That's for sure. Brothers must settle their accounts clearly. Everything must be explained clearly at the beginning so as not to create hidden dangers later on."

Xia Yu smiled and nodded.

Chen Liyan smiled and said: "Mr. Xia, then I will speak frankly!"

"Remember everything clearly."

After reminding the subordinates he brought, he stopped his smile, sat up straight, and said in a neither humble nor arrogant tone: "Mr.

million tons, and the light rare earth reserves are 680,000 tons.”

"We have 13 rare earth mining licenses, belonging to 13 rare earth companies respectively. Eight of these companies are under the jurisdiction of our Ministry of Metallurgy, and five are controlled by the local government."

"These companies can be integrated into one company, and the government will no longer issue rare earth mining licenses to the second company, and will make every effort to crack down on private mining and smuggling."

"The value of these mines has been urgently assessed above. Here is the detailed and summary of the assessed value. You can take a look."

With that said, Chen Liyan took out a document and handed it to Xia Yu.

Xia Yu nodded slightly, took it and looked at it quickly.

The document contained quite a lot of content, and he skipped a lot of it, focusing on the various mines, company names, reserves and values, while other introductions were swept through.

He was from Qianzhou City in his previous life, so of course he knew how much rare earth reserves Qianzhou City had. Now the proven reserves of heavy rare earths are only 49,000 tons, and the reserves of light rare earths are 680,000 tons. Where are they?

Not to mention the lower value light rare earths, which are mainly used for civilian use, the proven reserves of strategic heavy rare earths alone are about 470,000 tons, and the prospective reserves are as high as more than 9.4 million tons!

Only 49,000 tons have been discovered now!

A few minutes later, Xia Yu's eyes were fixed on the total estimated price at the end.

428.54 million yuan!

According to the current official exchange rate of 1 U.S. dollar to RMB 1.9573 yuan, the value is only 219 million U.S. dollars!

Perhaps this is a great fortune for Qianzhou City.

But to Xia Yu, it’s just cabbage price!

However, considering the current situation in mainland China and the purchasing power of money, this assessment value is relatively fair.

Thinking about it, mainland China has evaluated itself and cannot lower its own value.

"This evaluation form is fair and I have no objection."

Xia Yu closed the material and said with a smile.

Chen Liyan showed a smile and then continued: "Mr. Xia, this is the value assessment of the mine. This is the current value."

"But due to technical reasons, the currently proven reserves are definitely not the peak. We have reason to believe that there are still rich rare earth mineral deposits buried underground in Qianzhou City."

“In addition, if these mines and companies are integrated together, it will involve franchise rights, potential mineral deposit value and the value enhancement behind them.”

"So according to the meaning above, our cooperation in this area is definitely not calculated based on the current value of the mine and the company. It also needs to be fully combined with other factors."

Xia Yu nodded in understanding and said, "That's for sure. I can accept it. Director Chen, just tell me, what is the price for the integrated company and how can we cooperate?"

After receiving Xia Yu's support, Chen Liyan was convinced. After pondering for a moment, he slowly said: "Mr.

The value is set at RMB 800 million.”

After saying that, Chen Liyan looked at Xia Yu closely.

"Eight hundred million?"

Xia Yu was greatly surprised that the price was actually 800 million yuan!

"Yes, that's what the higher-ups have determined."

Chen Liyan nodded and confirmed.

Sun Yucai on the side also stared at Xia Yu, and his hands unconsciously clenched into fists.

He and Chen Liyan had already discussed the above decision before coming, and he was not sure whether Xia Yu would have any objection to the price.

He is obviously concerned about chaos. He really wants to find a good way out for Qianzhou City...

Opinion?

Xia Yu definitely has no objection!

This price is not high, but low!

too low!

There is no need to consider the reserves that will be explored in the future. Just by integrating all the current mines and companies and obtaining exclusive rights, he can double the export price of rare earth ores with a simple operation.

As a result, the value of the mine, which is currently estimated at more than 400 million yuan, has soon doubled to more than 800 million yuan?

What’s more important is the future!

The purchasing power of money is not constant, and the quantity of mineral deposits will gradually be discovered.

If the separation technology is developed and reaches the international advanced level, the 99.8% purity mixed metal rare earth ingot extracted from the ordinary rare earth ore worth more than 400 US dollars per ton will be sold for as high as 160,000 US dollars per ton.

The highest rare earth powder, thulium powder, costs as much as 7.5 million US dollars per ton!

So in the final analysis, technology is the primary productive force. Whether rare earths are sold at cabbage prices or gold prices, the key depends on technical strength.

As long as Mainland China and Xia Yu can cooperate and gradually achieve results, it will be a win-win situation for both parties.

"Director Chen, I have no objection. I can completely accept this price."

Xia Yu smiled, nodded, and said softly.

When Sun Yucai heard this, his nervousness disappeared, and a smile appeared on his face unconsciously.

Chen Liyan is also very happy, this is a good start.

He continued: "Mr. Xia, the price is no problem, then let's talk about other details of cooperation."

…

Afterwards, the atmosphere of the negotiations between Xia Yu and Chen Liyan was very good. Chen Liyan had already been informed of the bottom line by his superiors and was told that he did not have much autonomy.

Therefore, the negotiation with Xia Yu is not so much negotiation as communication.

As for the most critical equity, the above means that the established Qianzhou Rare Earth Group can transfer 40% of the equity to Xia Yu, and the remaining 60% of the equity will be owned by the Qianzhou Municipal Government and the Ministry of Metallurgical Industry Rare Earth

It is jointly held by the Ministry of Metallurgical Industry and the Qianzhou Municipal Government, with 41% and 19% respectively.

As for taxes, the Qianzhou City Government can withhold 60% and hand over the remaining 40%.

Of course, during the negotiation, taking into account the particularity of state-owned enterprises and in order not to be interfered with, Xia Yu made a request, that is, the personnel appointment rights of the parent company of Qianzhou Rare Earth Group should be owned by the official.

However, Qianzhou Rare Earth Group must realize the "dual-link, full coverage" separation of rare earth mining and smelting.

All rare earth mining resources are concentrated in Qianzhou Rare Earth Mining Co., Ltd., which is responsible for the exploration and mining of rare earth resources.

Qianzhou Rare Earth Development Co., Ltd. is responsible for the industrial chain of smelting, processing, trade, R&D and application.

Although both companies belong to the Qianzhou Rare Earth Group, they are governed separately.

The employees of Qianzhou Rare Earth Mining Co., Ltd. are all former employees of major mines. The company's personnel appointment and management are entirely the responsibility of the official. Xia Yu can send people to supervise to prevent corruption and other phenomena.

As for Qianzhou Rare Earth Development Co., Ltd., Xia Yu is responsible for personnel appointment and management, and the official can send people to supervise it.

Although the two companies are divided, especially Qianzhou Rare Earth Development Co., Ltd., which is still managed by Xia Yu, and has a strong capital atmosphere, there is one thing that must be followed.

That is to put the country's strategic interests first. If there are special circumstances, Qianzhou Rare Earth Group must implement the country's instructions.

Xia Yu had no objection to this last request.

Because Xia Yu can hold 40% of the shares, based on the original valuation of 800 million yuan, he needs to inject 533.34 million yuan of funds, of which 400 million needs to be converted into equivalent US dollars.

After everything is settled, you have to report to the superior.

After Chen Liyan's report, he waited until the decision was made the next day before signing the agreement with Xia Yu.

"Pa bang bang..."

In a conference room of the Guangdong Provincial Government, under the witness of Liu Zhongfei, Sun Yucai and others, Xia Yu and Chen Liyan signed an agreement, followed by warm applause in the conference room.
To be continued...