Feb 26 China Molybdenum Co Ltd
, which acquired Australia's Northparkes
copper mine last year, expects strong demand from steel mills to
support molybdenum prices in 2014.
The company, making its first offshore foray and into the
copper sector with the Northparkes deal, sees robust demand for
molybdenum from specialised steel producers while output growth
for the metal will be limited, it said in a filing to the
Shanghai stock exchange on Wednesday.
"Demand for molybdenum products should remain strong as the
output of specialised steel and stainless steel will keep
increasing," the statement said.
China Molybdenum, whose Northparkes copper mine purchase
marked the biggest China mining deal in two years, reported net
profit for 2013 at 1.2 billion yuan ($196.7 million), up 11.8
percent from a year earlier, it said in the filing.
The company hopes to widen its global presence with the
acquisition and aimed to look for good assets for future growth,
The announcement came after the China and Hong Kong stock
markets closed on Wednesday.
Shares of China Molybdenum closed down 2.3 percent on the
Hong Kong stock exchange, underperforming a 0.54 percent rise in
the benchmark Hang seng Index.
Its A shares, traded on the Shanghai bourse, finished up 2.5
percent, outpacing a 0.35 percent rise in the benchmark Shanghai