SHANGHAI Feb 18 Western Mining (601168.SS),
China's fourth-largest zinc miner, said on Monday it will buy
zinc and indium ingots worth 93 million yuan ($13 million) from a
zinc smelter in western China's Qinghai province.
Western Mining would buy 3,800 tonnes of zinc ingot and 5,618
kilograms of indium ingot from Qinghai Summit Zinc Co, a
subsidiary of Shanghai-listed Tibet Summit Industry Co Ltd
Western Mining said its zinc stocks at its Shanghai branch
had been low due to strong demand in the market, and the purchase
would guarantee the company held enough supplies to satisfy its
Power outages in the central province of Hunan triggered by
freak snow last month had forced China's top zinc smelter, Zhuye,
to shut all production for a week. [ID:nSHA307554]
Western Mining had agreed to buy zinc ingot for 19,650 yuan
per tonne, and indium ingot for 3,300 yuan per kilogram,
according to the company's statement.
Western Mining said the indium it purchased would be
profitable in the future since the domestic prices had fallen by
almost half from a year earlier to below production costs.
(Reporting by Rujun Shen; editing by Anne Marie Roantree)