Asian Metal News
As mandated by local authorities, Xinzhou Tungsten Mining in Gansu has postponed its resumption plans from 10th February to 1st March 2020. The company produced 100 t of scheelite (55% min grade) in January and currently holds 50 t in stock. Its output for December 2019 was 230 t.
The company’s most recent transaction took place in early January, selling 60 t of scheelite (55% min grade) at RMB86,000/t ex-works on cash. At present, with tightening tungsten concentrate supply, miners are bullish about the market outlook, and domestic tungsten prices are likely to edge up slightly next week.
Xinzhou Mining owns a captive tungsten mine with 300 ktpy capacity and tungsten raw ore grade of 1.4% min. The company typically produces tungsten concentrates (55% grade) at its own dressing plant and makes sales to Jiangxi and Hunan.
Xinzhou produced 2,200 t of tungsten concentrates in 2019 and its 2020 output target is the same.
Mainstream tungsten concentrate transaction prices stand at RMB88,000~89,000/t ex-works for cash in Gansu, an increase of RMB2,000/t from last week.
