Jinchuan Group May List Cobalt Unit, Chairman Says (Update1)

March 7 (Bloomberg) -- Jinchuan Group Co., Asia's biggest nickel producer, may list its cobalt or other units in Shanghai, Chairman Yang Zhiqiang said today while attending parliamentary meetings in Beijing.

"Not nickel. Maybe cobalt," Yang said, referring to the units. "We may finish preparatory work within the year" and are looking for underwriters, he said.

The Gansu Province-based company wants to "expand scale and reduce costs" to increase competitiveness as the impact from the global financial crisis and recession grows, the state- owned company said on Jan. 5.

Jinchuan would consider an overseas acquisition if the opportunity presented itself, Yang said. The company has no acquisitions scheduled, he said.

The company plans to start nickel exploration in Tanzania in the first half of the year, he said. The company will invest with Tanzanian Royalty Exploration Corp. to develop nickel assets in northwestern Tanzania, according to an announcement from the Canadian company in January.

Reports saying Jinchuan will build a nickel and copper project in the southern province of Guangxi are "not accurate," Yang said without identifying the media that reported the news.