SHANGHAI, Nov. 24 -- Yue Da Mining Holdings Limited of Hong Kong said, in view of zinc and lead commodity markets declined further, a number of its mines cut and suspend production recently in order to control costs.
The company's said in a statement it has noted that market price of zinc and lead concentrate even dropped below mining and dressing cost of lead and zinc concentrates for times, therefore, as a cost control measure, it decided to cut production at two mines in Yunnan Province and to suspend production at mines in Inner Mongolia and Shaanxi Province.
Yue Da Mining claimed such production cut and suspension are temporary. Although management has been monitoring the impact on their company due to above-mentioned production cut and suspension, they have not decided whether to make impairment up to now. These mines continued prospecting activities.
In addition, in order to catch market opportunities of high-profit iron commodities, on November 21 the Board of Directors of Yue Da had signed a strategic cooperation agreement with Pangang Group International Economic & Trading Corporation Ltd.(PIETC) to supply Pangang Group ordinary iron ore concentrate and high-grade powder.
(Edited by CBI China)