China Sinosteel Begins Trial Output At 80,000-Ton Ferronickel Plant -Association

BEIJING, Apr 20, 2012 (Dow Jones) -- Chinese steelmaker Sinosteel Corp. has begun trial production at a major ferronickel plant at its Sinosteel Binhai industrial base in Hebei province, a report on the China Nonferrous Metals Industry Association's website said Thursday.

The plant will eventually become the largest ferronickel producer in China, the association said, citing Sinosteel Vice President Bai Yuwen. The plant is expected to produce 80,000 metric tons of ferronickel annually in its first phase.

The entire project, slated to eventually produce 400,000 tons of ferronickel and 800,000 tons of stainless steel annually, will cost about CNY18 billion, the association said.

Nickel is mostly used to produce stainless steel.