World's Largest Tungsten Mine Discovery Lifts Shares

BEIJING, Jun. 6 -- Shares of China's tungsten companies surged on Wednesday after a revelation the previous day that the world's largest tungsten mine had been found in east China's Jiangxi province.

An 18-month prospection project uncovered a tungsten mine with 1.06 million tonnes of confirmed reserves in Jiangxi's Jiujiang city, according to a statement posted on the website of the Ministry of Land and Resources on Tuesday.

The mine is expected to have a potential value of over 300 billion yuan (47.6 billion U.S. dollars), the ministry said.

Boosted by the news, shares in Chongyi Zhangyuan Tungsten Co. soared by the daily 10-percent limit to 33.39 yuan (5.27 U.S. dollars) at midday on Wednesday. Minmetals Development Co. gained 4.35 percent to 26.36 yuan while Chenzhou Mining Group Co. added 3.35 percent to 20.69 yuan.

However, shares in Xiamen Tungsten Co., which is reportedly one of the investors in the prospecting work for the large tungsten mine and now the world's biggest tungsten smelting company, suspended trading on Wednesday. The company said it has to clarify some media reports without elaboration. It had been reported that the company, as an investor for the prospection project, will have its resource self-sufficiency boosted with the mine's operation.