Guangsheng Group First Withdrew &Nbsp; Tibet'S Confidence In Development.

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Moreover, in view of the quality problems of rare earth deposits in Dechang continental trough, many people in the rare earths in Xichang and domestic rare earth experts also gave different views.

This makes Tibet's prospect of investing in rare earths more confusing.

Reporter experience: Mining Road uneven

Because of the development of a paper Investment Notice in Tibet, the rare earth deposit in the mainland of Dechang, Xichang, Sichuan Province, became famous overnight.

Many investors rely on the attractive words in the announcement to see the sale as a "Golden Mountain" in the development of Tibet.

However, the actual situation may not be so simple.

It is rather difficult to see the true face of Mount Lu in the mine.

The evaluation report on the mining rights of the Dechang continental trough rare earth mine, Xichang Zhi Neng Industrial Co., Ltd. (hereinafter referred to as the "Continental trough evaluation report") describes the following: "the mine road to 37km is mine road, the tar road from 31km to Dechang Town, Dechang County town to Xichang 65km (108 National Road), and convenient pportation."

"In fact, traffic from mines to rural areas is quite inconvenient."

A rare earth colleague who had personally inspected the mine told reporters that a truck loaded with rare earth concentrate (about 10 tons) would take 6~7 hours from the mine to the bottom of the mountain, and then arrive at the county seat in Dechang more than an hour later.

In the morning of March 29th, the reporter started from Dechang County town and arrived in Dechang County, county, 1.5 hours by bus.

Several of the drivers immediately gathered around and heard that reporters were going to go to the mine, and they dispersed their heads repeatedly.

"37 kilometers of mine roads were badly deformed by freight cars, and it was hard to see people on the road."

A local more than 30 year old driver, who had repeatedly bargaining, promised to send reporters to the mine. But he asked to go down before 4 p.m., or he could only stay in the mountains for the night.

Although the mountain temperature was around 17 degrees Celsius, the driver of the motorcycle was wearing heavy clothes, gloves and glasses, and bumped all the way. After nearly 3 hours of trouble, he arrived at the continental trough rare earth mine at 1 p.m.

A more than 10 meter high ore dump is at the gate of Dechang Zhi Neng rare earth Co., Ltd. (hereinafter referred to as Dechang Zhi Neng) concentrator.

Many workers said that because the surrounding power grid was overhauled, the entire mining area was cut off and all the concentrators were shut down.

Reporters at the scene, Dechang Zhi Neng concentrator built on the mountain, along the gradient of the hill built 3 levels of ore dressing workshop.

The whole workshop was silent, and only the lorry pporting the raw ore continued to dump the ore into the mine.

Hundreds of meters away, the mine has been cut to pieces. A dug is loading the ore into the truck.

"Liu boss rarely goes to mines. At present, it is mainly a director of the Liu family who works on the mine."

A worker at a concentrator told reporters that the mine had been replaced by several bosses, with relatively tight funds and intermittent production.

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There is a big controversy over the recovery rate of mineral processing.

It is such a rare earth mineral resource hidden in the deep mountains. It was once installed in the intelligent rare earth Polytron Technologies Inc of Sichuan 5 years ago (hereinafter referred to as Sichuan intelligent rare earth). It wants to get listed capital in the US capital market, and the result is blocked out for various reasons. A large number of natural shareholders are deep in it. So far, they are still trying to talk to Liu Guohui through various ways.

Today, Liu Guohui has introduced the 200 million yuan of Tibet development funds to open up mines, so that the capital market is once again boiling hot.

"This is speculation."

In March 29th, the head of a large scale rare earth production enterprise in Sichuan said, "no matter the taste or scale, Mianning's rare earth ore is better than Dechang."

He stressed that rare earth is a restrictive mining mineral, not that how much the enterprise wants to dig, how much it can be used to predict the economic value of the existing production scale and ore grade. It can only be used as a reference, and the actual situation is likely to be quite different.

Geological data show that the reserves of rare earth resources in Mianning County of Sichuan province ranks second in the country. Among them, the size of the deposit is about 90% of the total rare earth minerals in Sichuan, and the total ore volume is 57 million 353 thousand and 900 tons. The main industrial ore is also barecerium ore, with an average grade of REO (rare earth oxide) of 1.07% to 5.77%.

The average REO grade of the Dechang continental trough rare earth ore is about 3%, and the grade of some ore deposits is more than 5%.

A senior member of the local rare earth group said that in comparison, the rare earth minerals in Mianning are coarser than those in Dechang, and the cost of rare earth extraction in Dechang is higher than that in Mianning.

It is understood that as early as the integration of rare earth resources began in Sichuan, the copper group carried out research on the rare earth minerals in Sichuan and eventually participated in the integration of rare earth minerals in Mianning.

The rare earth mines in Dechang county are integrated by Xichang Zhi Neng Industrial Co., Ltd. (hereinafter referred to as Zhi Neng industry) and Sichuan Han Xin mining development Co., Ltd. (hereinafter referred to as Han Xin mining).

The so-called Dechang trough rare earth ore is mainly composed of two industrial orebodies. Zhi Neng industry owns the mining rights of No. 3 orebody. The mining right of No. 1 ore body is all Han Xin mining industry.

"The rare earth ore in Sichuan is mainly distributed in Mianning and Dechang."

In March 30th, a senior engineer from the 281 brigade of Sichuan Nuclear Industry Geology Bureau told reporters whether the mineral grade or the scale of mineral resources can not compare with the rare earth ore in Mianning in Dechang.

This statement has been recognized by many people in Sichuan's rare earth mining industry.

However, the evaluation report of the continental trough says that the ore grade (REO) is generally between 1% and 15.32%, and the average grade is 5.21%.

Also controversial is the recovery rate of mineral processing.

On June 8, 2010 ~10, held in Beijing, the Symposium on "efficient clean extraction and recycling of rare earth resources in China" was held at the Symposium on the high efficiency clean extraction and recycling of rare earth resources in China. Huang Xiaowei, a professor at the National Engineering Research Center of Rare Earth Materials Research Institute of Beijing Nonferrous Metals Research Institute, pointed out that with the rapid growth of China's rare earth industry, extensive mining methods, low utilization rate of resources and environmental pollution have become increasingly prominent. In particular, the recovery rate of Sichuan Dechang rare earth ore is less than 30%.

"I am just talking about the information I have from the perspective of technology and industry."

In March 31st, Huang Xiaowei said in an interview with reporters that some geological and mineral research departments in Chengdu had conducted many batches of research on the Dechang continental trough rare earth ore. "The recovery rate of ore dressing is less than 30%, which is supported by research."

However, local enterprises do not agree with this view.

A person in charge of the company who did not want to be named told reporters that according to their gravity and magnetic method, the recovery rate can reach about 47%. If the flotation process is added, the final ore dressing recovery rate can reach 60%~70%.

And Chi Neng industry quoted the Experimental Research Report on mineral processing of Dechang continental trough rare earth ore, which was made by Kunming University of Science and Technology in November 2004. The recovery rate of ore dressing after different process tests is higher than 30%.

The assessment unit Sichuan Licheng mining assessment consulting Co., Ltd. (hereinafter referred to as Cheng Cheng assessment) concluded that because the ore dressing technology is backward, the recovery rate of Zhi Neng industry can only reach 40%~45% at present.

"We evaluated it on the basis of information provided by Zhi Neng."

Cheng Cheng assessment chairman Guan Shiping told reporters, because Zhi Neng industry has told them not to accept media interviews, the specific ore dressing rate need to ask Zhi Neng industry.

Reporters then called Liu Guohui and the head of the mine several times, but their phones had been shut down.

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Guangsheng group withdraws less than a year's investment.

In Xichang, many local rare earth mining circles seem to be surprised to assess the value of mining rights assessed by the company by 630 million yuan.

"Due to the restriction of rare earth mining and the exploitation of foreign rare earth mines, it is difficult to predict the future price trend and policy changes of rare earths."

A former mining industry close to Liu Guohui in Sichuan pointed out that the prediction of the production scale and sales price of the former Zhi Neng industry can only be used as a reference.

According to the general plan for mineral resources (2008~2015) of Liangshan Prefecture, Sichuan Province, in 2010 and 2015, the extraction amount of rare-earth oxide in Dechang County of Liangshan was 5000 tons and 7000 tons respectively, while the amount of rare earth oxide in Corning county was 15 thousand tons and 17 thousand tons respectively.

In any case, in Xichang, the news of Tibet's joint development to develop the rare earth deposits in the continental trough has become the focus of the industry.

"Zhi Neng industry has changed several bosses, but it is surprising that they have found joint development in Tibet."

A head of a rare earth enterprise in Xichang said that the rare earth shares in the continental trough and two hot rare earth shares in the capital market are related to Tibet development and Guangsheng nonferrous metals.

Reporter survey has learned that as early as last August, the capital market once heard rumors that there is a strong desire for annexation of the continental trough rare earth mine. From September 8, 2010 onwards, Guangsheng nonferrous share price began to soar. From September 21st to the next 20 trading days, the share price rose from the lowest 40 yuan / share to the highest 101.37 yuan / share.

"In fact, as early as last March, Guangsheng group has sent working groups to intervene in the rare earth deposits in the continental trough."

A person close to the acquisition said that the executives stationed by Guang Sheng group had informed the group that at that time, it decided to invest millions of yuan in technical pformation to improve the recovery rate of ore dressing. But later it was discovered that Xichang's shareholders were changing frequently, debt and debt were too complex, the surrounding production environment was poor, and the management was extremely extensive, making it difficult for the company to put energy into production, and in less than a year, the idea of mergers and acquisitions was dispelled.

A staff member of Guangzhou Yue Yan Mineral Resources Technology Co., Ltd. also confirmed the merger on the phone yesterday. Last year, the company was commissioned by Guangsheng group to carry out an experimental study on the rare earth ore in the continental trough. In August, it issued the "Dechang continental trough rare earth mineral processing test research report".

Today, the report is being used as a basic information for mineral evaluation.

In this regard, Liu Guohui, a major shareholder of Zhi Neng industry, confirmed that "I was prepared to cooperate with Guangsheng last year. We also managed the agreement, but they did not carry out the agreement later. It was very stressful to me, because Yang Zhineng (the original controller of Zhi industry) owed so much money, and the court came to me, so I could not find a friend in Beijing.

Later, I talked with Guang Sheng and finally lifted the cooperation agreement with Guangsheng.

Liu Guohui said the debt is now almost processed.

Reporters call Guangsheng group, failed to get a specific explanation.

The mining industry close to Liu Guohui told reporters that if the development of Tibet does not take into account the dispute over the creditor's rights and debts of the rare earth mines in the mainland, the surrounding production environment and the improvement of management level, even though there is a gentleman's agreement on return on investment, the income of this investment will still be difficult to guarantee.

In March 29th, Tibet's development was suspended due to strong fluctuations in stock prices.

This cooperation will see whether Tibet's development will repeat the experience of Guangsheng group and whether it can continue the "bull" trend after soaring up. Investors will wait and see.