Perspectives of China`s Non-metallic Minerals Industry
Source: www.mlr.gov.cn Citation: www. www.zgkyb.com Date: October 20, 2015
Resource Status
China is a big producer of nonmetallic minerals at present, playing an important role in nonmetallic minerals export in the international market.
Among the 92 kinds of nonmetallic minerals that have proven reserves, most of them have been developed and have a mass production.
The reserves of minerals such as graphite, gypsum, limestone, magnesite, bentonite and barite rank first in the world; talc, fluorite, wollastonite, asbestine ,mirabilite and others rank second; perlite, zeolite, boracite and others rank third; while kaolinite, bauxite, celestite and other minerals have a huge reserves as well.
Policy Support
Nonmetallic industry development plan has been listed into national level project.
The standards for admittance to industry of important competitive minerals (fluorite, graphite) development have come out organized by MIIT.
More and more local governments have formulated nonmetallic mineral development plans, some regions of abundant resources set up the metallic industry cities specially and give favorable policy supports.
For the governments of places having a basis of nonmetallic industry, they try to find a new model of nonmetallic resources development, concentrate resource exploit and supply, promote resource utilization rate, engineer the industry and make the industry a systematic one.
The governments are now obsoleting the capacity falling behind in the similar disorder competition and developing the large-scale companies.
Imports and Exports
The exports volume and price of part of nonmetallic minerals of China glide in different degrees in first half year, especially which of graphite, fluorbaryt, talc, magnesia, kaolin dropped considerably. The export volume of fluorbaryt decreases 20.26% and price decreases 10.14% compared to the same period, the export volume of graphite decreases 13.36% and price decreases 4.45%compared to the same period. The export volume of talc decreases 8.9% and price decreases 3.2% compared to the same period. The export volume of kaolin decreases 29.74% but price increases 31% compared to the same period.
In the first six months of 2015, the nonmetallic minerals import volume of China is basically flat compared to the same period, nevertheless the import price of nodular graphite, crystalline flake graphite, super fine talc powder is 2~3times of export price. The phenomenon of China nonmetallic minerals product import in high price but export in high price still exists, there is a certain gap between China nonmetallic minerals fine machining product and foreign product.
Economical Operation
In recent years, the profit of non-metallic mineral mines in China has dropped significantly, although the output value has slightly increased. The profit decreased from 14.37% at 2011 to 10.14% at 2014.
Green mine
Up to now, 59 building materials and non-metallic mines have been awarded the title of "Green Mine", with 3 in the first batch, 12 in the second batch, 18 in the third batch and 26 in the fourth batch. These mines manufacture products related to 13 non-metallic minerals such as limestone, kaoline, fluorite, talc, gypsum, calcite, and graphite. However, the development of the green mines are unbalanced. It`s mainly reflected in two aspects, one is that the industry is restrict to limited minerals resources without some important ores such as bentonite and siliceous-rock raw material, and the other one is the shortage of medium-small companies.
Market Demand
The traditional iron, construction, building material, chemical, refractory and light industries are undergoing depression, with a low demand. The demand and price of nonmetallic product has dropped greatly .
The market demand of nonmetallic minerals of different application filed grows more and more in first half year of 2015,at the same time, the mineral production and marketing volume, profit rate overall downward trend. The product demand and price of some traditional industry raw and auxiliary material decrease, taxes on enterprise go high, cost of production and labor increase daily, the homogeneous product competition between enterprises intensifies, emerging area still needs a developing process.
Total Level
The investment in fixed assets of mining industry in the first 6 months in 2015 is 52.61 billion RMB, decrease by 7.71% comparing to the same period, the investment of nonmetallic industry is 9.26 billion RMB, increased by 5.4% comparing to the same period.
The industrial added value above national scale has increased by 6.3%, while the nonmetallic industry has increased by 6.4%.
The total profit of mining industry in first half year of 2015 is 13.961 billion RMB, decreased by 58.8% comparing to the same period; coal mining and processing industry has decreased by 67%, petroleum and natural gas exploiting industry has decreased by 68.4%, nonmetallic industry has decreased by 6.7% and the melting and rolling processing industry of base metals has decreased by 22.4%.
Industry Issues
Recently, non-metallic mineral mines in China are facing many serious industry issues, such as the unbalance between the non-metallic mineral resources exploitation and protection; severe waste and destruction of the resources; over-mining of key ores; small and dispersive companies which result in low degree of industrial concentration and profits; low level of technology, especially for further processing; weak management and operational monitoring; local governments seek for high GDP rather than guide the operation of the mining companies scientifically and systematically which results in many useless and impractical programs.
Admittance Criterion
Graphite: The lowest limited for new and rebuilt programs of concentration of graphite is 20,000 tons per year, and the single product line should be not less than 5000 tons/yr, while that for microcrystalline graphite is 150,000 and 30,000 tons/yr with rate of recovery of >85%. The capacity of new and rebuilt programs of concentration of pure graphite should be higher than 5000 tons/yr with rate of final products higher than 85%. The annual capacity of new and rebuilt programs of concentration of expanded graphite should be higher than 5000 tons with rate of final products larger than 95% using electrolytic oxidation or acid impregnation processes. The annual capacity of new and rebuilt programs of concentration of flexible graphite should be higher than 1000 tons with rate of final products larger than 90% and width of equipment wider than 1000 mm using continuous expansion and molding technology.
Fluorite: Newly built mines should design safe, high-performance, and suitable mining methods and equipment based on their mining scheme, proven resources, and occurrence condition of ores. The daily capacity of fluorite should be higher than 100 tons assuming 300 working days per year. Mineral processing plant is required for mines with annual capacity of 30,000 tons or more. The rate of recovery for underground and opencast mining should be higher than 75% and 90% respectively. 80% is set up for lower limit of recovery rate for the concentration (associated ores and tailings gangue excluded).
High-alumina clay: Annual capacity of single product line of the companies related to concentration of high-alumina clay should be larger than 50,000 tons with lower limit of recovery rate of 80%. Annual capacity of high-alumina clay grog chamotte should not be less than 50,000 tons including lower capacity of single product line of 30,000 tons for rotary kiln, 20,000 tons for tunnel kiln, and 10,000 tons for shuttle and up-draft kilns. The rates of recovery for underground and opencast mining should be higher than 70% and 80%, respectively.（Zhang Li）
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