BEIJING (AFX) - State-owned steelmaker Shougang Group will bring in strategic partners to help with the construction and operation of its new plant in Hebei province, Xinhua news agency reported, citing group chairman, Zhu Jimin.
The news agency did not name any potential partners or say how much of a stake they might take.
State media reported earlier that the group will move its steelmaking operations to Caofeidian, a port in north China's Hebei, from Beijing due to environmental concerns.
The move, which will be made over the next five years, will cost Shougang about 50 bln yuan. Shougang Group plans to invest half and hopes its partners will provide the remaining funds, Xinhua said.
Shougang Group's 2004 profit rose 21.6 pct from a year earlier to 1.25 bln yuan and its sales reached 61.9 bln yuan, up 39.9 pct.
Shougang Group, formerly known as Capital Iron and Steel Co has a controlling 84.9 pct stake in listed Beijing Shougang Co Ltd (SZA 000959).
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The news agency did not name any potential partners or say how much of a stake they might take.
State media reported earlier that the group will move its steelmaking operations to Caofeidian, a port in north China's Hebei, from Beijing due to environmental concerns.
The move, which will be made over the next five years, will cost Shougang about 50 bln yuan. Shougang Group plans to invest half and hopes its partners will provide the remaining funds, Xinhua said.
Shougang Group's 2004 profit rose 21.6 pct from a year earlier to 1.25 bln yuan and its sales reached 61.9 bln yuan, up 39.9 pct.
Shougang Group, formerly known as Capital Iron and Steel Co has a controlling 84.9 pct stake in listed Beijing Shougang Co Ltd (SZA 000959).
(1 usd = 8.3 yuan)
ting.wang@xinhuafinance.com
tw/jpb/wk
For more information and to contact AFX: www.afxnews.com and www.afxpress.com
© 2005 AFX News
