Industry: Industry Region: China Indonesia Transaction Price: Not Disclosed Transaction Method: Agreement Transfer
Introduction: In 2009, in order to actively implement the "going global" strategy, Dingxin Group cooperated with Indonesia Sulawesi Mining Investment Co., Ltd. (SMI) to lay out the mining, export and ferronickel smelting industry of Indonesian nickel ore in advance, and invested in the construction of Qingshan Park, a comprehensive industrial park in China and Indonesia, the completion of which is of great significance to promote economic cooperation between China and Indonesia and between China and ASEAN.
Qingshan Park of Indonesia Economic and Trade Cooperation Zone is located in Bahodopi Township, Morowali County, Central Sulawesi Province, Indonesia, with northeast coordinates of 122 degrees 9 minutes 47 seconds east longitude and 2 degrees 48 minutes 55 seconds north latitude. Close to the interprovincial highway, about one kilometer from the coast, the enterprise (landowner and park manager) is Indonesia Economic and Trade Cooperation Zone Qingshan Park Development Co., Ltd. (IMIP), which is a joint venture between Shanghai Dingxin Investment (Group) Company (Tsingshan enterprise, holding 66.25%) and Indonesia Eight Star Group Company (holding 33.75%). In 2015, the park was awarded the "Industrial Park Rookie Award" by the Indonesian Ministry of Industry, and in August 2016, it was jointly recognized as China's overseas economic and trade cooperation zone by the Ministry of Commerce and the Ministry of Finance.
The total planned land of the park is about 2,000 hectares, and now it has complete access channels by sea, land and air and about 466,000 kilowatts of installed power generation capacity, and has built 4 secondary base stations, 10 sets of satellite TV receiving systems, a 30,000-ton dock berth, eight 5,000-ton dock berths and more than 70 living rooms. Before the construction of the park, it has realized the sea route with Tsingshan China Fu'an production base terminal, and now it has been expanded to direct flights with major coastal ports with China, and the logistics and customs clearance between the ports are smooth. By the end of September 2016, the total investment in the park and the projects entering the park had been approximately US$2.5 billion.
Details: Project Profile in the Park:
The first project to enter the park is Sulawesi Mining Investment Co., Ltd. (SMI) with an annual output of 300,000 tons of ferronickel and its supporting power plant project, with a total investment of 628 million US dollars, financed by the China Development Bank, and the land area is 95 hectares. The project has four Ø4.6×100m rotary kilns, 4×33000kVA mine thermoelectric furnaces, and 2×65MW coal-fired power plants and public auxiliary facilities of the project at the same time, with an annual output of 300,000 tons of nickel-containing 10% ferronickel. Construction began on July 16, 2013, trial production was completed in January 2015, and Indonesian President Joko Widodo personally announced the official start of production on May 29, 2015.
The second project entering the park is Indonesia Guangqing Nickel Industry Co., Ltd. (GCNS) 600,000 tons of nickel-iron smelter and its supporting power plant project, with a land area of 86 hectares, a total investment of more than 1 billion US dollars, and an annual output of 600,000 tons of nickel equivalent nickel alloy 600,000 tons after completion, with an annual sales revenue of about 1.2 billion US dollars. Construction started on May 2, 2014, and partial production began on March 22, 2016.
The third project entering the park is Indonesia Tsingshan Stainless Steel Co., Ltd. (ITSS) with an annual output of 1 million tons of stainless steel continuous casting billet and its supporting power plant project, with a total investment of more than 800 million US dollars, a land area of 90 hectares, and 570 million US dollars of medium and long-term project financing provided by the China Development Bank, and construction began on July 28, 2015. After completion and operation, the annual output of stainless steel continuous casting billet is 1 million tons, and the sales revenue is about 2.2 billion US dollars. The project will promote other manufacturers in China and Indonesia to enter the park to build stainless steel downstream processing plants.
In addition, there are 10,000 tons of nickel equivalent project of Boli Nickel Industry Co., Ltd., with a total investment of more than 100 million US dollars, a land area of about 17 hectares, the construction of 2 300,000 tons/year raw material drying and grinding production lines, 6 3.2 meters × 168 meters full intelligent tunnel kilns, three 300,000 tons/year continuous water immersion production lines, an annual output of about 19,000 tons of sintered nickel after putting into operation; Ruipu nickel chromium annual output of 600,000 tons of ferrochrome (supporting heat recovery coking) and 700,000 tons of stainless steel cold rolling project, with a total investment of 460 million US dollars and a land of 40 hectares. After completion, the annual sales revenue will reach 1.3 billion US dollars; 1780MM hot rolling project with an annual output of 2 million tons, with a total investment of 200 million US dollars, a land area of 50 hectares, and an annual processing fee income of about 164 million US dollars after completion; the 100,000-ton bulk cargo terminal project of Qingshan Park Development Co., Ltd. (IMIP) in Indonesia Economic and Trade Cooperation Zone, with supporting facilities in the park, and a total investment of 100 million US dollars, have started construction one after another.
Indonesia Economic and Trade Cooperation Zone Qingshan Park will be built into a landmark overseas cooperation zone of China-Indonesia mineral resources development cooperation, is the first substantial launch of a series of commercial agreements between China and Indonesia, by the middle of 2017 after all completed, the park will form an annual output of 2 million tons of stainless steel billet production capacity, annual sales can reach 4-5 billion US dollars, create about 12,000 jobs, and will drive a number of stainless steel deep processing enterprises to enter the park and set up factories. Build a demonstration zone and industrial cooperation platform for bilateral international production capacity and equipment manufacturing cooperation. With the successive increase of projects entering the park, it will drive the development of China-Indonesia comprehensive industrial parks and the economic prosperity of surrounding areas, and enhance the reputation of Chinese enterprises in Indonesia with practical effects.