It was Saturday again, and at the group company meeting, Sun Zongyuan brought up the idea of building a steel plant. Everyone was stunned by his generosity. This was a large project with an investment of four or five hundred million yuan. Where would he get so much money to invest in it?
Sun Zongyuan arranged: Don't worry about the funding issue, now let's focus on four things:
Spend one month researching domestic and international steel market conditions, producing market analysis, feasibility reports and market outlook for the next ten years.
In his previous life, Sun Zongyuan knew that the price of steel had risen from 1,600 yuan per ton in 1987 to 3,600 yuan in 1993. Although there were fluctuations thereafter, it was still above 3,000 yuan. Few people knew that the steel industry was a highly profitable industry, otherwise Hebei would have built a production capacity of 100 million tons in just a few years.
The second focus is the site selection of Shizhao Wharf. Construction of a 50,000-ton wharf will be started in the early stage to give full play to the advantage of low prices in the international high-grade iron ore market and carry out processing and production of imported materials.
The third task is to plan personnel arrangements and the next steps for production at the gear factory. Compressor testing will be completed in just over a month, and the five test machines are reportedly operating normally. Construction of the factory building within the Honghua Economic Development Zone is nearing completion, and imported equipment has arrived in Ganhe. Personnel are currently undergoing training. Everything is in place, pending only test results, with the goal of starting production after July.
The gear factory can be used as a spare parts production workshop in the early stage. After a few years, it will be completely moved out of the city and the land will be invested in real estate development and construction of the beautiful Xingan River!
The fourth issue is that the steel plant needs to investigate the technical and management situations. After resolving these two issues, it will import high-grade ore from abroad for production first. On the one hand, it will prevent workers from being idle and becoming a burden on the group, and on the other hand, it will reserve management experience and talent for the 400,000-ton project.
The fifth issue is to start planning and designing the 400,000-ton steel project. The region will take the lead in obtaining procedures and approvals, while the group will be responsible for civil engineering and equipment installation. We will also send out invitations to the public to recruit relevant talents.
He is responsible for implementing production equipment and iron ore issues.
Many of you have worked in medium-sized and larger state-owned enterprises, but this is the first time you have worked on such a large-scale investment and merger. Do you think you lack experience in this area?
There was no other way. Sun Zongyuan had given them a day-long science education, covering everything from ideas, approaches, assessment, auditing, to the final selection of personnel and the use of land assets, etc., which completely destroyed their previous self-confidence:
"My God, the boss is such a talent. It's such a waste of talent not to do business!"
"The boss has godlike abilities. Joining the group with him is the best decision I've ever made!"
Back in Xu Rui's office, Sun Zongyuan picked up the phone and called Li Jiawei:
"Hello, boss!"
Li Jiawei, who was far away in Hong Kong, greeted his boss in his poor Mandarin with a Hong Kong accent.
"How are the returns from investing in the Hong Kong property market recently?"
"Boss, you're amazing! We've been investing in the Hong Kong property market for over five months, and it's already risen by over 11%. We've used 30x leverage with our bank, and our market capitalization is now $4.9 billion!"
"Good job, keep it up!"
After learning about the recent situation, Sun Zongyuan arranged for Hong Kong Yuanda Industry and Trade Co., Ltd. to organize representatives to come to the inland to invest in the Ganhe Steel Plant Project and Shizhao Port Project, investing US$100 million in each project in batches according to the construction progress.
For the 400,000-ton steel plant project, Project 4 will purchase used equipment from a modern European steel plant and relocate the entire plant. The average purchase price per ton must not exceed US$300.
After further consideration, they arranged to find a European technical consulting company to continue purchasing modern electric slag furnace steelmaking equipment. The overall price was about US$1,000 per ton, and the initial negotiations were based on 600,000 tons.
We also arranged to purchase iron ore in Australia with good comprehensive conditions, preferably with convenient transportation, high ore grade, large reserves and no disputes. We first compared multiple iron ores and finally determined the one.
For the Hong Kong property market, we will first take out half of the funds and invest them in the Japanese stock market and property market, and gradually invest the remaining half in Japan before October this year. We will open several accounts to divide the amount of funds, and continue to find a good bank to invest with 50 times leverage financing.
After Li Jiawei wrote it down, he repeated it again. After Fu Guangbin next to him also replied that there was no problem in writing it down, Sun Zongyuan put down the phone.
On May 8, the Prefectural Party Committee held a poverty alleviation and project construction on-site meeting in Anyang County.
A group of more than 90 people, including leaders of the Prefectural Party Committee and the Prefectural Government, heads of relevant prefectural departments, county and city secretaries and mayors, and a working group sent by the Provincial Party Committee, drove from the Prefectural Party Committee Conference Center to Liuzhuang Township, Anyang County in five minibuses and four service vehicles.
There are two observation points in Liuzhuang Township: a family pig farming site and a feed factory
A stop on the road: a site dedicated to desertification control
Comrade Xu Baifu spoke eloquently in response to inspections by leaders at all levels:
The report on guiding ideology, work plan, implementation process and next steps was well-reasoned, and all the leaders nodded frequently after listening to it!
After listening to this, Li Chuanyou asked Shen Congde:
"This Old Xu is doing a good job. He's the cadre you promoted, right?"
"This old Xu is honest and capable!" Shen Congde unconsciously straightened his chest.
After visiting Liuzhuang Township, we went to Honghua Township.
The first stop was the Yuanda Farm. Everyone was stunned to see the farm, covering over 300 mu and housing 20,000 to 30,000 pigs. "Wow, it's so big! So many pigs!"
The second stop was Yuanda Food Factory. Everyone put on isolation clothing and watched from afar as live pigs were moving along the production line. What finally came out were boxes of sausages. Everyone was stunned by the assembly line. How could it be so amazing?
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