Kazakhstan-based mining group Eurasian Natural Resources Corporation Plc. (ENRC) has announced the purchase of a 50 percent stake in Chinese ferroalloy producer Xinjiang Tuoli Taihang Ferro-Alloy Co. LTD for a consideration of RMB 101.25 million (approximately $14.5 million) in cash from Mr. Ma Yunpu.
Xinjiang Tuoli Taihang Ferro-Alloy Co. is one of the largest ferrochrome producers in China with an annual production capacity of 120,000 mt. The plant is located in Tuoli County, Xinjiang Province, in close proximity to the Chinese-Kazakh border. ENRC currently supplies 70 percent of the plant's needs in chrome ore.
The acquisition will allow ENRC to strengthen the company's position in the ferroalloy market.