The authorities in the city of Panzhihua in the southwestern Chinese province of Sichuan have announced that China's central government will provide financial support of RMB 1.25 billion ($200 million) to build a vanadium-titanium magnetite iron ore base in the city during the 2011- 2015 period.
Panzhihua city is rich in mineral resources such as vanadium-titanium magnetite iron ore and rare earths. Proven reserves of vanadium-titanium-magnetite iron ore in the city total 7.337 billion mt, with vanadium and titanium reserves are estimated at 15.47 million mt and 538 million mt.
By 2015, the annual output of vanadium-titanium-magnetite iron ore in Panzhihua is expected to reach 99 million, with annual production of vanadium-titanium-iron ore concentrates expected to total 30 million mt