Chenzhou plans to build up its own metals reserves

2009-03-05 

Mar.5 MetalBiz--Chenzhou city government recently suggested that it planned to build up its own metals reserves, to support local metals companies.

According to a report, Chenzhou, a city in central China's Hunan Province, plans to buy 2,000 tons of silver, 50,000 tons of lead, 50,000 tons of zinc, 5,000 tons of tungsten, 5,000 tons of tin and 3,000 tons of bismuth this year,

But the city has not started purchases, and prices and timing have yet to be decided.

"It is just an intention," said an official at the city's government, who declined to be named.

Chenzhou, rich in mining resources, was hit hard during the unusual snow storms in early 2008.

China's Yunnan province launched its plan to support local firms by buying nonferrous metals in December.

To help metal firms in a dire situation after commodities prices collapsed, China's State Reserves Bureau has been buying various metals, including copper, aluminium, zinc and nickel.