• 　General Situation of the Enterprise

Luoyang Copper Group Company Ltd. (hereinafter calling L.T.) is one of 156 key construction project during China's " first five-year plan", which is at present the biggest comprehensive enterprise combining melting and producing in China. The capacity of production per year: approx. 100,000 tons of non-ferrous production materials, 50,000 tons of fine electrolytic copper.
The product varieties are 717. Among them 23 main products meet the advanced international technique certified by the National Non-ferrous Standard Institute. In addition to meeting the demands in domestic, the products are exported to many countries and regions, such as Hong Kong, Japan, South-East Asia, etc.. L.T. has become the basis of production and export of copper material. At present, L.T. is leading the world in technique equipment. L.T. has the approved right of import and export management and the country-level technique center.

• 　Content of Cooperation

It is intended to extend the production line of copper sheets & bands with a productivity of 23000T.
The total amount of investment of the project is RMB 197.33 million yuan (the land utilization fee is not included) and the registered capital is RMB 38 million yuan.

• 　Market Forecast

According to the market investigation the consumption of the copper sheet & band in 2000 is 460,000 tons and it is expected that the consumption will increase to 600,000 tons in 2005 and 705,000 tons in 2010 respectively. The market prospect is promising.

• 　Construction Conditions

The Copper Sheets & Bands Plant is one of the main manufacturing divisions of Luoyang Copper Group Corporation Limited and it is planned for the production line after extension to be up to international standards for 1990's by utilizing the existing factory building, a part of equipment and corresponding synergic auxiliary facilities.

• 　Financial Analysis

After the project is constructed and the designed production program is reached it is expected to have the profit margin of the investment of 19.2%, the internal rate of return of 16.6% and the recovery period of 7.7 years (including two years for construction) for the total amount of investment, the sales revenues of RMB 574.57 million yuan and the profit of RMB 38.64 million yuan.

• 　Cooperation pattern

Joint Venture or Cooperative Business Operation. For specific matters we can discuss in a face-to-face way.

• 　Progress of Project

The project is listed among planned projects of Luoyang city for the advanced manufacturing technology and the State Commission of Development and Reform have already approved its preliminary design. Now it is under the technical exchange and inquiry of the equipment price. It is intended to look for cooperation partner．