On the evening of November 15, shandong nanshan aluminum industry co., LTD announced that its subsidiary, PT. Bintan Alumina Indonesia(BAI), would increase its investment to expand the 1-million-ton Alumina project in the second phase of Bintan nanshan industrial park in Indonesia.

Currently, the company is investing in the construction of "1 million tons of alumina project in Indonesia binthananshan industrial park" through BAI, its overseas holding subsidiary, and the project is progressing steadily. Based on the prediction of the future market prospect of alumina products, the company intends to continue to invest in the alumina construction project of BAI in the future in order to achieve large-scale benefits in the production of BAI alumina project, strengthen the company's industrial competitiveness, improve its market position and improve BAI's profitability. According to the announcement, the total investment of BAI phase ii project is 3,068,494,700 yuan, including 698,764,400 yuan invested by the company through GAI, accounting for 22.77% of the total investment of BAI phase ii project, and 77.23% of the total investment of BAI phase ii project by other investors.

This BAI capital increase and the investment of BAI phase ii project will not affect the "1 million tons alumina project in Indonesia binthananshan industrial park" invested by the company with the fund raised by rights offering in 2017. The raised capital investment project will continue to advance as planned. After BAI's capital increase, GAI will hold 72.7%, qili aluminum will hold 25% and MKU will hold 2.3%. GAI capital increase required by its shareholders nanshan aluminum, hongshi aluminum international co., LTD.

The announcement further revealed that the project would be built in the nanshan industrial park on Bintan Island in riau province, Indonesia, and would take 24 months to complete. This project builds a factory in the bauxite producing area, directly USES the local abundant bauxite and coal resources, realizes the low-cost alumina production capacity expansion, conforms to the national industrial planning direction, strengthens the company's profitability, and further improves the anti-risk ability. After the completion of the project, BAI has more competitive advantages than Australian alumina suppliers in seizing the alumina sales market in southeast Asia, South Asia and the Middle East.

Nanshan aluminum said the share subscription agreement and the shareholders agreement as can smooth implementation, will help to further enhance the capacity of the BAI, expand the scale of the company abroad in alumina production, and with the aid of aluminum company to expand overseas market space, the chests to speed up the overseas sales layout, BAI alumina project achieve scale benefit and improve the sustained profitability of BAI, increase the sales revenue BAI, improve the company's overall performance and earnings water ping, further enhance the international competitiveness. At the same time, the introduction of qili aluminum industry can enable BAI to obtain stable downstream customers and lock the market in advance. （From CCMN)