Qinghai West Magnesium Co., Ltd. is a hi-tech enterprise founded in February, 2006, with Western Mining Group Co., Ltd. and Central South University as co-investors. Combining the advantages of Western Mining Group Co., Ltd. on management, resource and the advantages of Central South University on Technology and R&D, Qinghai West Magnesium Co., Ltd.is established on the purposes of the comprehensive exploitation and application of magnesium resources in the salt lakes of Qinghai province. At present, Qinghai West Magnesium Co., Ltd. is a shareholding subsidiary of Western Mining Group Co., Ltd., with 333,500sqm of lands, a registered capital of CNY 172 million and more than 1,000 employees.

We spent five years on the industrial experiments of producing high pure magnesium hydroxide from bischofite, and successfully solved a series of worldwide problems for the industrial development of magnesium resources in the salt lakes of Qinghai province. Taking bischofite as material, we now are able to produce high pure magnesium hydroxide, high pure magnesium oxide and top-grade high pure magnesite. Approved by the tests in thousands tons of experimental apparatus of our company, we are able to produce 99.5% or above of magnesium hydroxide, with good filtration washing performance and low moisture in filter cakes. At present, our 99.5% magnesium hydroxide product can meet the requirements of all downstream products such as magnesium hydroxide and magnesium oxide, etc.

At present, our company won three patent technologies: all of them are researched and developed by our company independently, thus we own the IPRs of these three patent technologies. With the supports of these three patent technologies, we now are able to produce five kinds of magnesium products, including high pure magnesium hydroxide raw powder, fine powder, high pure magnesium oxide, high pure sintered magnesia, and high pure fused magnesia, etc. These products are favorably commented by our customers, and widely used in the fields of flame retardant, electric grade magnesium oxide, fluorescence grade magnesium oxide and pharmaceutical foods. To obtain enough resource guarantees for the further development of our company, we competed and obtained the legal exploitation right of more than 60 million tons of bischofite resources in November, 2009. This exploitation right covers 25.3388 square kilometers of lands in Tuanjie Lake.

According to the development planning of our company, we started our project in the Industrial Park of Delingha city of Haixi Prefecture of Qinghai province in May, 2009. This project will be able to 1000,000 ton of high pure magnesium hydroxide every year, including 20,000 t/a of high pure magnesium oxide, 25,000 t/a of high pure magnesium hydroxide (with flame retardants), 30,000 t/a of top-grade high pure magnesite, 15,000 t/a of large crystal fused magnesia and 15,000 t/a of high pure sintered magnesia. The construction of this project began in May, 2009 too.

Once this project is finished, we will be able to become a unique company possessing special advantages on resources, quality and cost, and our products will be widely used in a number of industries such as steel, metallurgy, non-ferrous, chemical, plastic, rubber, building materials, cement, electronic, pharmaceutical, food, special porcelain and so on. By the end of“Twelfth-five-year-program”of China, our company will certainly become a large-scale modern enterprise, with good popularity in China and important influence in the world as an industrialization example base for the comprehensive exploitation and application of resources in salt lakes!