BEIJING, April 30, 2012 /PRNewswire-Asia-FirstCall/ -- China Shen Zhou Mining & Resources, Inc. ("China Shen Zhou", or the "Company") (NYSE Amex: SHZ), a company engaged in the exploration, development, mining and processing of fluorite, barite, zinc, copper, and other nonferrous metals in China, today commented on the changing dynamics of the global zinc market.
Global demand for refined zinc grew 2.2% to 12.85 million metric tons in 2011 and is forecasted by ILZSG (International Lead and Zinc Study Group) to grow by 3.9% to 13.35 million tons in 2012. At the same time, the global production of refined zinc increased 2.7% to 13.16 million tons in 2011 and is projected to grow by 2.4% to 13.48 million tons in 2012. The surplus of refined zinc is expected to decrease by more than 50% year-over-year to 135,000 tons in 2012.
Decline in the surplus has been attributed to the depletion of a number of large mines over the next several years. Among the mines to be shut down include: the world's largest zinc mine - Teck Resources' Red Dog Mine (600,000 tons per year) in Alaska, the world's second largest zinc mine - Minmetals' Century Mine (500,000 tons per year) in Australia, Xstrata Zinc's Brunswick Mine (240,000 tons per year) in Canada, Vedanta Resources Plc's Skorpion Mine (145,000 tons per year) in Namibia and other large mines in Canada, Ireland and Peru.
Meanwhile, global zinc mine production remains below refined zinc output, with zinc mines forecast to grow by 4.8% to 13.37 million tons in 2012.
Ms. Xiaojing Yu, CEO of China Shen Zhou, commented, "Data and forecasts from industry authorities suggest that the global zinc market is trending toward a more balanced demand and supply relationship. An improving balance between the global demand and supply is potentially positive for zinc price. Xingzhen has begun processing the 20,000 tons of zinc ore which was accumulated during the winter season. We are on track to bring our zinc production back online and will continue to improve our operational efficiency."
About China Shen Zhou Mining & Resources, Inc.
China Shen Zhou Mining & Resources, Inc., through its subsidiaries, is engaged in the exploration, development, mining, and processing of fluorite, barite and nonferrous metals such as zinc, lead and copper in China. The Company has the following principal areas of interest in China: (a) fluorite extraction and processing in the Sumochaganaobao region of Inner Mongolia; (b)fluorite and barite extraction and processing in the Wuchuan County of Guizhou province (c)fluorite and barite extraction and processing in the Yanhe County of Guizhou province.(d)fluorite extraction and processing in Jingde County, Anhui Province; (e) zinc/copper/lead processing in Wulatehouqi of Inner Mongolia; and (f) zinc/copper exploration, mining and processing in Xinjiang.
For more information, please visit http://www.chinaszmg.com/.
Safe Harbor Statement
This press release may include certain statements that are not descriptions of historical facts, but are forward-looking statements. Forward-looking statements can be identified by the use of forward-looking terminology such as "will", "believes", "expects" or similar expressions. These forward-looking statements may also include statements about our proposed discussions related to our business or growth strategy, which is subject to change. Such information is based upon expectations of our management that were reasonable when made but may prove to be incorrect. All of such assumptions are inherently subject to uncertainties and contingencies beyond our control and upon assumptions with respect to future business decisions, which are subject to change. We do not undertake to update the forward-looking statements contained in this press release. For a description of the risks and uncertainties that may cause actual results to differ from the forward-looking statements contained in this press release, see our most recent Annual Report filed with the Securities and Exchange Commission (SEC) on Form 10-K, and our subsequent SEC filings. Copies of filings made with the SEC are available through the SEC's electronic data gathering analysis retrieval system (EDGAR) at http://www.sec.gov.
Contact Information
Min Liu
Investor Relations
Grayling
Tel:+86-186-6537-8749
min.liu@grayling.com
Shiwei Yin
Grayling
Tel: +1-646-284-9474
shiwei.yin@grayling.com
