The orderly integration of chemical non-metallic mineral resources

On January 7, the Ministry of Land and Resources reported that in 2007, the consolidation of chemical non-metallic mineral resources was carried out in an organized and efficient manner. By optimizing resource allocation, this initiative not only encouraged enterprise scaling and improved operational efficiency but also enhanced the overall level of resource exploitation and utilization. China is rich in chemical non-metallic mineral resources. As part of the "High-quality Chemical Non-metallic Resource Evaluation" project launched by the Ministry in 2007, various resources were submitted for assessment, including 220 million tons of phosphate, 55.34 million tons of pyrite, and 520,000 tons of boron. Additionally, there were 3.65 million tons of potash, 14.14 million tons of fluorite, 210,000 tons of molybdenum, and 6.21 million tons of sodium nitrate. The preliminary estimate for phosphate rock resources reached as high as 1.4 billion tons. However, despite the abundance of reserves, overexploitation remains a serious concern. Small, scattered enterprises often lack long-term vision, focusing instead on short-term profits, which has led to unsustainable practices in the chemical non-metallic minerals sector. Experts predict that if current trends continue, China's chemical non-metallic mineral resources could lose their development potential within two decades. To address this, in 2007, the country significantly advanced the integration of chemical non-metallic mineral resources. For example, in the phosphate sector, several provinces and municipalities promoted the integration of phosphate resources through collaboration between upstream and downstream chemical companies. In Hubei Province, a price adjustment fund for phosphate rock was introduced starting from January 1, 2007. This policy aimed to use pricing mechanisms to protect and rationally manage phosphate resources, supporting sustainable and healthy production. In contrast, Yunnan did not have specific policies for phosphate rock, treating it similarly to other minerals, with the focus on the "combination of mineral and fertilizer" approach. However, due to limited transportation capacity, the integration of phosphate development with chemical companies in Yunnan tended to involve local enterprises. Guizhou’s phosphate integration also followed the model of "mineral-fertilizer combination" and "mineralization and integration." Meanwhile, the 500,000-ton synthetic ammonia project of Kaifeng Group and Shandong Yanzhou Mine was progressing smoothly, marking a key component of Guizhou’s phosphate resource integration strategy. Industry analysts noted that China currently faces a shortage of phosphate rock resources. During the 2007 resource integration process, provinces with abundant resources were more inclined to retain control of the mines while focusing on downstream fertilizer production. This trend has resulted in chemical companies increasingly concentrating in resource-rich regions.

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