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300,000 m2/Year Decorative Stone of Ultra-thin and Natural Songhua Stone Project of Baishan City
2016/03/24     Source:

 

1. Introduction to the Project

1.1 Project Background

1.1.1 Product Introduction

The decorative stone of ultra-thin and natural Songhua stone produced in this project is a kind of new decorative stone by taking high-quality natural Songhua stone as materials and adopting advanced equipment and technology Songhua stone is also known as "Songhua Jade" for it is produced in the source of the Songhua River. Songhua stone is a magical stone carved by nature. It has deep skin, fine texture, both rigid and soft property, pure and fresh stripes and graceful. The water in it will not dry up. When you knock it, it will sound the sound of copper. It is a new type of stone recommended mostly in magical stone field. Songhua stone mainly used to produce ink-stone ("Songhua ink-stone" is one of the top ten Chinese ink-stone) and Songhua stone is also an excellent decorative stone materials. Jiangyuan District is a well-known "China Songhua stone town" and "China ornamental stone village" with a wealth of Songhua stone resources and it is an important production location of Songhua stone.

1.1.2 Market Overview

Stone is widely used in floor covering and countertops decoration of cabinets and furniture. In recent years, stone industry in China developed rapidly. Meantime, the stone industry in the international market also developed vigorously. Under the background of favorable policies, the per capita consumption of stone in our country will be increased greatly and the increasing demand of stone will push the stone industry into the stone consumption age. Recently, people have different opinions toward the future of stone. From the statistical data, the stone industry is still optimistic because the production and sales are still growing and the increase is not small. Industrial added value of enterprise above designated size were increased by more than 10%, but starting from the end of the second quarter, the run of stone showed a downward trend. Although it was increased compared with the last year, the growth rate was slowed down month by month. Chinese Ministry of Industry data show that e total amount of stone mining industry realized profits of 18.96 billion Yuan in the first half 2014 with an increase of 29%, a profit of 9.8%, which is basically flat.

With the frequent introduction of real estate control policies and the policy relaxation towards the second suite and mortgage-control in tier one and tier two cities, the real estate development has started to recover and, the market has changed for the better. The overall production and management situation of stone industry in 2015 has improved compared with last year; Enterprises started to tag the potential of home decoration industry and filled the gaps in the market. The home decoration industry has a large market space. At present, the sales volume of stone is about 400 million square meters nationwide and the ceramic tile of it is nearly 8 billion square meters. After entering into home decoration market, stone has achieved the goal of normalization, standardization and implementing experiential marketing, so consumers can select the stone directly. With the rapid development of economy and the constant improvement of life level, natural stone are praised higher and higher.

This project makes use of local Songhua stone to produce ultra-thin and natural stone plate. The ultra-thin and natural stone plate is a natural stone decorative panel, which can be pasted on the surfaces of different t indoors and outdoors, including building surfaces, indoor and outdoor decoration, doors and cabinets, furniture, car decoration, kitchen, bathroom, flooring, signage, lighting covers and translucent panels. With characteristics of ultra-thin, ultra-lightweight, flexibility and bendability (thickness: 1.20 --- 1.50MM, weight: 1.30 --- 1.60KG / square), Ultra-thin natural stone plate has a wide application. For example, it can be used as decorative wall, in horizontal and vertical surface of the building with no need to consider the weigh and shed of it as before. Especially after Jiangyuan District has been named as "China Songhua stone town" and "China ornamental stone village", enthusiasts for rare stone from each direction have come to visit and purchase it, so it has a great market prospect

1.1.3 Technical Analysis

Songhua ultra-thin and natural stone is laminated by natural Songhua stone and glass fiber with black back. When the light pass though it, its junction in the middle can be seem. Diamond blades for cutting stone can be used to cut ultra-thin stone decorative plate and so dose metal cutting tools and any standard carbide or diamond blades. Ultra-thin and natural stone decorative plate uses the most standard laminating adhesive to stick the surface but the laminating adhesive should be thick with foam. Before being added adhesive, the dirt, grease or other contaminants on receiving surface are need to clean. During the same installation process, it may need to prepare ultra-thin stone decorative back-plane solvent or primer recommended by the manufacturer. Processing flow: Block cutting of circular saw - Production line - Test - Protection - Packaging.

If the location where the project located masters the technology, the device can be procured in our own country.

1.1.4 Advantageous Conditions of Project Construction

1)  Policy Advantages

In order to take advantage of local resources and to increase the local economic growth, Jiangyuan District of Baishan City actively introduces the ultra-thin and natural Songhua stone decorative stone plate project and provides land, policies, resources and support for investment companies.

 (2) Location and Transportation Advantages

As one of the two urban areas in Baicheng City, Jilin Province , Jiangyuan District is located in the southeast of Jilin Province and the west of Baicheng City, neighbors with Fusong County to the east, borderon Liuhe County to the northwest, connects with Hunjiang District to the southwest, adjacent to Jiangyu County to the north with a total area of 1,348 square kilometers. Jiangyuan District is located in the west of Changbai Mountains with Laoling Mountains running though the whole territory, hilly territory, ravines crossbar. It is Songhua River drainage in Laoling Mountains to the east and Yalu River drainage to the west. Jiangyuan District is the town of Chinese black fungus and the town of Songhua stone. Its traffic is convenient, because the national road 201 and the railway connecting with Baishan of Jiangyuan District and Two Shirakawa run across the middle of the area with a total length of 83 kilometers in the territory. And the provincial road 303 runs though from the southwest Shiren Town with a total length of 32 kilometers, Provincial road 204 to Jingyu section with a total length of 18 kilometers in the territory. With five national roads and provincial roads like He Da line and Shen Chang line and two railway lines, Hun Bai line and Ya Da line, Jingyu County is the area with most railway stations in Baishan region (11 stations in the region and 3 stop points) and the traffic assembly point to connect other counties for Baishan area and to connect the center of town for other counties. There are asphalted roads for counties connecting with each and roads for villages (60 villages) to connect with each other. Public facilities around the factory are full with the infrastructure of "six connections and one leveling" (six connections refer to supplying electricity, water, drainage, heating, telecommunications and roads. One leveling refers to the flat factory area). The well external facilities provide a solid basis for contracting the project and serve for saving construction investment. The factory location is equipped with convenient transportation and complete and necessary production resources.

 (3) Technology and Talent Advantages

The project intends to adopt bridging diamond circular saw machine to process the ultra-thin and natural decorative plates, which can cut marble 4 to 6 square meters per hour, cut granite slabs 2 to 4 square meters per hour and when being cut by it, the utilization of natural stone will be increased by 50%. That is to say, one square meter of the original plate will be 2 square meters of finished ultra- thin sheet after being cut. For Songhua stone, because the stone material is relative soft, cutting efficiency is high. It is no problem to produce more than 200 square meters of ultra-thin marble slabs per day; Moreover, according to the characteristics of supporting host and auxiliary host, it can process ultra-thin natural stone slabs with various specifications and it can cut large ultra-thin natural stone slabs of 1200mm × 1200mm to the most by replacing diamonds, saw blades and plates sucker with different specifications. It can also cut larger size of the finished ultra-thin plate after being restructured. According to the specifications, the ultra-thin plate can be processed to variety of thickness of the plate form 3 ~ 10m. In addition, with a long history of stone processing, the location where the project located has trained a lot of senior technicians and skilled workers, so it can provide human resources supporting for the project.

 (4) Resource Advantages

As an important producing area for Songhua stone, Jiangyuan District is known as "China Songhua stone town", "China ornamental stone village". The Northeast is an important collecting and distributing centre for rare stone and it is rich in Songhua stone resources with Songhua stone ore body reserves of billions of tons.

1.2 Content and Scale of Project Construction

1.2.1 Product Scheme and Scale

The annual output of decorative stone materials of Songhua stone is 300,000 square meters. The standard size of Songhua ultra-thin and natural decorative stone are:

The standard of ultra-thin and natural stone decorative plates is 1200X610MM. Few of them are 2400X900MM2510X610MM2100X1050MM. The weight of ultra-thin and natural stone decorative plates is 1.30---1.60KG per square and the thickness of them is 1.20 --- 1.50MM.

1.2.2 Construction Content

The project coves 30,000 square meters, including a construction area of 20,000 square meters for building factory, facilities, etc. There are three built ultra-thin stone production line for Songhua stone.

1.3 Total Investment of the Project and Capital Raising

1.3.1 Total Investment of the Project (see table 1)

The total investment of the project is 300 million Yuan, including construction investment of 180 million Yuan, liquidity of 120 million Yuan.

Table 1: Summary Table of Total Investment of the Project  Unit: RMB10,000

 

 

 

No.

Expense Name

Amount of Investment

Proportion of Total Investment %

Remarks

1

Construction investment

18000

60.00

 

2

Interest incurred in construction period

 

 

 

3

Working capital

12000

40.00

 

 

Total investment of the project (1+2+3)

30000

100.00

 

Note: "RMB10,000" in the Table shall be RMB.

1.3.2 Capital Raising

Fund required by the total investment needs rising by the enterprise itself.

1.4 Economic Benefit and Social Benefit Prediction

1.4.1 Main Economic Benefit Indicators Prediction (see table 2)

After the project achieves scheduled production and efficiency, it can achieve an annual output of 325 million Yuan, profits of 75 million Yuan and taxes of 45.5million Yuan.

Table 2:  List of Major Indexes for Forecast of Economic Benefits

No.

Name

Unit

Index

Remarks

1

Sales income

RMB10,000/a

32500

Normal year

2

Total profit

RMB10,000/a

7500

Normal year

3

FIRR of all investments

%

16.5

After income tax

4

FNPV (Ic=10%)

RMB10,000

6365

After income tax

5

Period for recovery of all investments (after tax)

a

5.5

Including 1 year of construction period

6

Rate of return on investment

%

20

After normal annual tax

Note: "RMB10,000" in the Table shall be RMB.

1.4.2 Main Social Benefit Prediction

The construction of this project will promote and facilitate the development of related industries and the deeper development of resources, effectively promote the optimization and adjustment of industrial structure, which in line with the principle of developing high-tech economy of the country, and it can also drive a number of workers to be employed, so it has significant social benefits.

1.5 Cooperative Ways of the Project

Sole proprietorship,Joint venture, other methods can be discussed in person.

1.6 What to be Invested by Foreign Party

Funds invested by foreign party accounts for 49% and other methods can be discussed in person.

1.7 Construction Site of the Project

Jiangyuan District, Baishan City

1.8 The On-going Condition of Project

It will be listed in the key projects of Jiangyuan District.

2. About cooperative party

2.1 Basic Conditions

Name: Jiangyuan Disreic government of Baishan City

Legal Address: Jiangyuan District, Baishan City

Legal Representative:

2.2 Overview

   Jiangyuan District is located in the west of Changbai Mountains with Laoling Mountains running though the whole territory, hilly territory, ravines crossbar. It is Songhua River drainage in Laoling Mountains to the east and Yalu River drainage to the west. The main mountains include: Jinglong dingzi with altitude of 1121.5 meters, Qinger ling with altitude of 941 meters, Laotuzi with altitude of 1426.5 meters, Maple ling with altitude of 1190 meters and Liangzi mountain with altitude of 1492 m.There are more than 50 rivers and streams in the territory and the main rivers include Hun River, Southwest Pin River, Northwest Cha River, Zhengcha River, Dayangcha River, Tang river, Dashipeng River, Yumu Qiangzi River, Shiren river and so on.

Jiangyuan District is one of the main production areas of Songhua stone with a reserve ranking rank first in the country. In 2007, it was named as "China Songhua stone town." by China committee of recommending the town of specialty. With a forest coverage rate of 76%, Jiangyuan area is an important processing base for southeast wood products. The Jinqiao Southeast Asia real estate enterprise belonging to the group is a well-known enterprise and the total production volume of plates and rutters in this district ranks front row in our country. At present, there are only two Cambrian-Ordovician geopark in the world, one in Canada and another in Dayangcha of Jiangyuan District. There is the famous "Dry rice basin" rimitive ecological forest tourism park in the territory, which has been rated as AAA scenic area by the country.Jiangyuan District has more than 1,200 kinds of economic wild animals and plants. The resources comprehensive development system of Changbai Mountain mainly focusing on green products is improving. The mushroom industry base, Chinese herbal medicine base, green vegetable base and livestock product processing base of it begin to take shape. In 2007, Jiangyuan District was named as "China black fungus town."by China  committee of recommending the town of specialty.

2.3 Contact Method

Postal Code: 134700

Contact Person: Zhou Yongli

Tel: 86-439-3725303

Fax: 86-439-3725302

E-mail: jyjhj2010@163.com

 

Contact Person of Project City (Prefecture):

Contact Unit: Economic and Technical Cooperation Bureau

Contact Person: Liu Caixiu

Tel: 0439-3594265  18629751799

Fax: 0439-3594778

E-mail: lcx9881@sina.com

Website of City (Prefecture): www.cbs.gov.cn

 

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