South Graphite Co. Ltd is in the process of creating a government-sponsored monopoly on amorphous graphite resources in Hunan pxrovince, China, industry sources told IM in April.
Sources revealed that of the 200 amorphous graphite mines in production in the province, only 20 will survive following a massive consolidation led by the government.
Production of amorphous graphite is expected to fall to 510,000 tpa amorphous graphite and 1.56m tpa coal - much less than the reported 700,000 tpa produced previously.
The same sources indicated that after the monopolisation is complete and the government policy for protection of non-renewable resources is introduced, the international graphite price will be determined by the company Ñ and it will be kept high.
Natural graphite export data shows that Hunan province exported 6,631 tonnes in January and 5,860 tonnes in February, down 55.3% and 60.6% respectively year on year. Hunan province...