Taiyuan Iron & Steel Group has signed an agreement with China Nonferrous Metal Mining Group on 26 July 2010 to jointly develop the Tagaung Taung nickel mining project in Myanmar. CNMC Nickel, a wholly owned subsidiary of CNMC, was previously in charge of developing the Tagaung Taung nickel mine. After signing the agreement, TISCO will inject capital into CNMC Nickel to acquire a certain share in the increased capital stock. The Tagaung Taung nickel mine marks the largest mining project in which China has ever cooperated with Myanmar. The mine has a reserve of more than 30 million tonnes of high grade nickel ore containing some 700,000tns of nickel. The project, which will be in operation from 2011 to 2031, will attract an investment totaling USD 800 million and produce 85,000tns of nickel iron containing 22,000tns of nickel a year. In addition, the construction of mining, smelting and service facilities is well under way.
