Nippon Denko Aims at Silicon Manganese Production in China at 35,000 Tonnes in 2006

Nippon Denko aims at silicon manganese production to 35,000 tonnes at the manufacturing plant in Liaoning Province, China, in 2006. This production scale is equal to over 90% of the operation ratio to 9-month productive operation. The operation is starting from April through its trial operation in March. Then, Nippon Denko will perform the full production of 50,000 tonnes per year as soon as possible. Nippon Denko wants to be in the black in 2007 establishing the position as a stable supplier. Construction of the plant had started last July, and its completion is just around the corner. Since the construction expense reached 2.9 billion yen exceeding the plan, the second income of the capital by Jinzhou Ferroalloy in China became 122 million yuan (about 1.7 billion yen) from 85 million yuan, The investment ratio is 71.1% for Nippon Denko, 25.6% for Toyota Tsusho, and 3.3% for Jinzhou Ferroalloy. Nippon Denko closed its Hidaka plant in Hokkaido, Northern Japan, in December 2005. The firm will ship silicon manganese from the stock at the plant by the time the plant in China starts the production operation.