Chapter 364: At the Center of Public Opinion
Lu Chenyi did not continue to meet with Li Tang today, knowing Li had drunk too much last night and was undoubtedly not fit for any serious discussions.
Instead, Lu invited Rong Yijian over for a private conversation.
"Please sit down," Lu said politely, aware that Rong wouldn't decline his invitation.
"I never imagined that the renowned business magnate Li Tang had such poor alcohol tolerance," Rong remarked humorously. "If the media discovered this, they'd broadcast it nationwide, and ordinary people would surely feel relieved knowing there's at least one aspect they can surpass Li Tang in."
"Li Tang has always been low-profile, rarely participating in social events. Poor alcohol tolerance is understandable," Lu replied, chuckling.
The relaxed banter helped to ease any initial tension, making the atmosphere much lighter.
"His drinking may be poor, but his investments in iron ore came at a perfect time and achieved notable success. Winning Mining's shipment to Haigang City has paved the way; things will only become smoother from here," Rong admitted with a hint of envy. "In two or three years, our Xinuo Magnetite Project will surely enjoy similar success."
Upon receiving Lu's invitation, Rong rushed over primarily to discuss the Xinuo Magnetite Project. Inspired by Winning Mining's success, Rong hoped to replicate their model—signing long-term supply contracts with domestic steel companies even before the project's construction commenced. Such agreements spanning ten, fifteen, or twenty years would significantly bolster their confidence, reassuring investors and banks.
No matter how substantial Huaxin Taifu's financial strength was, funding a massive iron ore project still necessitated external financing. Winning Mining had provided a perfect example to follow, so even merely copying their approach would not lead them astray.
Thus, gaining support from Haigang Steel became crucial. With Haigang Steel taking the lead, Rong would not need to worry about securing contracts from other steel enterprises.
"Li Tang truly does many beneficial things for the nation and its people," Lu never hid his admiration and respect for Li Tang.
Having represented the national steel association multiple times in iron ore negotiations, experiencing repeated frustrations and setbacks, Lu increasingly appreciated Li Tang's crucial role. However, today Lu didn't want to focus solely on Li Tang; instead, his meeting with Rong was aimed at discussing the Xinuo Magnetite Project specifically.
"I trust Li Tang's words completely. Do you?" Lu abruptly asked, addressing the primary topic directly.
"What words?" Rong was momentarily puzzled.
"Do you recall what Li Tang told you previously?" Lu looked directly into Rong's eyes. "It's clear that Li Tang isn't optimistic about the prospects of the Xinuo Magnetite Project."
Upon hearing this, Rong felt his passionate enthusiasm turn icy cold, replaced by discomfort. "Li Tang is undoubtedly accomplished in the mining sector, but he may not fully understand all the intricacies of the Xinuo Project. It's inevitable his judgment might be inaccurate," Rong replied defensively, clearly disagreeing with Li Tang's viewpoint.
After all, if he had no faith in his own project, why would he invest over four billion USD into such a large-scale mine?
"My suggestion is that Huaxin Taifu carefully re-examine your contract for Xinuo Magnetite and thoroughly investigate Australia's iron ore market conditions, as well as gain a deeper understanding of who Paulmer really is," Lu Chenyi said gravely, genuinely concerned. "Given Li Tang's understanding of Australia's iron ore environment, I doubt he would make baseless statements just to offend or confuse us."
Rong Yijian, older and more experienced than Lu, still found it hard to fathom Lu's unwavering trust in Li Tang—a young man barely in his twenties. Lu's belief in Li Tang appeared as though he had been bewitched.
Deep inside, Rong harbored resentment toward Li Tang, suspecting his words were motivated by self-interest—attempting to undermine a competitor's project before it even began. Such manipulative tactics were all too common in the competitive world of business.
Nevertheless, out of respect for Lu, Rong didn't openly dispute his opinion. Instead, he replied diplomatically, "I'll seriously consider your advice," before swiftly shifting topics. "Regarding cooperation between our two enterprises, when can Haigang Steel discuss long-term futures contracts with us?"
Lu paused briefly, then gently declined Rong's proposal. "Currently, Haigang Steel's iron ore supply adequately meets our factory's demands. We don't anticipate seeking additional sources in the near future."
Though expressed politely, Lu's rejection was unmistakably clear. Coupled with Lu's earlier remarks, it was evident Li Tang's earlier comments had decisively impacted Haigang Steel's willingness to cooperate with Huaxin Taifu on the Xinuo project.
"Ah, I understand," Rong Yijian responded awkwardly, rising from his seat. "If there's nothing else, I won't trouble you any further, Mr. Lu. Please contact me if you ever visit Hong Kong; I'll gladly host you."
"Let me see you off," Lu offered, escorting Rong silently through elevators and hallways to the building's entrance. As Rong walked toward his car, Lu called after him, offering reassurance, "Chairman Rong, I sincerely hope your Xinuo Magnetite Project achieves great success."
"It certainly will," Rong confidently responded, turning back with a firm smile.
Born into elite circles and accustomed to success, Rong exuded unwavering confidence in every venture he undertook. Returning to Hong Kong aboard his private jet, Rong immediately summoned the Xinuo Magnetite project team to his headquarters office.
"I want a thorough re-examination of the contract signed with Paulmer. Dispatch someone immediately to Western Australia to conduct an in-depth investigation of both the Xinuo Magnetite deposit and Paulmer himself," Rong instructed firmly. Although skeptical of Li Tang's warnings, he couldn't entirely dismiss Lu Chenyi's advice, especially since his project's success relied heavily on Haigang Steel's cooperation.
Not long after, the project manager reported back, stating confidently, "We engaged Hong Kong's top attorneys to review every clause of our contract thoroughly. Everything checks out perfectly."
"No issues at all?" Rong laughed with relief. "I never doubted it."
"We also hired internationally renowned geologists, formerly with Rio Tinto's exploration division, to verify the technical reports on Xinuo Magnetite. They confirmed the deposit contains approximately two billion tons of iron ore reserves without issues."
"And what about Paulmer himself?" Rong inquired further.
"Turns out Paulmer has an extremely poor reputation in Australia. We discovered at least eight lawsuits involving him, with Paulmer as the plaintiff in each case."
"What exactly were these lawsuits about?"
"We weren't able to review specific court documents, but apparently, he usually seeks huge compensation. For example, he's currently suing a former employee who joined another mining firm, accusing him of disclosing trade secrets and demanding tens of millions in compensation."
"So, he's ruthless even toward former employees?" Rong remarked bitterly, realizing these findings partially confirmed Li Tang's concerns. He paused, then asked again to reassure himself, "But you're certain our contract is watertight?"
"Absolutely. Lawyers from both Hong Kong and Australia thoroughly reviewed it. It's solid and enforceable."
"Then the contract is all that matters. Regardless of Paulmer's character, it's irrelevant," Rong concluded, feeling reassured. The contract was legally binding, after all.
…
Back at the hotel, Li Tang fell asleep again after breakfast, only to be awakened later by his ringing phone.
"Hello?" he answered groggily.
"Li, it's me," a familiar voice spoke. It was Friedland. "Christopher, the project development director from Freeport-McMoRan in the U.S., visited me. Isn't he the father of Winning Mining's beautiful female CEO?"
"He is," Li replied.
"They're interested in buying my 50% stake in the Kamoa-Kakula copper project."
"What's your decision?" Li Tang asked curiously.
"They made a generous offer, but I'm not particularly short of cash right now. Besides, Kakula's mineralized zones have extensive unexplored potential along strike. Selling now wouldn't maximize profits," Friedland explained earnestly. "I've learned that selling mining rights doesn't generate the greatest wealth. Developing the mine ourselves and earning hundreds of millions annually over decades—that's true wealth creation."
"If you prefer not to sell to Freeport, keep your stake. Once exploration finishes, we can sit down and discuss joint development plans," Li assured him.
"Fantastic!" Friedland exclaimed happily. He desperately wanted Ivanhoe Mines to evolve from a mere junior exploration firm serving larger mining giants into a major asset-heavy mining conglomerate, reaching the heights of the industry leaders.
"Is there anything else?" Li asked.
"Yes," Friedland quickly added. "Aside from Christopher, Mark, the CEO of Barrick Gold, has been contacting me frequently, wondering when you'll visit Canada. Did you promise Mark collaboration on a gold exploration project?"
Had Friedland not reminded him, Li would have completely forgotten. After Vancouver police detained him previously, Mark had intervened decisively, playing a significant role in securing Li's freedom. To repay this favor, Li had promised to cooperate on a gold project rather than granting Mark shares in Rumble Resources.
A promise, once made, had to be honored. Finding a suitable gold project was easy; Li's mind brimmed with countless opportunities. It was only a lack of sufficient time and energy preventing him from seizing them all.
"I did promise him," Li explained. "But after my unpleasant experience in Canada, my family strongly opposes my returning there, worried about my safety. Perhaps I'll appoint someone to manage Canadian projects in the future."
"Mark mentioned that if you come, he will definitely ensure your safety!"
"I got it."
"Also, recently, various geological exploration associations in Canada, including provincial geological societies, want to invite you to join their organizations as a member, or even as an honorary chairman. Would you be interested?"
"I'm not interested. If there's nothing else, I'm hanging up."
Li Tang tossed the phone aside and was about to lay his head back down to sleep when a sudden knocking at the door interrupted him.
He climbed out of bed to open the door, only to find Lu Chenyi standing there, accompanied by Qu Yong'an and several others, personally knocking on his door to wake him up.
"Still haven't recovered from last night's drinking?" Lu Chenyi smiled, holding up a tin of tea leaves. "This tea is excellent for hangovers. I heard you had a bit too much last night, so I specially brought it over. Do you have tea-making utensils in your room?"
Li Tang glanced behind him and shook his head. "Hotel rooms don't have tea sets."
"I brought my own. We can plug it in and start brewing," one of Lu Chenyi's assistants quickly explained, producing all kinds of tea-making equipment.
Li Tang moved aside, allowing them into the room, rubbing his eyes, puzzled by the early visit.
The first shipment of iron ore had already been unloaded yesterday, and the welcoming ceremony was completed. Moreover, he had openly shared his future plans regarding the Malihe Iron Mine with Lu Chenyi. Logically, Li Tang shouldn't have had any more information that Lu Chenyi desired.
So, this formal visit, complete with an entourage, was quite unusual.
"Is something urgent?" Li Tang finally asked.
"We're here specifically to help you sober up," Lu Chenyi replied casually, motioning everyone inside. A tea master accompanying him carefully prepared hot tea, and after about fifteen minutes, a steaming cup was finally placed before Li Tang.
"Good tea!" Li Tang sipped the hot beverage, its sweetness instantly soothing his throat.
"This tea is particularly good for hangovers, isn't it?" Lu Chenyi casually remarked, slowly drinking his own cup, though clearly distracted by other matters.
Qu Yong'an sat stiffly at one side, clearly tense, without touching his tea. Observing this, Li Tang put down his cup and smiled knowingly.
"You obviously have something important to discuss," Li Tang said calmly.
"Enjoy the tea first. Work matters can wait," Lu Chenyi insisted, though his face betrayed his anxiety.
"This tea makes me uneasy," Li Tang remarked, noting their odd behavior.
"Actually, it's nothing bad. It's something well-known in the industry already," Lu Chenyi finally said, putting his own cup down. "Li Tang, among us old friends, there's no need to hide anything."
"What exactly am I hiding?" Li Tang looked bewildered.
"The Malu River Coal Mine," Lu Chenyi prompted directly.
"I haven't been paying close attention to Malu River Coal Mine recently. I assigned an investment team led by Catherine and also dispatched a technical team. Liu Naishun oversees everything there, with technical support from Shenxia Group's Xie Jiashu. In coal mining, they're more professional than I am, so I've stayed out of their way," Li Tang explained honestly.
It wasn't that he was unfamiliar with coal mining techniques, but rather he had too many responsibilities. Moreover, Malu River Coal Mine, a sedimentary deposit with clearly distinguishable main coal seams like the Gates and Gething Formations, wasn't technically challenging, so he didn't feel the need to intervene frequently.
"I understand. You're extremely busy and just returned from Congo," Lu Chenyi acknowledged without criticism. "News just came from Shenxia Group that exploration work at Malu River Coal Mine has concluded, with total proven reserves reaching seven billion tons—half of which is coking coal! That means coking coal reserves alone amount to an astonishing 3.5 billion tons!"
"Oh—" Li Tang nodded blankly. These figures had been within his expectations and didn't particularly surprise him.
"You didn't know about these results?" Lu Chenyi asked, surprised by Li Tang's calm reaction.
"I was recently busy in Congo, and I entrusted Malu River Coal Mine entirely to He Runqi. Upon returning, I immediately came here without even having time to handle company matters," Li Tang feigned shock convincingly. "Did we really find seven billion tons?"
Lu Chenyi felt that Li Tang was acting deliberately surprised!
Qu Yong'an quickly interjected seriously, "We not only confirmed this news with Shenxia Group, but also verified it directly with Canadian sources. Malu River Coal Mine indeed confirmed seven billion tons, with 3.5 billion tons being coking coal!"
His eyes widened as he exclaimed, "Without a doubt, Malu River is now the largest coal mine in the world, surpassing even the Tavan Tolgoi mine with its 6.5 billion tons total reserves, including 1.8 billion tons of coking coal!"
"News about the Malihe Iron Mine and the Malu River Coal Mine broke simultaneously, creating a huge stir—like molten iron meeting ice water, causing an explosive reaction," Lu Chenyi marveled at Li Tang's composed, even slightly stunned expression. "Currently, the entire Canadian mining industry is in uproar over these two discoveries! Malu River is Canada's largest coal mine ever discovered, while Malihe is the biggest iron mine ever identified there! Canada prides itself as having the world's most advanced mining exploration techniques and regulations, yet they missed these two massive deposits."
He pointed directly at Li Tang's nose, not rudely but emphasizing his astonishment. "You truly are remarkable, completely reshaping Canada's geological understanding and worldview!"
"All across Canada, exploration firms are engaging in self-reflection," Qu Yong'an added enthusiastically. "I've specifically spoken with my Canadian counterparts, and every exploration company and institution is studying your methods and investment strategies."
"Really? I'm flattered, but there's nothing extraordinary about my methods," Li Tang suddenly recalled Friedland's earlier call. No wonder Canadian geological associations and societies were urgently inviting him to join, offering prestigious honorary positions.
Clearly, Canadian mining circles had become deeply interested in him due to the extraordinary discoveries at Malihe and Malu River. This collective introspection was also a path toward continued improvement, essential for maintaining the country's industry-leading status.
"But let's leave aside Canada's situation and focus on our domestic concerns," Lu Chenyi continued, gazing intently at Li Tang. "Are you planning to establish your own steel plant?"
"What makes you ask that?" Li Tang had genuinely never considered such a move.
"You hold vast iron ore reserves, and with Winning Mining already in production, your iron ore supply is abundant," Lu Chenyi explained carefully, still watching Li Tang's expression closely. "If Malu River Coal Mine is also developed, you'll have continuous access to high-quality coking coal. The two main raw materials for steel production—also the largest cost factors—will be entirely under your control. If you established a steel company, no other enterprise worldwide could compete with you!"
"But steelmaking techniques differ greatly from mining exploration and development," Li Tang immediately clarified his stance. "I don't believe that simply having control over raw materials ensures success in managing a large steel enterprise. Particularly, downstream steel processing is technically demanding, with fierce market competition."
"If you limit yourself purely to steelmaking without downstream processing, the technical barrier is actually low," Lu Chenyi reasoned. "Consider the nearly two thousand steel enterprises that sprang up nationwide in recent years. It's clear that basic steelmaking isn't overly challenging."
"But mining is the most profitable segment of the entire industry chain. Why should I compete for the relatively modest profits of steelmakers?" Li Tang smiled convincingly. "Even your Haigang Steel views steelmaking as supplementary, preferring instead to expand into higher-value downstream industries."
Observing Li Tang's sincere smile, Lu Chenyi finally relaxed, convinced that Li Tang genuinely wasn't interested in entering the competitive steelmaking sector.
"Drink your tea," Lu Chenyi said calmly, noticing it had grown cold but drinking it anyway. He then asked another question, "Are you planning to develop Malu River Coal Mine?"
"It must be developed!" Li Tang confirmed without hesitation.
"Imported coking coal is usually better quality and cheaper than domestic sources," Lu Chenyi remarked confidently. "If you can supply coking coal, Haigang Steel alone can consume tens of millions of tons annually!"
"Your support greatly boosts my confidence in the Malu River Coal Mine project!" Li Tang laughed heartily. "Let me toast you with tea instead of wine!"
At that moment, Li Tang's phone rang again. Picking it up, he saw the call originated from Li Xingchao's office.
"Mr. Li, what's up?" he asked politely.
"This is Lei Ming."
"Chairman Lei, hello!" Li Tang immediately recalled the image of the short, stout old man.
"Where are you now? Can we chat in person? I'm at Xingchao's office," Lei Ming said warmly.
"I'm still at Haigang chatting with Chairman Lu today, so unfortunately, I can't meet you today," Li Tang apologized politely.
"Ha-ha! Young man, always charming. Xingchao just informed me about Malu River Coal Mine's latest results. Impressive! Very impressive indeed!" Lei Ming praised sincerely.
"Receiving your approval greatly validates our efforts," Li Tang responded humbly. "Mr. Li and Minister Xie greatly contributed to these remarkable results."
"Thank you for speaking highly of them. The Group will definitely recognize their contributions," Lei Ming replied kindly. "When you're back in Beijing, let's meet to discuss further development plans."
"Definitely! I'll be there."
"You're quite the popular young man! Anytime you're in Beijing, you must visit me," Lei Ming concluded warmly.
Hanging up, Li Tang waved his phone casually. "Shenxia Group is very focused on Malu River Coal Mine. Chairman Lei just personally invited me to discuss the next stages."
"Not just Shenxia Group," Lu Chenyi laughed knowingly, "The national resource, energy, and steel sectors are all closely watching. You're truly at the center of public opinion—though ironically, you remain the calmest."
"Staying focused on your own work despite all distractions," Qu Yong'an praised admiringly.
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