Why can low-grade gold mining "treasure"?

From Tang June's "education door" to Zijin mining "environmental protection Door", Xinhua group Chairman Chen Fashu may be more depressed recently. Zijin Mining predecessor is Fujian Shanghang County mining Company. According to the Zijin Mining 2009 Annual Report, its largest shareholder is Shanghang County Sasac's state-owned Assets Investment and Management Co., Ltd., which accounts for 28.96%.　　Xinhua Group is the second largest institutional shareholder, accounting for 11.69%.　　April 15, 2008, Tang June as China's first manager of the status, complacent to just from the Zijin mining in the wealth of the new Mr Chen would, Fujian province, the richest man of the tree ... "There have been media reports.　　And in the history of Zijin mining, pollution incidents are also the same.　　A low-grade gold mine can also be profitable? "At the beginning of the last century, the gold industry was very depressed and very few people were willing to do it, but we persisted, so we succeeded."　　"Zijin, a senior member of the mining industry, told the first financial daily reporter.　　1982, Chen Jinghe (Zijin Mining chairman), who graduated from the geology of Fuzhou University, entered the Geological brigade of West Fujian province, and began to carry out the survey project of Zijinshan Gold and copper mine. After 11 years of working in the Geological Brigade, Chen Jinghe into a state-owned Shanghang County mining company. This year, Shanghang County Mining company renamed Fujian Province Shanghang County Zijin Mining Corporation.　　Since then further renamed restructuring.　　Because of the high cost of gold smelting at that time, and the gold price is very low, Chen Jinghe with sodium cyanide solution to the successful extraction of gold, so that the cost of gold mining, so that there is no too much mining value of low-grade mine has a mining value. "But sodium cyanide is highly toxic, and if not handled well, it can easily cause pollution."　　"Technicians at a gold company near Zijin Mining, told the reporter. The Zijin mining industry is famous for its low mining costs.　　The cost of mineral gold per gram in Zijin mining was only 57.64 yuan in 2007, only 45% of the domestic average.　　A brokerage analyst told reporters that some low-grade gold mines, others did the loss, and Zijin mining may be profitable. Last September, the domestic a-share market, the largest gold company Chenzhou Mining (002155.SZ) issued a notice, due to the low grade of gold, taking into account the lack of mining value, the company had obtained a gold deposit prospecting rights, to the equivalent of cost price of the transfer to a local private enterprise in Hunan-　　Hunan Province Lake black tea Zen blindly Tea Co., Ltd. Zijin Mining has been expanding very quickly because of its low cost. Zijin mining, which was listed in Hong Kong in 2003, has raised funds to further expand the Zijin's mining capacity.　　5 years later in 2008, Zijin Mining returned A shares, further strengthening the strength.　　Environmental protection is reluctant to invest? From 1998 to 2002, international gold prices have been hovering around 300 dollars/ounce. But since 2003, international gold prices have started to rise sharply, and have now risen to more than 1200 dollars/ounces. This makes many of the original miningValue of the gold mine, but also into the Zijin mining perspective. The same is true of international copper prices.　　Since 2002, the global copper price has risen sharply and LME copper prices have hit a record high in May 2006, influenced by China's sustained rapid economic growth and rampant international capital flows. "Although the current domestic copper smelting technology has been in the global relatively advanced, but still have a lot of pollution." Now, the state limits the excessive growth of copper smelting capacity.　　"China nonferrous Metals Industry Association, an expert told reporters. At the end of 2006, the dam-breaking accident occurred in Zijin mining Zhenfeng, Zhenfeng County, Guizhou province.　　The tailings reservoir contains about 200,000 cubic meters containing toxic potassium cyanide and other components of waste water overflow, downstream two reservoirs are contaminated.　　Zijin Mining was once again criticized by the Ministry of Environmental Protection, because of the serious environmental problems that had not yet been scheduled for rectification in May this year. "Accident is sooner or later, environmental protection is reluctant to invest." "The blame for the Zijin mining industry, a large gold company told the newspaper reporter.