Chapter 319: Just Do It, Forge Our Own Path
"We'll immediately send you a contract template. Regarding specific contract terms, the CEO of Lianying Mining will personally come over to discuss in detail with Tangshan Steel."
Li Tang and Long Fuyuan had essentially agreed upon the general direction of their cooperation.
Long Fuyuan didn't have much issue with the futures contract or even the prepayment terms. The attitudes and intentions from both sides toward cooperation were fundamentally aligned.
However, after their contract talks, Long Fuyuan felt their conversation wasn't finished. On the contrary, he believed their cooperation had only just begun.
"Mr. Li, I've heard that besides signing a supply agreement with Haigang Steel, you've recently been closely discussing cooperative domestic iron ore exploration projects with them?"
"You know about this?" Li Tang admitted that he had indeed been negotiating exploration cooperation with Haigang Steel recently. Technically speaking, Haigang Steel was hiring Li Tang as a technical consultant. If he discovered new ore deposits, he would receive cash rewards and low-interest loans for Lianying Mining based on results.
Li Tang wondered how Long Fuyuan had learned of this, as it hadn't been publicized widely.
"You're the top geological expert in the country. Everyone knows finding you for mineral exploration guarantees results!" Long Fuyuan laughed heartily. "Our Tangshan Steel is also increasing investment upstream, particularly in exploration. We're also trying it out, and frankly, we don't lack money."
With annual steel production exceeding 15 million tons and revenue of billions, Tangshan Steel indeed couldn't possibly be short on cash.
Li Tang hesitated, "Is this cooperation a condition for your supply contract?"
"Whether it's a condition or not, we're here primarily because of you and your reputation," Long Fuyuan spoke amicably, without any hint of pressure. "Our goal is comprehensive cooperation: you explore, we develop, just like the Talego copper-gold mine project. A win-win for everyone, isn't it?"
The Talego copper-gold mine development was currently booming. Everyone in the domestic mining industry paid close attention, knowing clearly how lucrative the project would become—beneficial for generations.
Li Tang looked embarrassed. "I've just signed an exploration consulting contract with Haigang Steel, guiding their project fully. I'm afraid I won't have the time to cooperate further with you."
"No rush," Long Fuyuan wasn't discouraged. "I'll talk to Lu Chenyi directly later. We're good friends!"
...
Fred received Li Tang's call and wasted no time hopping onto the earliest flight to Yanjing. Upon arriving at Cloud Top Tower, he found Li Tang's office empty and became visibly anxious.
"Mr. Fred, here's your coffee. Please sit down; Mr. Li will be back shortly," Dai Yingchi personally brought him a cup of coffee.
As Li Tang Holdings grew larger, office morale and logistics services continually improved. The headquarters now featured bright offices, an upscale cafeteria, a fully equipped fitness center, and relaxation areas stocked with tea and coffee.
Fred recognized Dai Yingchi and asked urgently, "Where's the boss?"
"He stepped out," Dai Yingchi smiled. "I've already called him; he'll return immediately."
Fred grew restless, unable to sit still. "Lianying Mining's situation is getting worse every day, yet the boss instructed us to do nothing! Our stock price has already fallen to 4.4 Australian dollars. If we allow this trend to continue, it might dip below 4 dollars!"
Regarding Lianying Mining's troubles, Dai Yingchi couldn't help much, merely reassuring him, "Mr. Li definitely has a plan."
"If he has a plan, then let's discuss and execute it together!" Fred's direct approach couldn't accept inaction during a crisis. He continued impatiently, "We're almost certain that Rio Tinto and BHP are plotting together behind the scenes to destroy Lianying Mining!"
"Yes, but that's just speculation." Dai Yingchi had heard some of this from Li Tang before.
"It must be them!" Fred fumed. "They're violating business ethics, antitrust laws, and fair competition laws! We need to take action—sue them and expose their unethical practices publicly!"
Dai Yingchi, wanting to avoid escalating Fred's anger, nodded repeatedly, "Yes, yes."
"We must respond!" Fred insisted, not satisfied. "Even if they're giants like Rio Tinto and BHP, they can't do whatever they please! Over the years, they've ruined countless small businesses through dirty tricks. Their sins are countless!"
"Please listen," Dai Yingchi tried persuading gently. "Mr. Li advised you to minimize media exposure, as many outlets support companies like Rio Tinto and BHP."
Fred recalled the recent ten-million-dollar fine from the Securities Commission and hesitated slightly, though he remained defiant. "We won't fear any power! We'll never yield!"
Just then, Li Tang entered the office, accompanied by several members from the legal department. Hearing Fred's shouting from outside the elevator, he knew immediately Fred had arrived.
"What's going on? Who upset our CEO?" Li Tang teased, looking at Dai Yingchi. "Dai, did you fail to properly entertain our CEO?"
Though Li Tang joked, Dai Yingchi responded seriously, "Yes, I failed in hospitality. I accept responsibility and will correct it immediately."
Seeing Li Tang, Fred jumped from the sofa, nearly frantic. "Finally, you're here! You said you had important news on the phone—what is it?"
"Sit down first, I'll explain slowly," Li Tang spoke calmly.
With the two recent contracts from Wukuang Group and Tangshan Steel, he had little worry left. Once signed and announced, these contracts would quickly dismantle all the rumors against Lianying Mining.
Media claimed Chinese steel enterprises no longer trusted Lianying Mining, that multiple steel firms had terminated their cooperation, and even wildly asserted that Lianying Mining's funds had been siphoned off by Li Tang, leaving only a hollow shell about to collapse.
However, under the solid backing from Wukuang Group and Tangshan Steel, these rumors would vanish instantly.
The terminated contract by Lanting Steel was insignificant, given their modest production capacity of tens of thousands of tons annually. In contrast, Tangshan Steel and Wukuang Group's massive scale and commitment dwarfed these small enterprises.
Their strong support, coupled with substantial supply contracts, was more than enough to silence doubters.
Fred, unaware of these recent developments, anxiously exclaimed, "Lianying's stock price is collapsing! Lucati International's CEO Philip is constantly demanding explanations, threatening to halt further funding!"
Lucati International's investment was critical for Lianying Mining's success. Maintaining stock price stability and investor trust was paramount.
"Tell Philip from Lucati International confidently—Lianying Mining remains trustworthy!" Li Tang declared.
"Words alone won't solve our current crisis," Fred understood that talk meant little under the circumstances. Genuine action was needed to restore confidence.
He thus pushed urgently for legal actions against Rio Tinto and BHP and even contemplated public campaigns to expose their bullying practices.
But Li Tang disagreed with impulsive responses. "Yes, words mean nothing, so I asked you to remain calm and silent."
Li Tang beckoned the legal department staff forward, took a document folder from them, and handed it to Fred. "Here's the good news I mentioned."
"What's this?" Fred opened the folder eagerly, then grimaced seeing densely packed Chinese text.
"I can't read this," he frowned.
Li Tang took the document back, pointing clearly to the first page. "This document details a supply contract I just negotiated with Wukuang Group: 10 million tons of iron ore annually over ten years, with a 30-million-dollar advance payment."
"What?!" Fred gasped in shock.
This news surpassed all his expectations.
Despite the widespread negativity and public backlash against Lianying Mining—at a time when everyone treated them like fraudsters and abandoned them—someone had defiantly stepped forward, offering such a massive contract.
Why had Lianying's stock soared from one Australian dollar earlier in the year to six dollars? Largely because of their earlier agreements to supply 28 million tons of iron ore annually to Haigang Steel and other enterprises.
Fred realized instantly the massive implications of this new contract from Wukuang Group: it was precisely the vote of confidence they desperately needed, a critical reversal amidst a storm of distrust.
These contracts might feel insubstantial when you simply hold them in your hands, but the meaning behind them is immense.
Only those who've lived through the darkest, most frozen days of the iron ore industry from the last century would truly understand how significant these supply contracts are to an iron ore-producing company. They mean life or death for a business!
In that era, the companies that survived all had close ties with steel manufacturers. This is precisely why, even today, whether it's Rio Tinto, BHP Billiton, or Brazil's Vale, none of their iron ore mines operate entirely independently. They inevitably involve strategic partners.
These so-called strategic partners are essentially major steel manufacturers worldwide. With their investment and equity involvement, these steel companies naturally hand over supply contracts to the iron ore firms they're partnered with.
Even though today the iron ore market has become a seller's market, none of these firms have forgotten those harsh times. Selling iron ore remains their utmost priority.
Ultimately, whether you're selling clothes or noodles, it doesn't differ greatly from selling iron ore—the key remains having customers.
Even though iron ore currently sells easily, with spot prices consistently higher than long-term contract prices, companies still dare not entirely abandon long-term supply contracts. Market conditions are always unpredictable, and no one can say for sure if tomorrow's sun will rise as usual.
"We haven't formally signed these contracts yet, but there won't be any surprises," Li Tang explained cheerfully, looking at Fred. "Signing these contracts requires your signature."
"Wukuang Group?" Fred thought for a moment, quickly understanding. "This is the company you previously worked for, I remember."
"Exactly, and they're also one of Lianying Mining's shareholders," Li Tang reminded him.
Wukuang Group didn't hold direct shares in Lianying Mining but held them indirectly through Nanyang Investment Company. Fred was aware of this fact, which made it easy to understand why such a contract appeared now.
At a moment like this—one that could determine life or death—receiving such a contract ultimately meant hope.
"This is incredibly significant for us," Fred affirmed.
"The moment this contract is signed, a $30 million USD prepayment will enter Lianying Mining's account!" Li Tang's expression was relaxed. "It isn't just symbolic support—it's real, tangible financial backing!"
"This should be enough to dispel doubts from many investors and shareholders," Fred realized the importance of this contract.
Li Tang flipped the documents to the next page. "Aside from offering this significant supply contract and a hefty prepayment, Wukuang Group has also provided us with a substantial loan—five hundred million!"
"U.S. dollars, or Australian dollars?" Fred's eyes widened once more.
If they had sufficient funds, who would care about external perceptions? With enough money—thirty billion Australian dollars—all doubts could go straight to hell!
They wouldn't even need to make extra moves; all they'd need to do was focus on the mine and extract the ore! Continuous production of high-quality iron ore would be infinitely more persuasive than any beautiful promises made through mere words!
"Chinese Yuan," Li Tang clarified.
"That's still a huge sum!" Fred never disdained financial support, knowing that raising thirty billion Australian dollars would always involve gathering many smaller streams into a vast river. Every tiny progress meant one step closer to success.
Not to mention, five hundred million was an enormous leap forward!
"This helps us greatly," Li Tang understood the importance of funds to Lianying Mining.
"I'd love to express my thanks directly to the Wukuang Group's representatives," Fred insisted.
"You'll meet them soon. The contract is yet to be officially signed; we've only agreed preliminarily," Li Tang assured.
"But beyond thanking Wukuang Group for their immense support, I must also sincerely thank you, my boss!" Fred's typically flushed face displayed genuine gratitude. He was never shy about showing heartfelt emotion, whether to acquaintances or strangers.
"Without your connections and effort, none of these contracts would exist," he added. "You're genuinely a remarkable leader!"
Li Tang found Fred's sudden sincerity slightly awkward, feeling it sounded almost like a confession, perhaps exaggerated by Fred's animated facial expression. He frowned slightly. "It's my responsibility as the boss—nothing special."
"No…" Fred shook his head earnestly. "You've changed my perception of Chinese people entirely! Your wisdom, your solidarity—these are remarkable qualities unmatched by any other group!"
"You're being genuinely sincere," Li Tang couldn't refute him.
He then flipped to another document. "There's more?" Fred had thought his emotions had already peaked, yet another surprise awaited.
"Certainly!" Li Tang smiled, continuing. "This contract isn't from Wukuang Group. It's from China's second-largest steel producer, Tangshan Steel. The contract duration is ten years, with a total iron ore supply of 150 million tons…"
"150 million tons?!" Fred exclaimed once again, utterly stunned by the astronomical figure.
"The terms differ slightly from our agreements with other firms," Li Tang explained patiently. "Tangshan Steel's ore demand will increase gradually: starting from 2.5 million tons in the first year, eventually reaching 20 million tons annually over ten years, totaling 150 million tons."
Li Tang clarified further, "The prepayment is fifty million U.S. dollars, matching what Haigang Steel previously paid."
Combining Haigang Steel's earlier prepayment with this new one from Tangshan Steel meant Lianying Mining had now received $100 million in prepayments—a tremendous boost for their mine construction project.
"Is this real?" Fred was still somewhat incredulous.
"Absolutely!" Li Tang affirmed firmly. "Tangshan Steel believes strongly in our potential and is eager to support our growth!"
"Haigang Steel, Tangshan Steel, Hualing Steel—these big enterprises support us, clearly demonstrating their deep trust!" Fred felt overwhelmed, sighing. "It seems all the doubters haven't seriously impacted us. The voices against us have become insignificant."
"Exactly. We have powerful backers and trustworthy allies. That's enough!" Li Tang empathized with Fred's feelings. "We're not money—we can't be liked by everyone! But we absolutely cannot disappoint those who support us!"
After a long period of stress and anxiety—when they had almost fallen into the abyss—being pulled up at the last moment felt incredible.
Yet, amid gratitude, they also felt the heavy weight of responsibility.
"Indeed, we cannot disappoint them!" Fred was now fully energized.
"Let's do it, then—let's forge our own path!" Li Tang encouraged enthusiastically.
Fred nodded, gazing at Li Tang with profound admiration. "Boss, you're truly capable of anything!"
…
After the stock market opened today, Lianying Mining's share price continued its downward spiral, almost becoming habitual. Shareholders were groaning, eager to sell off their shares. Amid relentless negative media commentary, such anxiety was contagious.
Alba agreed to an interview with the Financial Commentary News.
In the past year's booming global iron ore trade, Brazil's Vale had benefited most significantly, with annual production exceeding 200 million tons, unmatched globally.
Rio Tinto ranked second, their profitability rivaling Vale's, aided by advantageous factors like lower shipping and insurance costs. There was no doubt Rio Tinto's profits this year would break records again.
Many media outlets were already speculating how high Rio Tinto's dividends would be, judging by their steadily rising stock price this year.
"Mr. Alba, global iron ore production will increase next year as companies expand capacity. Do you think the iron ore market next year will remain undersupplied with surging prices?" Yuna, whose recent reporting had earned acclaim, was granted this high-profile interview, marking the pinnacle of her career thus far.
"Production follows market demand. Next year, not just Rio Tinto but global iron ore producers will scale up production. Yet, market demand remains robust, especially in China," Alba explained carefully. "However, I don't believe next year's market will replicate this year's conditions. Iron ore prices rising 70% this year was unprecedented, clearly an abnormal short-term phenomenon that won't continue."
"You mean prices won't rise significantly next year?" Yuna clarified.
"Not only will prices likely stabilize, they may even fall!" Alba declared boldly. "Global iron ore production and demand are moving toward balance. A significant price correction is highly probable."
"How would this scenario impact Rio Tinto?"
"Minimal impact. Even when iron ore was $30 per ton, we turned profits. After prices reached $60 and higher, even with a downward correction—as long as they don't fall below $30—we remain highly profitable."
Alba was extremely confident in his company. His tone shifted abruptly as he stared directly into the camera, speaking earnestly, "However, for those smaller enterprises blindly increasing production or new mines recklessly following the investment craze, a decline in iron ore prices would undoubtedly deliver a fatal blow."
"Mr. Alba, your words are truly insightful, providing valuable reminders to those who have recently entered or plan to enter the iron ore industry," the host commented appreciatively. "The iron ore sector isn't nearly as prosperous as it currently seems. The risks remain significant, and reckless investments, especially massive ones, aren't wise."
"Are you referring specifically to Lianying Mining?" Yuna detected a deeper implication in Alba's statement.
"I don't concern myself with Lianying Mining," Alba replied cautiously. "My daily task is solely to ensure Rio Tinto's production and sales remain strong." Alba knew openly criticizing another company could invite trouble. "My sole responsibility is to Rio Tinto's shareholders."
"Lianying Mining's stock price continues to plummet, facing a severe crisis of trust. Based on your experience, how should they handle this situation?" Yuna clearly had deep knowledge of Lianying Mining, and recent rumors had hinted at Rio Tinto or BHP Billiton playing roles behind Lianying Mining's troubles. Competition in the industry frequently resulted in companies falling to stronger opponents, a situation everyone had become accustomed to, especially considering how many competitors had fallen beneath Rio Tinto or BHP Billiton's feet.
"Rio Tinto has never failed or lost credibility. We are a century-old enterprise with impeccable integrity and reputation," Alba changed the topic subtly, indirectly mocking without naming. "If a deceitful, dishonest company doesn't fail, it would severely disrupt market discipline."
"Are you calling Lianying Mining a deceitful company?"
"Did I explicitly say that?"
"You just implied it clearly."
"I referred to any deceitful companies in general. I wasn't pointing specifically at any individual or enterprise!" Alba hurriedly clarified, reiterating his stance. "Our shareholders and institutional investors should keep their eyes open, avoid being fooled by sweet promises, and remember their money is hard-earned and essential for supporting their families. They must be cautious!"
Inside the broadcasting studio, Marianne was deeply pleased with Yuna's interview. Yuna consistently had a knack for seizing trending topics and addressing issues that genuinely captivated the public.
Suddenly, someone ran urgently toward Marianne, whispering rapidly, "Lianying Mining just released three critical announcements in quick succession!"
Recently, Lianying Mining had been drawing more attention than Rio Tinto or BHP Billiton. After all, this was a unicorn enterprise that had delivered returns many times over within a short period. Its dramatic stock price increase and equally sudden fall captured the attention of countless people. Every move from Lianying Mining was closely watched by the media.
Lianying Mining had been silent for quite a while. Even Fred, usually so outspoken in front of the press, had vanished from the public eye for quite some time, raising suspicions that he'd been detained for investigation.
Suddenly, Lianying Mining's release of major announcements meant something significant had happened.
"Is it the news that Fred has been arrested?" Marianne immediately assumed.
"No."
"Perhaps they've published their financial status?"
"Sort of, but not exactly."
"Then what exactly is the announcement?"
"Lianying Mining just announced three key developments. First, they've signed a long-term supply contract with China's Wukuang Group for a total of one hundred million tons of iron ore!"
"Huh?" Marianne's eyes widened.
"From this contract, they have secured a prepayment of $30 million USD!"
"That's major news!"
"In addition, they obtained a loan close to one hundred million Australian dollars from Wukuang Group!"
"What?" Marianne nearly jumped from her seat. "Is this information verified?"
"It seems reliable because the announcement stated clearly that the money transfer procedures have already begun and will soon reach their account."
Marianne rested her chin thoughtfully, her mind racing.
Without a doubt, this was headline-worthy news!
Lianying Mining had remained silent amid numerous accusations and defamatory comments without responding. People had assumed they were feeling guilty. But these announcements demonstrated clearly that their silence wasn't cowardice or guilt—it was preparation to strike decisively. Their move would obliterate all skepticism and accusations!
"We need to publish these announcements immediately!" Marianne urged, fully aware of the huge impact this news would have. "Moreover, we must secure the first interview with Fred to hear directly from him about Lianying Mining's next steps!"
The public had awaited a response from Lianying Mining for too long. With this new set of groundbreaking information, if Fred could speak through their platform, they would instantly win massive attention. Everyone was waiting to hear Fred's voice.
Yet the assistant didn't rush off, continuing instead, "Lianying Mining also revealed an even more important announcement."
"There's more?" Marianne felt her breath catch.
"Lianying Mining also reached an agreement with Tangshan Steel, China's second-largest steel producer, signing a contract to supply a total of 150 million tons of iron ore!"
Taking a deep breath, the assistant added, "Moreover, the announcement mentioned that both parties intend to engage in further, deeper collaboration, the specifics of which are still under negotiation."
"What?" Marianne felt a bit overwhelmed, unable to immediately grasp the complexity and implications. "Both China's largest and second-largest steel producers have signed contracts with Lianying Mining, and these contracts involve massive quantities!"
"Exactly."
"Contact Lianying Mining immediately!" Marianne hastily instructed her assistant. "We must secure the first interview with them at all costs—preferably an exclusive!"
She grabbed the intercom to relay this news urgently to Yuna, who was still conducting Alba's interview.
Yuna listened carefully to the message, stunned internally by its implications. Having interacted with Lianying Mining repeatedly, even as an industry novice, she understood clearly that these announcements could fundamentally alter Lianying Mining's fate.
Alba was still eloquently discussing company strategies, indirectly criticizing Lianying Mining's credibility.
"Mr. Alba!" Yuna abruptly interrupted, conveying succinctly, "We just received news: Lianying Mining released three critical announcements!"
"What news?" Alba reclined casually, smiling mockingly.
"Lianying Mining has secured a ten-year iron ore supply contract with Wukuang Group for a total of one hundred million tons, alongside a loan of nearly one hundred million Australian dollars!"
Speaking quickly and clearly, Yuna continued, "Also, Lianying Mining has signed another major iron ore contract with Tangshan Steel, China's second-largest steel producer, totaling 150 million tons, with intentions for deeper collaboration!"
Alba's casual posture instantly changed. His lips twitched, pupils contracting sharply as he stared incredulously at Yuna.
"This can't be fake news, can it?"
"Directly from Lianying Mining's official website!"
"You must be joking!" Alba forced a fake smile. "It's impossible—this kind of thing simply can't happen!"
"This news just broke," Yuna insisted firmly. "Soon enough, it'll spread worldwide."
"Lianying Mining's reputation is completely destroyed!" Alba argued, counting off accusations. "Their CEO Fred has vanished, their mysterious owner might've fled after embezzling funds. Many Chinese steel companies have already cut ties after seeing through Lianying Mining's deception. There's no way at this point other companies would willingly cooperate with them!"
"But this information has been officially published by Lianying Mining themselves—it seems genuine," Yuna said calmly, seeing Alba's disbelief. "If Lianying Mining dared to publicly announce this, the deals are probably finalized."
"This is absurd!" Alba exclaimed, visibly angered.
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