Chapter 405: Holding One's Head High
"We're businessmen. Is it really necessary to create enemies like this?" Alice was always a rational woman.
"It's not that I'm deliberately trying to make enemies; he's the one who provoked me first!" Li Tang had been more cautious in the past, but with his current resources and increasingly robust financial strength, his temper had also grown correspondingly.
"Besides, Baumel is someone I genuinely dislike. Since he's asking for trouble, he can't blame me for being rude!"
"Baumel's character really is detestable," Alice agreed, but she still harbored some concerns. "However, you know that by selling the Xinuo Magnetite Mine, Baumel received more than 400 million dollars in cash. This has greatly increased his net worth, pushing him into the ranks of Austria's top five richest individuals. Moreover, he's an expert at exploiting legal loopholes in Austria. He's strong, resourceful, and notoriously tough to deal with. If you go head-to-head with him, I'm worried you might not gain much, and it could even bring unnecessary trouble."
In the last two years, Baumel had become extremely prominent in Austria, his wealth soaring. Being among the top five richest Austrians wasn't even his ceiling. In fact, Baumel had made his first fortune through real estate investments in Queensland at a young age, achieving tens of millions of dollars before thirty.
Recently, he had expanded heavily into mining—coal, iron ore, bauxite—Baumel had his fingers everywhere. His iron ore rights had secured his status among Austria's elite wealthiest. If history remained unchanged, he'd eventually become Austria's richest individual within two years.
But it wasn't just iron ore that elevated his wealth; coal would also play a critical role. Interestingly, the wealth elevating this cunning fox to the top tier of Austria's wealthy elite was primarily Chinese money.
Huaxin Taifu alone contributed more than 400 million dollars to Baumel's wealth. Meanwhile, China Electric Power International provided him a massive twenty-year contract valued at over $60 billion.
Baumel often emphasized his deep ties with China and liked to showcase his friendship publicly. But once he pocketed the money and the contracts were signed, his attitude quickly turned darker. Later, among all Austrian businessmen, Baumel would become the most vocal and critical detractor of China, openly biting the hand that fed him.
"You're right; Baumel really is a fox. Provoking him might indeed cause trouble," Li Tang conceded with a shrug, appearing unconcerned. "But I just can't stand the guy!"
Alice had always considered her boss the most rational and intelligent person she knew. Yet, on this matter, he was acting more like a rebellious teenager. Nevertheless, she didn't oppose him further.
Experience had shown that her boss—her only idol—always seemed to do the right thing. This matter looked impulsive and absurd, but who could really guess Li Tang's deeper intentions?
Just like when he had established Lianying Mining—during the global iron ore downturn, he still plunged forward courageously. And then again, investing in Galuminium Group's stocks at a time of extreme uncertainty, yet perfectly timing the market. He always seemed to have some foresight others lacked.
"So, how do you want to approach this?" Alice was ready to firmly execute any decision Li Tang made.
"First, let's investigate what Baumel has been doing lately, and then formulate an appropriate response." Li Tang said this, but in his heart, he already had a rough guess. "If my guess is right, he's probably using the four hundred million from Huaxin Taifu to enter the coal industry."
"Austria's coal resources are indeed quite good, both in quality and scale," Alice acknowledged, though she was slightly puzzled. "Are we doing this purely to punish Baumel, or are there additional benefits you're considering?"
"Of course there are benefits—and huge ones at that!" Li Tang laughed openly. "You think I'm just playing games?"
"That's reassuring," Alice smiled brightly.
She'd guessed correctly again—this man's thoughts truly remained elusive.
…
After several years of volatility, everyone thought the iron ore market might finally calm down.
However, contrary to expectations, iron ore prices on the spot market had become even hotter, rising with the summer heat.
Last year, iron ore spot prices had reached a historical high of $88 per ton, shocking the steel industry. Thankfully, late last year, Haigang Steel and other domestic representatives reached long-term contract agreements with the three major global iron ore giants, establishing prices slightly higher than expected but still manageable.
But this year, prices had become even crazier, surpassing $100 per ton!
In such circumstances, domestic steel companies—especially those that had signed long-term supply contracts—secretly rejoiced. In contrast, the three major iron ore giants were furious. At the end of last year, they had believed assurances from Chinese negotiators that China's iron ore imports would decrease significantly this year. Contrary to expectations, imports had dramatically increased, and the suppliers' long-term contracts had cost them dearly.
Amid this turbulent iron ore market, news suddenly emerged that Lituo had transferred the Simandou iron ore rights to Li Tang! Previously, Lituo had even sued Li Tang in international court over Simandou's northern blocks. Such a sudden turnaround was astonishing.
When this news reached China, everyone in the industry couldn't help but laugh.
Zhu Youxin from Hualing Steel had frequently visited Austria recently, inspecting Lianying Mining so often that colleagues jokingly accused him of going there just for free meals. Hualing Steel currently had significant capital reserves and was looking seriously at investing in upstream iron ore production. Investing in Lianying Mining was obviously beneficial, as its future seemed unstoppable. However, given its high current stock price, entering at this point was costly. Obtaining a board seat with meaningful influence would require investments of ten to twenty billion dollars.
Previously, Hualing Steel, alongside Haigang Steel and Tangshan Steel, had agreed with Li Tang to jointly invest in the Mali River iron ore project. But lately, due to increased opposition in Galand's media, concerns over the project's viability had risen.
Now, with Li Tang suddenly acquiring all rights to Simandou iron ore, industry players felt both tempted and conflicted. All these projects were world-class but required enormous capital and entailed significant risk.
"President Long!" Zhu Youxin picked up his phone and called Tangshan Steel's CEO, Long Fuyuan. Both companies were in similar positions; more communication might yield greater gains.
"President Zhu, heard about the Simandou project?" Long Fuyuan chuckled over the phone, seemingly gloating, "Lituo must've gone crazy, actually selling half the Simandou rights to Li Tang at a rock-bottom price."
"That's precisely why I called you!" Zhu Youxin was surprised at their identical thinking.
But it wasn't too surprising, really. Chinese steel companies had ample liquidity after years of rapid growth. With iron ore prices climbing, mining profits now far exceeded steel production margins. Naturally, steel companies aspired to integrate upstream. Yet domestically, iron ore resources were mediocre at best, with no truly large-scale project worth major investment.
Abroad, the best projects were firmly in the hands of global mining giants. Partnering with these giants required massive upfront capital, essentially bleeding investors dry without guaranteed outcomes. Foreign giants rarely welcomed cautious, profit-minded investors—only those willing to recklessly pour money were accepted.
But Li Tang was a notable exception. He possessed multiple world-class ore rights—perhaps the best globally.
"Earlier, Li Tang claimed the Simandou mine environment was unfavorable, yet he went out of his way to acquire the entire rights from Lituo," Long Fuyuan voiced suspicions. "Brother Zhu, frankly speaking, our relationships with Li Tang aren't great."
"How so?" Zhu quickly asked.
"To develop something as significant as Simandou, Li Tang won't actively seek us, Tangshan Steel, or you at Hualing Steel," Long Fuyuan spoke meaningfully. "If he needs investors, he'll first approach a leading domestic player like Haigang Steel. Consider it: Haigang Steel is located in China's largest financial hub, has its own deep-water ports, and plenty of downstream processing facilities. Their advantages are simply unmatched."
"You're right; Li Tang never initiates contact with me. Even when I want to reach out, he's always overseas—it's inconvenient due to time differences."
"Think about it—Li Tang helped Haigang Steel secure Nihe Iron Mine. Has he ever helped you at Hualing Steel? No," Long Fuyuan's tone grew serious. "Brother Zhu, we're inland companies, naturally disadvantaged compared to Haigang Steel."
"What do you propose?" Zhu asked immediately.
"This time, let's jointly approach Li Tang."
"And say what?"
"I believe Simandou's prospects are even greater than Mali River's," Long stated firmly.
"How so?"
"Mali River is within the Arctic Circle, extremely cold, limiting production to about 30 million tons annually, no matter the investment. Transporting from the Galand coast around the Arctic Circle is costly due to distance."
"Guinea's also very far away," Zhu countered.
"But Guinea has the advantage of allowing stable, year-round operations! As long as we can overcome Guinea's unstable political situation, such a massive mine could potentially produce over 100 million tons of iron ore per year!"
The leaders of these steel companies understood very clearly that if they could truly invest in a super mine capable of producing over 100 million tons annually, they would not only enjoy immense profits from iron ore production but also secure a continuous, stable source of iron ore supply for their steel plants!
It would be like investing early in a junior version of Lituo; investing ten billion now could become several hundred billion once successful!
"Our thoughts are aligned perfectly!"
...
Li Tang had just finished reviewing a tall stack of documents on his desk. Stretching leisurely, he decided to step outside for a short break. However, just as he reached the door, his path was abruptly blocked.
The people who appeared before him were aggressive, almost as if they were heading into battle.
"Going somewhere?" Long Fuyuan, who had always been polite before, was unusually assertive today, directly blocking Li Tang's path. Next to him stood Zhu Youxin.
"Where else can I go? Just the restroom," Li Tang replied with a chuckle.
Long Fuyuan paused for a moment, his aged face turning slightly red. He hurriedly moved aside, embarrassed, and said, "Go ahead."
"Gentlemen, please wait inside. I'll be back shortly."
Li Tang went to the restroom, and upon returning to his office, discovered it had suddenly become crowded. Besides Long Fuyuan and Zhu Youxin, Niu Fu had also arrived, accompanied by several unfamiliar faces.
"President Long, President Zhu, what brings you here?" Niu Fu asked in surprise upon entering Li Tang's office and seeing Long Fuyuan and Zhu Youxin instead of Li Tang.
"Why can't we be here?" Long Fuyuan retorted sharply. "President Niu, your Wukuang Group is close by, and you can visit anytime. But we arrived first today. You should let us have a private word with Li Tang first!"
"Should we wait outside then?" Niu Fu generously proposed. Turning to a man beside him, he smiled and said, "President Nie, we arrived late. Let's wait in the lounge."
Li Tang, entering at that moment, was also somewhat taken aback by the scene.
He immediately guessed why Long Fuyuan and Zhu Youxin had hurried over—undoubtedly, it had to do with iron ore projects. Mali River and Simandou—two of the world's largest and highest-quality undeveloped iron ore deposits—no ambitious mining enterprise could ignore either of them.
But why was Niu Fu here at this moment? He had previously discussed Simandou with Niu Fu, making his position clear. Even if he were to seek partners, he'd likely approach enterprises like Hualu Group, which already held shares.
"President Niu, something urgent?" Li Tang greeted him.
Seeing Li Tang at the door, Niu Fu remained calm. "Nothing urgent. I just wanted to introduce someone to you. This is the General Manager of Yuezhou Nuclear Power Group..."
"My name is Nie Yongchun," the middle-aged man beside Niu Fu said politely, extending his hand.
Li Tang shook his hand, puzzled. "President Nie, how can I help you?"
"Ah! You're now a benchmark among our nation's entrepreneurs—the pride of our people! Your remarkable international achievements showcase the strength and charisma of Huaxia entrepreneurs!" Nie Yongchun praised enthusiastically. Then, with a smile, he continued, "I'm here today somewhat abruptly because I indeed have some ideas I'd like to discuss with you."
"Please, come inside," Li Tang indicated toward the sofas.
Niu Fu explained, "We arrived a bit late, so go ahead and speak with President Long and President Zhu first. We'll wait for you outside."
Seeing the anxious faces of Long Fuyuan and Zhu Youxin on the sofa, Li Tang nodded. "Alright, sorry for the inconvenience. Please wait in the lounge for a moment."
After leading Niu Fu and Nie Yongchun to the lounge, Li Tang returned to his office and closed the door deliberately.
"Why didn't President Lu come with you two?" Li Tang asked curiously. He had assumed they had come to discuss the Mali River project, since the cooperation framework had previously been established among the three steel companies and himself.
"Lu Chenyi was here already?" Long Fuyuan asked in surprise.
"No, that's why I'm asking," Li Tang clarified, intrigued.
Zhu Youxin glanced at Long Fuyuan and finally smiled, "Today we're here mainly to discuss iron ore projects."
"All approvals for the Mali River project have resumed," Li Tang announced confidently. "If there are no further obstacles, our investment plan should soon receive official approval from the relevant authorities in Galand. All preparatory work will be completed within this year!"
Li Tang had great confidence in successfully developing the Mali River mine. This confidence came both from within and from the external environment.
Recently, although Layton from the New Democratic Party had not officially apologized to Li Tang or Cold Iron Company, he had publicly and subtly mentioned the benefits of developing the Mali River iron ore project on several occasions, indicating a shift in attitude.
Having removed the project's biggest hurdle, the next step would be enthusiastic mine construction.
Facing his two partners, Li Tang declared confidently, "Within three or four years at most, we'll definitely transform Mali River into a mine producing over 30 million tons annually, becoming Galand's largest iron ore mine!"
"I believe you," Zhu Youxin responded with genuine excitement, having not expected such positive news today. Long Fuyuan exchanged astonished glances with Zhu Youxin.
They had not received updates on the Mali River project for a long time, assuming the project was stalled indefinitely. Since neither had invested money yet, the project's collapse would have been unfortunate but not devastating. Yet now Li Tang informed them everything was progressing smoothly.
"What happened?" Long Fuyuan wondered aloud. "Weren't half the voices in Galand strongly opposed to this project?" He doubted the Galand government's willingness to continue supporting it amid such strong public resistance.
"It's resolved," Li Tang replied lightly.
"You resolved such a major issue?" Long Fuyuan questioned, skeptical.
"You've been in Galand dealing with Galuminium Group—were you actually addressing the Mali River project simultaneously?" Zhu Youxin was also puzzled.
In their eyes, the Mali River project had entered a dead-end street, bogged down by endless criticism in Galand. Unless Galand's citizens aged overnight and forgot, someone would always oppose Mali River's development.
"Actually, both matters were intertwined. I solved them together," Li Tang explained simply. The facts would soon speak for themselves.
"I thought Mali River was finished," Long admitted frankly.
"That's great news!" Zhu Youxin was delighted to receive such an unexpected update. However, he didn't forget the primary reason he and Long Fuyuan had hurried over. Carefully, he broached, "You've earned over a billion dollars from your Galuminium Group investments. Congratulations! Besides that, I also heard Lituo transferred Simandou's southern mining rights to you?"
"Indeed," Li Tang nodded. "It was like extracting a tooth from a tiger—quite thrilling, actually!"
Exchanging astonished looks, Long and Zhu realized the rumors were true: Li Tang had successfully pried a valuable asset directly from the ruthless jaws of Lituo.
"Only you have the courage and capability to snatch such a crucial asset from Lituo!" Long Fuyuan praised genuinely.
"It was a moment of triumph!" Zhu Youxin felt a rush of vindication. "Whether it's Lituo or BHP, all domestic steel companies deeply resent these iron ore giants. Your direct confrontation with Lituo, and winning decisively, has genuinely uplifted our spirits!"
Li Tang, however, had never considered himself as someone who sought revenge for steel companies. His confrontation with Lituo was primarily driven by personal motives and significant financial rewards.
"Among all domestic entrepreneurs, you're the only one brave and capable enough to challenge these international giants!" Long Fuyuan said with heartfelt admiration.
"You flatter me too much," Li Tang modestly replied. "You two are the true leaders among domestic entrepreneurs!"
Long Fuyuan dismissed the compliment with a wave, impatiently asking, "So, what are your plans for the Simandou mining rights?"
"Technically speaking, in terms of ore quality, grade, and reserves, Simandou rivals Mali River and even greatly surpasses Lianying Mining's assets," Li Tang acknowledged. "Unfortunately, Guinea's political situation is concerning. I've consistently said—and perhaps I've told you both this as well—that I clearly have no plans to initiate this project in the coming years. However, Simandou's exploration is incomplete; we'll gradually finalize exploration activities in the future."
"You're absolutely right," Zhu Youxin agreed immediately. "Whether you need funds for exploration or eventual development, feel free to approach me or President Long. Money won't be an issue."
"Financing is no problem," Long echoed.
Currently, many companies domestically and internationally eagerly lined up to offer money to Li Tang. The challenge was whether he would accept their offers.
Predictably, Li Tang shook his head firmly, rejecting the suggestion. "If Simandou ever successfully develops, naturally, we'll rely on your steel plants to absorb production. But since Hualu Group and Huaxin Taifu already hold stakes, decisions about its development aren't mine alone."
Long sighed, shaking his head. "I assumed you'd partner with Haigang Steel, but it turns out it's Hualu Group."
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