2,40,00,000 tons bauxite & 1,00,00,000 tons iron ore: Multibagger minerals company signs contracts with State Power Investment Corp and Tai He Mining!

The stock gave multibagger returns of 220 per cent in just 6 months whereas BSE Small-cap Index is up by 38.38 per cent.

Ashapura Holdings (UAE) FZE (a step-down subsidiary of Ashapura Minechem Ltd) concluded & signed 2 contracts for the supply of Bauxite from Guinea and Ashapura Guinea Resources SARL (a step-down subsidiary of Ashapura Minechem Ltd) concluded & signed a contract for the supply of Iron Ore from Guinea.

The two contracts for the supply of 24,00,00,000 tons or 24 million tons of bauxite from Guinea were signed with a subsidiary of the Chinese aluminium major, State Power Investment Corp (SPIC); the first contract, a 3 million tons per annum supply contract for 3 years and the second contract, a 3 million tons per annum supply contract for 5 years.

SPIC, a Fortune Global 500 company, is one of China’s largest state-owned conglomerates having total assets of USD 112 billion integrated over nuclear power, thermal power, coal, aluminium, logistics, finance, environmental protection and high-tech industries.

The contract to supply 10,00,00,000 tons or 10 million tons of iron ore was signed with Tai He Mining, whereby 2 million tons per annum of iron ore will be supplied for 5 years.

Tai He Mining is a Chinese Iron Ore major with the latest technology to upgrade & process iron ore. These contracts offer Ashapura the opportunity to set aside a part of its production from Guinea towards stable long-term commitments.

Incorporated on 19th February 1982, Ashapura Minechem Ltd. is engaged in the mining, manufacturing and trading of various minerals and their derivative products. The company offers multi-mineral solutions across several industries from soaps to steel, energy to edible oils, metal to medicine and cement to ceramics. 

The company has a market cap of over Rs 2,900 crore with a 3-year stock price CAGR of 55 per cent. According to the Quarterly Results and annual results, the company reported excellent numbers.

The shares of the company have a PE of 65.55x and a ROE of 296.62 per cent. The stock gave multibagger returns of 220 per cent in just 6 months whereas BSE Small-Cap Index is up by 38.38 per cent. Investors should keep an eye on this minerals manufacturing stock.

Disclaimer: The article is for informational purposes only and not investment advice. 

2 comments on article "2,40,00,000 tons bauxite & 1,00,00,000 tons iron ore: Multibagger minerals company signs contracts with State Power Investment Corp and Tai He Mining!"

Debasish Gayen

Interested in more information.

9/21/2023 3:06 PM

ASHIS ACHARYA

240000000 is 240 Million, not 24 Million. Similarly 100000000 is 100 Million, not 10 Million.

9/21/2023 11:24 PM

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