Reuters | April 8, 1999

BEIJING -- China plans to develop its second largest copper reserves, located in the northwestern region of Xinjiang, the official Xinhua news agency reported on Thursday.

The Ashele Copper Corporation Ltd plans to produce 23,000 tonnes of copper and more than 10,000 tonnes of zinc a year, Xinhua agency said.

The copper mine was expected to go into operation next year, a local offical told Reuters by telephone. He could add no further details.

Xinhua said the area in Habahe county had 1.08 million tonnes of copper reserves and quoted Ashele chairman Wang Zhonghui as saying the mine would help ease China's copper shortage.

The Ashele copper mine, discovered in 1984, would be China's second largest copper mine after the Dexing mine in the southeastern province of Jiangx, it said.

Investment for the first phase of the project would amount to 870 million yuan ($1.05 million), it said without giving further details.

($1.0 = 8.28 yuan)