Banmiaozi Mining, established in November 2003, is a large mining enterprise engaged in the exploration, mining, dressing and sale of gold. It is one of the first large modernized mines in China to implement mechanization, trackless operation, digitalization and automation.

This large mining enterprise with excellent potential has had its share of challenges in the course of its development however. There was a period of time when the enterprise’s operating performance had deteriorated because then Canadian investor Eldorado Gold Corporation did not understand China’s national policies and was unfamiliar with the domestic market.

At end-2016, Yintai Group acquired three gold mining enterprises in China, including Banmiaozi Mining, from Eldorado, and created Yintai Gold upon restructuring. Banmiaozi Mining has since embarked on a new journey of development.

As the sole operating mine in the acquired assets at the time, ensuring that the mine operated normally while turning its performance around was an enormous challenge for Banmiaozi Mining’s new management team.

After a meticulous and thorough study of frontline operations, the new management team formulated a restructuring plan according to local conditions, significantly boosting both labor and resource efficiencies.

Based on analyzing and summarizing the experience of Eldorado’s exit from China, Banmiaozi is familiar with the prices of various materials and equipment in China. By controlling procurement prices, lowering cost and increasing efficiency, productivity soared.

Meanwhile, under Yintai Group’s management, the new company’s management strengthened the building of “close but clean” political and business relations, and unified enterprise development, community enhancement and socio-economic growth. The years that followed saw relations warmed between Banmiaozi Mining and the government as well the community, resulting in a positive situation of joint development and win-win collaboration.

Ore is a non-renewable resource. Doing its best to increase ore recovery rate as well as dressing and smelting rate, abolishing the wasteful practice of extracting rich but neglecting poor ore resources, and not wasting any tonne of ore have become the enterprise’s responsibility and obligation - as miners, this is the work ethic of Banmiaozi Mining’s management team.

Today, Banmiaozi Mining has “risen from the ashes like the phoenix”, turning around from near bankruptcy to brimming with vitality: the company achieved net profit of RMB180 million in 2017 and RMB190 million in 2018. It has returned to the ranks of priority enterprise and major taxpayer in Jilin Province and Baishan City.

Banmiaozi Mining’s innovative reform is still ongoing, and new achievements and results will continue to be recorded accordingly.