OrientZirconic(SZ:002167)2022-12-08 08:10Group 1: Company Overview - Guangdong Dongfang Zirconium Industry Co., Ltd. is a high-tech enterprise specializing in the research, production, and operation of zirconium series products, with over 90 varieties and specifications across eight major series [2][3]. - The company’s products are widely used in nuclear power energy, special ceramics, artificial gemstones, ceramic glazes, and advanced refractory materials [3]. Group 2: Strategic Developments - In 2013, the company completed a share swap with China National Nuclear Corporation (CNNC), enhancing its position in the nuclear fuel supply chain [3][4]. - The company has focused on accelerating strategic transformation and strengthening its foundational capabilities, completing technical upgrades for subsidiaries and expanding its industrial chain [4][5]. Group 3: Market Demand and Projections - The demand for nuclear-grade sponge zircon is projected to reach 1,215 tons in 2014 and 1,595 tons in 2015, with expectations to grow to 2,485 tons by 2020 [4]. - The company’s nuclear-grade sponge zircon products have been certified and sold to international markets, including a recent contract for 10 tons to a French nuclear power producer [4][5]. Group 4: Production Capacity - The production capacities for various zircon products are as follows: - Zircon sand: 120,000 tons/year - Zirconium silicate: 18,000 tons/year - High-purity zirconium oxychloride: 35,000 tons/year (including projects under construction) - Zirconium dioxide: 7,000 tons/year - Fused zirconia: 3,000 tons/year - Composite zirconia: 5,000 tons/year (including projects under construction) - Industrial-grade sponge zircon: 450 tons/year - Nuclear-grade sponge zircon: 1,150 tons/year (including projects under construction) [5][6]. Group 5: Future Development Plans - In 2014, the company aims to focus on the emerging zircon product market, particularly in composite zirconia and zirconium structural ceramics, while enhancing production capabilities and maintaining quality advantages [6][8]. - The company plans to optimize its industrial layout and further develop its nuclear-grade sponge zircon alloy domestically [6][8]. Group 6: Industry Context - The zircon industry in China experienced significant price fluctuations from 2010 to 2013, with zircon sand prices increasing by nearly 170% at their peak in 2011, followed by a decline of over 60% by the end of 2013 [8][9]. - The recovery of demand in downstream applications, such as ceramics and automotive catalysts, is expected to drive an increase in the production of zirconium dioxide and composite zirconia in 2014 [9].