Published by: World Tibet Network News, Thursday, May 2, 1996

SHANGHAI, May 2 (Reuter) - Qinghai Shanchuan Ferroalloy Industry Co Ltd will issue 20 million A shares at 4.85 yuan per share from May 5 to 17 for listing on the Shanghai Stock Exchange, the China Securities News said on Thursday.

The money from the issue will be used to invest in ferroalloy production projects and a purifying system, a company statement in the newspaper said.

After the issue, the company will have 75 million outstanding shares, with institutions holding 55 million or 73.33 percent and the A shares accounting for the remaining 20 million or 26.67 percent, it said.

Qinghi Shanchuan employs 1,040 people and produces 29,000 tonnes of ferro-silicon annually of which 95 percent is exported, mainly to Japan.

The company forecast 1996 after-tax profit of 31.432 million yuan against actual 13.660 million in 1995. Based on 1996 projected net, earnings per share would be 0.42 yuan against 0.25 yuan in 1995, it added.