China's refined magnesium output is forecast to rise to 1.3 million mt by end 2020, Hong Kong-headquartered magnesium producer Century Sunshine said in a filing to Hong Kong Stock Exchange Monday.
With current emphasis on producing more eco-friendly and light materials, magnesium alloy will enjoy rapid growth in the coming years as it is environmentally friendly and light-weight, the company said.
In accordance with China's plans for the domestic magnesium sector for the 13th Five-Year Plan period (2016-2020), China's national magnesium output is expected to grow 8.4% per annum and hit 1.3 million mt by end 2020, the producer said.
In a bid to take advantage of the rapid development growth forecast for the magnesium sector, Century Sunshine plans to keep expanding its magnesium smelting capacity through mergers and boost output.
On completion of the ongoing second phase 50,000 mt/year magnesium smelting expansion project at Baishan in Jilin Province, Northeastern China, in December 2016, its capacity is expected to hit 75,000 mt/year.
The group's Baishan magnesium production facility currently has total output capacity of 25,000 mt/year, up from 16,000 mt/year in 2013, following expansions.
