Major rare earth group founded in central China

NANCHAN - China Southern Rare Earth Group was officially launched on Thursday in Jiangxi province as part of the country's efforts to push industry integration.

The corporation based in Ganzhou city has registered capital of 100 million yuan ($16.3 million) with joint investment by three local companies.

Ganzhou Rare Earth Group Co, Ltd, Jiangxi Copper Corporation, and Jiangxi Rare Earth and Rare Metals Tungsten Group Corporation hold 60 percent, 35 percent and 5 percent stakes in the new group, respectively.

The three shareholders will complete injecting their related assets to the new corporation by the end of this year. The new group will continue to integrate other local rare earth firms.

To restructure and consolidate its rare earth market, China integrated big firms with dozens of small miners in late 2014 and established six major rare earth groups.