Jiangxi Cement gets CNY120m loan from for production line, China

Jiangxi Wannianqing Cement Co Ltd said it has signed a contract for a CNY120m loan from a branch of China Construction Bank (CCB) in the eastern Chinese province of Jiangxi for a new cement production line with daily output of 4000t.

In a statement, the cement producer said the term of the loan is from 7 June 2004 to 26 Jan 2011, at an annual interest rate of 5.76 per cent , and the company will use its property as collateral.

In an earlier statement in March, the listed company said it had signed a contract for a CNY100m loan from the same bank with the same interest rate between 23 March 2004 and 11 November 2010, to fund a construction line with daily output of 4000t of cement clinker.

Last week, China’s banking regulator ordered an immediate halt in lending to unapproved fixed-asset investment projects as the government steps up its efforts to slow investment in overheated sectors such as steel, aluminum and cement.