Chapter 206 Cooperation and Procurement (Ch 823930844)

Inside the biofuel experimental base in Gongping Town.
Xue Hua, chairman of Haida Group, is visiting the application of various technologies under the guidance of Zhang Haitao.
He even wore a mask and went directly into the cow dung drying plant, where he saw large amounts of cow dung being dried and then quickly crushed into powder.
Not far from the production line, Xue Hua saw the cow dung powder being sent into the high-temperature sterilization equipment by the conveyor belt. He grabbed a handful of powder from the conveyor belt and asked, “The dryness of this powder is 5%, right?”
“Yes…” Zhang Haitao answered loudly.
The roar of machines around them forced the two to speak louder.
He patted the cow dung powder on his hands. For Xue Hua, he used to pick up cow dung when he was a child. Xue Hua was from Yang County in southern Shaanxi. In his era, the main industries in Yang County were agriculture and animal husbandry, so picking up cow dung was a very normal thing.
“Boss Xue, the factory is too noisy, let’s talk outside!”
“good…”
The two men left the factory.
I saw another factory not far away, where a forklift was moving packaged barrels of nutrient powder to the warehouse opposite.
“Director Zhang, do these cow dung and straw need to be dried, crushed and disinfected?”
Zhang Haitao nodded and said, “Yes, Mr. Xue, because this is for standardized production. After all, the water content of cow dung, sheep dung, pig dung and the like is different, and there are many bacteria in them. Pretreatment is necessary to unify the specifications of the raw materials. This is the only way to ensure that the power generation of the battery box can be maintained stably for 480 hours.”
“How many kilograms of powder can be produced from one ton of cow dung?”
“One ton of fresh cow dung can produce 200-250 kilograms of cow dung powder, and then about 10-20% of straw powder will be added; if it is pig manure, the straw ratio can be increased to about 30-40%.”
Xue Hua silently calculated the account in his heart.
The pig inventory of their Haida Group this year has reached 3 million heads, and the annual output has reached 4.3 million heads.
The amount of pig manure produced every day by so many live pigs is extremely huge. With a stock of 3 million live pigs, 20,400 tons of pig manure is produced every day, which is almost 7.446 million tons per year.
The water content of pig manure is lower than that of cow manure, about 72-80%. Each ton of fresh pig manure can produce about 250-330 kg of dry powder.
Through straw powder, if all the pig manure of their group can be utilized, 3.35 million tons of nutritious powder can be produced every year.
According to the technical indicators provided by Hailufeng Company, a battery box running at full capacity for a year consumes 2.7 tons of powder and generates 3066 kilowatt-hours of electricity.
In addition, the slag and residue after being decomposed by electric bacteria can also be used as raw materials for biogas fermentation. The slag and residue produced by a battery box each year can be fermented to produce 900 cubic meters of biogas (with a methane content of about 60%).
The remaining residue can be used as organic fertilizer. Each battery box can produce about 3.5 tons of organic fertilizer per year.
This is the system, with three core outputs: electricity, biogas and organic fertilizer.
After having a draft in mind, Xue Hua said, “Director Zhang, our group has a breeding base in Gaozhou with a stock of 250,000 pigs. If we want to build an electricity-fertilizer co-production project, what is your company’s quotation?”
“250,000 pigs? I can only give you an approximate estimate. After all, the specific situation needs to be analyzed specifically.”
“It doesn’t matter. Director Zhang, give me a rough idea so I can have a better idea.”
Zhang Haitao picked up the calculator on his phone and started calculating quickly.
25*6.5=1.625 million kilograms, which is the daily production of fresh pig manure.
162.5*365=593.125 million kilograms, which is the annual output, or 590,000 tons. After processing, 59*0.45=265,500 tons of nutrient powder can be obtained.
26.55/18=1.475 tons, which is the nutrient powder needed for each cycle, plus spare equipment, which requires almost 100,000 battery boxes.
The Yangcheng Storage Center biomass power generation project invested by Hailufeng Company itself costs an average of 3,500 yuan per battery box (supporting facilities); while the Gongping Town biofuel base project has an average investment cost of 3,000 yuan per battery box.
Obviously, the larger the scale, the lower the unit cost of each battery box. The estimated overall cost of 100,000 boxes can be compressed to around 270 million.
“If we don’t count the land and buildings, and only the equipment, your company’s 250,000 pig breeding base in Gaozhou needs 100,000 battery boxes. The overall investment cost is about 500-600 million yuan. If you add other biogas fermentation systems, it will be about 1 billion yuan.”
“Director Zhang, my colleagues and I will discuss this aside.” Upon hearing the data, Xue Hua said with a smile.
“Sure, Mr. Xue, please go ahead.”
Xue Hua nodded, then took the deputy general manager and several employees to a sweet-scented osmanthus tree about 20 meters away.
The vice president whispered, “Boss Xue, according to the data provided by Hailufeng Company, 100,000 battery boxes can generate 300 million kilowatt-hours of electricity, 90 million cubic meters of biogas and 350,000 tons of organic fertilizer each year.”
“The one-time investment is not high. Even if the supporting land and buildings are included, the one-time cost is not high.” The analyst from the investment department also said in a low voice.
Another analyst from the investment department also gave a series of data: “300 million kWh of electricity, if we follow the price given to us by the power grid, is about 150 million yuan; 90 million cubic meters of biogas, with a methane content of 60%, is equivalent to 54 million cubic meters of methane, which is about 216 million yuan based on the average gas price; 350,000 tons of organic fertilizer, even if sold at the lowest price of 150 yuan per ton, is worth 52.5 million yuan.”
“In other words, the theoretical value per year is around 415.5 million yuan?” Xue Hua immediately got an intuitive result.
However, one analyst shook his head: “We also need to consider market fluctuations and how to sell them after production. After all, the review of new energy grid access is very strict now, and there are many uncertainties.”
Xue Hua also calmed down: “That makes sense. We can’t just look at the benefits and ignore other things.”
The vice president also reminded: “By the way, this kind of project will definitely require the use of Hailufeng’s patented technology, and they will definitely need to charge patent fees. If we follow Hailufeng’s previous model, they will most likely require us to pay a certain fee every year.”
“Well, this is indeed very possible.” Xue Hua agreed with this view.
However, after discussing for more than 20 minutes, they still felt that it was profitable.
After all, the output of 100,000 battery boxes is already in front of them. After considering various risks, there is still room for profit.
For companies, they are willing to invest in projects that offer visible profit margins, even if there are certain risks.
Thanks to Egyptian catfish meal, Haida Group’s net profit increased to nearly 6 billion yuan this year, almost 300% of last year.
Therefore, Xue Hua and other senior executives of the group have become more confident, but they also see the potential risks of the breeding industry.
The main reason is that major domestic breeding companies are expanding their breeding scale to varying degrees, which will intensify the internal competition in the breeding industry and thus continuously lower the gross profit margin of breeding.
It is precisely because of this potential risk that Xue Hua believes that it is necessary to expand the scale of breeding with caution. At the same time, we must also learn from Hailufeng Company, continuously expand the company’s industrial types, and enhance the company’s risk resistance through diversified operations.
Xue Hua, who has been paying close attention to Hailufeng Company, discovered some time ago that Hailufeng Company has registered a large number of patents related to microbial fuel cell technology. The number of its patents for microbial fuel cell technology has soared to 377 in just about half a year.
Then at the end of November, it was announced that the first experimental project of microbial fuel cell technology had passed the test and began to supply power to Hailufeng Company’s industry in Gongping Town.
Although Xue Hua did not know the specific details of the technology at that time, his intuition told him that every investment of Hailufeng Company was quickly rolled out after the technology was successful.
This is because Jiang Miao’s previous performance made Xue Hua subconsciously believe that this project was most likely to be successful.
After browsing the patents registered by Hailufeng Company and the related papers published by Lin Shuya, he felt that this technology was a tailor-made optimization for the breeding industry.
Xue Hua, who was worrying about how to diversify his business, hurriedly brought people to Gongping Town for investigation.
After discussing with the vice president and others, Xue Hua made up his mind: “I plan to invest in the Gaozhou biofuel project first. It’s only 1 billion yuan. Even if there is a loss, the company can afford it.”
“I also think it’s worth a try.” The vice president naturally wouldn’t object, but he wasn’t trying to flatter.
After all, the vice president is also one of the company’s shareholders, with a considerable stake, so there is no need for him to flatter. He agreed with Xue Hua’s decision because he saw the bright prospects of the project.
Investing definitely involves risks, but this is also a necessary path for every business. Who wouldn’t want to win without doing anything? Unfortunately, there is no such thing in the world, at least not in private enterprises.
After Xue Hua and others finished their internal discussion, they found Zhang Haitao again.
“Oh? Is your company really planning to invest?”
Xue Hua nodded and said, “Yes, we plan to invest in a biofuel production base next to the Gaozhou breeding base. Apart from the land and infrastructure, the other supporting facilities will be contracted to your company.”
Zhang Haitao couldn’t suppress his smile any more. “Boss Xue, let’s go to the office to discuss this. It’s windy outside.”
“good…”
The two sides talked for a day.
Finally, the preliminary letter of intent for cooperation was completed.
The Gaozhou biofuel project is designed to produce 100,000 boxes of microbial fuel cells, with an annual output of 300 million kilowatt-hours of electricity, 60 million cubic meters of natural gas (90% methane content), and 350,000 tons of organic fertilizer.
The project contract price is 1.154 billion yuan, and an additional 500 yuan patent fee is charged for each biofuel cell box each year, which amounts to 50 million yuan a year.
This patent fee not only includes the cost of using the technology, but also includes fault repairs and special strains of bacteria.
For Haida Group, if this investment can reach 80% of the designed production capacity, they will be able to recoup their investment quickly.
Haida Group has done some calculations.
Compared with pig farming, the comprehensive benefits of the electricity-soil co-production project are better.
Their group’s Gaozhou pig breeding base slaughters about 350,000 pigs every year. This year’s profits are better, and they can make 460 yuan per pig. The gross profit this year is 161 million yuan.
However, the natural gas sold by China Resources Gas Co., Ltd. to the local gas company in Gaozhou has a long-term agreement price of 3.2 yuan per cubic meter.
Even if China Resources Gas charges tolls, if the gas is sold to China Resources Gas at 2.5 yuan per cubic meter, 60 million cubic meters of natural gas will be worth 150 million yuan.
The natural gas production alone can cover the entire investment cost in about 7.6 years.
Combined with the output of other electricity and organic fertilizer, the investment cost can basically be covered in about 4 to 5 years.
Although Haida Group is charged 50 million yuan in patent fees by Hailufeng Company every year, it has become accustomed to it.
After all, the technology was developed by Hailufeng Company and the patent is also in the hands of Hailufeng Company. Without paying the price, there is naturally no way to use this technology.
Jiang Miao didn’t expect that Haida Group would react so quickly, but he was happy to see it happen.
Since the first business had been obtained, Jiang Miao quickly made a decision to upgrade the management of the Gongping Town Biofuel Base to a Biofuel Business Department and appointed Zhang Haitao as the manager of the Biofuel Business Department.
Although Zhang Haitao was very excited when he heard the news, he did not get carried away, but quickly got down to work.
The first step is to quickly complete the organizational structure of the biofuel division and set up various sub-departments first to avoid internal management chaos.
However, the work of improving the department’s organizational structure is not something he has the final say on alone. He needs to go through the personnel approval of the Human Resources Department and the internal review of the Supervision Department before he can complete the establishment of the sub-department.
Therefore, the middle-level managers of those sub-departments currently have an acting title attached to their positions, because the Human Resources Department and the Supervision Department have not yet gone through the formal approval procedures for these people.
However, everyone knows that although this process is cumbersome, it is often just a formality. Unless there is a real problem, it will be stuck or directly kicked out of the management.
Zhang Haitao and others spent a week to initially complete the organizational structure of the biofuel business unit.
At this time, Haida Group also completed the board resolution, and the cooperation project between the two parties was officially launched.
After taking people to Yangcheng to sign the contract, Zhang Haitao went to Gaozhou for inspection without stopping. Haida Group also found a 600-acre piece of land near the breeding base and was negotiating with the local authorities on land acquisition and investment.
The biofuel base is 600 acres in area, which is indeed more than enough because the building can be used for the power plant.
On average, one battery box requires 2 square meters of area. 100,000 battery boxes would require 150,000 square meters. With supporting facilities, it would basically be 200,000 square meters.
The base area is about 300 acres, which is enough to build a one-story factory building.
Another system that occupies a relatively large area is the 150-acre biogas fermentation plant.
The other factory buildings have a total area of ​​50 acres.
Haida Group estimates that it will invest about 800 million yuan in these infrastructure projects, totaling 1.9 billion yuan.
The entire project is designed to pay back in 8 years.
If spread over a 30-year service life, the annual investment cost is about 63 million yuan. Adding the operating costs, maintenance costs, patent costs, and raw material costs, the annual cost is 150 million yuan, and the gross profit is still relatively good.
At this stage, the country is not short of funds, but short of projects with profit expectations.
Zhang Haitao, who had just returned from Gaozhou after inspecting the site, placed orders with the previous parts suppliers while reporting to the purchasing department, asking them to bid for a batch of the same parts on the purchasing website.
His purpose in doing this was very simple.
Just in case.
If there is a problem with that parts supplier, we can remedy it through another supplier.
Previously, we only purchased in small quantities and used a single parts supplier, so even if something went wrong, the losses would not be too serious.
But it is different now. The Gaozhou biofuel project built for Haida Group requires a lot of spare parts.
In addition to the four projects that Hailufeng Company plans to launch next year, it will need to purchase 300 to 400,000 ceramic liners alone. The risk of using a single supplier is too great.
At the same time, in Jingdezhen.
Tan Gaoming received an email from the purchasing department of Hailufeng Company. After reading it, he was so excited that he could hardly suppress his excitement: “Hahaha…”
The finance officer who had just knocked on the door looked confused and asked anxiously, “Boss? Are you okay?”
“Hahaha, no no, I’m just too happy.” Tan Gaoming could hardly suppress the smile.
“The boss is getting married?” the finance manager guessed.
“What are you thinking about? I don’t want to get married.” Tan Gaoming waved his hand. Although he had a girlfriend, he had no intention of getting married. He looked at the finance department and said, “Sister Wang, what’s the matter?”
The finance department thought of something important: “Boss, the company’s gross profit this month is about 1.2 million…”
“1.2 million? Not bad…” Tan Gaoming stood up and walked back and forth: “Sister Wang, find someone to help me get a loan. Use my car and house as collateral and give me a loan of 10 million.”
“Boss, your house? The villa?”
“No, it’s all the houses, plus those luxury cars. It shouldn’t be a problem to get a loan of 10 million.”
“Boss, if it’s the entire house, there shouldn’t be any problem.” The financial officer has worked at Tan’s Ceramics for more than 20 years and knows a lot about the assets of Tan Gaoming’s family.
“Okay, please help Sister Wang. This year, all employees will receive an extra month’s salary as a year-end bonus. There will be no holiday during the Spring Festival. Those who can stay and work overtime will stay to expand production.”
Sister Wang from the Finance Department widened her eyes and asked, “Boss? The order for the 5,000 ceramic liners has almost been completed, right?”
Tan Gaoming’s voice trembled slightly: “Hailufeng Company has just sent our company an order for 100,000 ceramic liners, requiring us to complete them all by the end of next year.”
“100,000 ceramic liners? That’s great.” Sister Wang also became happy.
“I’m going to Shanmei by high-speed train today to sign the contract. Sister Wang, please ask the others to come over.”
“OK.”
Soon, all the management of Tan’s Ceramics knew about this matter, and everyone was relieved and excited at the same time.
After arranging all the company’s affairs, Tan Gaoming took a few people and hurriedly took the high-speed rail to set off.
Other ceramic companies in Jingdezhen also saw that Hailufeng Company had launched three ceramic liner procurement projects on the procurement website.
Each procurement project is for 100,000 ceramic liners, which prompted many ceramic companies to act quickly.
However, the Chaozhou ceramic company, which had missed an opportunity before, took advantage of its distance and rushed over as soon as possible this time.