Shares of China's tungsten companies climbed on Wednesday after the country’s Ministry of Land and Resources announced the discovery of the world's largest tungsten mine in the east province of Jiangxi.
Lifted by the news, shares in Chongyi Zhangyuan Tungsten Co. soared by the daily 10% limit to 33.39 yuan ($5.27), while Minmetals Development Co. shares went up 4.35% to 26.36 yuan ($4.13) and Chenzhou Mining GroupCo. added 3.35% to 20.69 yuan ($3.24).
According to China.org, Jiangxi Geology & Mineral Resources Exploration & Development Bureau found the deposit after 18 months of intense exploration:
The project was part-funded by Xiamen Tungsten Co., Ltd. and it is expected that future yields from the mine will make the company increasingly self-sufficient with regard to tungsten ore concentrates.
The proved reserve of the mine has exceeded Jiangxi's total amount of available tungsten reserves, and has a potential economic value of more than 300 billion yuan ($47.13 billion).
Tungsten is used as a gold substitute in jewellery making, electronics, light bulbs, armaments and heavy metal alloys, among others applications.
The element is the only one that it has been the subject of legal proceedings. In 1928, a U.S. court rejected General Electric's attempt to patent it, overturning U.S. Patent 1,082,933 granted in 1913 to American physicist William D. Coolidge.
The word tungsten comes from the Swedish language tung sten directly translatable to “heavy stone”.