reports Cabinet decision to float zince metal price

Padaeng Industry Plc (PDI) reported a Cabinet decision dated June 27, 1995 for the Industry Ministry's Mineral Resources Department to amend a contract concerning the mining and the construction of zinc smelting plant of PDI to the effect that the selling price of the zinc metal from the plant will not longer be controlled and allowed to float in accordance with market mechanism. According to the original contract, the price of zinc metal is fixed at the market price at London Metal Exchange (LME) plus all expenses from the warehouse in Europe to Bangkok Port minus 3% percentage points. The Cabinet's decision was made as result of the adjustment of PDI's production process to the effect that the company replaced mineral ores from the Mae Sod mining ground with imported sulphide ores as the raw materials for the zinc metal production. The mineral ores at Mae Sod mining site has already been depleted up. Translated by The Nation