Chapter 452 - 206: Cooperation and Procurement

Chapter 452: Chapter 206: Cooperation and Procurement

Jiang Miao hadn’t expected Haida Group to react so quickly, but he was happy to see it happen.

Now that they had their first business deal, Jiang Miao quickly made a decision. He upgraded the management of the Gongping Town Biofuel Base into the Biofuel Business Division and appointed Zhang Haitao as its manager.

Zhang Haitao was thrilled to hear the news, but he didn’t let it go to his head. Instead, he immediately threw himself into his work.

The first step was to quickly establish the organizational structure of the Biofuel Business Division, setting up the various sub-departments first to prevent internal management from becoming chaotic later on.

However, finalizing the departmental structure wasn’t something he could decide on his own. He needed to go through the personnel approval process with the HR department and an internal review by the Supervisory Department before the sub-departments could be officially established.

As a result, the mid-level managers of these sub-departments currently held the title of "acting" manager. This was because the HR and Supervisory Departments had not yet completed the formal approval process for these individuals.

But everyone knew that while this process was tedious, it was often just a formality. Unless there was a genuine problem, an application would rarely be blocked or the person kicked out of management altogether.

Zhang Haitao and his team spent a week completing the preliminary organizational structure of the Biofuel Business Division.

At this point, Haida Group had also finalized its board resolution, and the collaborative project between the two parties officially kicked off.

After leading his team to Yangcheng to sign the contract, Zhang Haitao rushed off to Gaozhou for an inspection without delay. Meanwhile, Haida Group had found a 600-mu plot of land near their breeding base and was negotiating with the local authorities regarding land acquisition and investment.

A 600-mu area for the biofuel base was indeed more than enough, as the power generation plant could be housed in a multi-story building.

On average, each battery case required 1.5 square meters of space. For 100,000 battery cases, this meant 150,000 square meters. Including supporting facilities, the total came to about 200,000 square meters.

With a base area of around 300 mu, a single-story factory building would be sufficient.

Another system that required a large footprint was the 150-mu biogas fermentation plant.

The remaining factory buildings added up to about 50 mu.

Haida Group estimated an investment of around 800 million for this infrastructure. The total investment added up to 1.9 billion.

The entire project was projected to break even in eight years.

If amortized over a 30-year operational lifespan, the annual investment cost would be around 63 million. Adding operating costs, maintenance, patents, and raw materials, the total annual expenditure would be 150 million, leaving a relatively acceptable gross profit.

At this stage, the country didn’t lack capital; it lacked projects with promising profit expectations.

Upon returning from his site inspection in Gaozhou, Zhang Haitao placed orders with their previous component suppliers while simultaneously submitting a report to the procurement department, asking them to put out a tender for another batch of the same components on their procurement website.

His reason for doing this was very simple: it was a contingency plan. If one component supplier ran into problems, they could use another one to compensate.

Previously, they were only making small-batch purchases, so using a single component supplier was acceptable. Even if a problem occurred, the losses wouldn’t be too severe.

But things were different now. The Gaozhou biofuel project for Haida Group required a large number of components. Adding to that the four projects Hailufeng Company planned to launch next year, they would need to procure 300,000 to 400,000 ceramic liners alone. Relying on a single supplier was far too risky.

「Meanwhile, in Jingdezhen.」

Tan Gaoming received an email from Hailufeng Company’s procurement department. After reading it, his face lit up with an excitement he couldn’t contain. "Hahaha..."

The accountant, who had just knocked and entered, looked completely bewildered. She asked tentatively, a little worried, "Boss? Are you alright?"

"Hahaha, no, no, I’m just overjoyed." Tan Gaoming could barely suppress his grin.

"Is the boss getting married?" the accountant guessed.

"What are you talking about? I’m not the marrying type." Tan Gaoming waved his hand dismissively. Though he had a girlfriend, he had no intention of getting married. He looked at the accountant. "Sister Wang, what’s up?"

The accountant remembered her reason for coming. "Boss, the company’s gross profit this month is about 1.2 million..."

"1.2 million? Not bad, not bad..." Tan Gaoming stood up and paced around. "Sister Wang, find someone to help me get a loan. Use my car and houses as collateral. Get me a loan of ten million."

"Boss, your houses? You mean the villa?"

"No, all my houses. Plus those few luxury cars. Ten million shouldn’t be a problem."

"Boss, if it’s all your houses, there shouldn’t be any problem." The accountant had worked at Tan’s Porcelain for over twenty years and was well aware of many of Tan Gaoming’s family assets.

"Great. I’ll leave it to you, Sister Wang. This year, all employees get an extra month’s salary as a year-end bonus. We won’t close for the Spring Festival. Whoever can stay and work overtime, have them stay to expand production."

The accountant, Sister Wang, stared with wide eyes. "Boss? But the order for 5,000 ceramic liners is almost complete, isn’t it?"

Tan Gaoming’s voice trembled slightly. "Hailufeng Company just sent our company an order for 100,000 ceramic liners. They want them all completed before the end of next year."

"100,000 ceramic liners? That’s wonderful!" Sister Wang was thrilled as well.

"I’m taking the high-speed train to Shanmei today to sign the contract. Sister Wang, call the others in for a meeting."

"Okay."

Soon, the management of Tan’s Porcelain all learned the news. Everyone breathed a sigh of relief and grew excited.

After arranging the company’s affairs, Tan Gaoming took a few people with him and hurriedly caught a high-speed train.

Meanwhile, other porcelain companies in Jingdezhen also saw that Hailufeng Company had posted three procurement projects for ceramic liners on the procurement website.

Each project was for 100,000 ceramic liners, which prompted many porcelain companies to act quickly.

However, the porcelain companies from Chaozhou, who had missed out on an opportunity before, used their geographical advantage this time and were the first to rush over.