Chapter 1113 – Going to Moscow again
After settling all his work in China, Feng Yu flew to Moscow. He needs to speak to Kirilenko about exchanging shares.
“Hahaha… Feng! My friend! You are finally here! Quick… I want to show you around my mansion! A part of it is completed.” Kirilenko’s hug is still so strong.
Kirilenko had used a helicopter to fetch Feng Yu, as it’s much faster this way.
This helicopter is a converted military cargo helicopter. It is very s.p.a.cious and renovated like a bar.
“Feng, try this. This is a fruit wine, and you will not get drunk.” Kirilenko said after seeing Feng Yu taking a small sip.
Feng is good in all aspects, except for drinking. Even his Brother-in-law, Li, is better at drinking than him!
Feng Yu took a few more sips and felt the wine’s alcohol content is about the same as red wine. It should be around 10%. Kirilenko should have prepared this wine for him.
“Brother Ki, let’s have a toast!”
Since this wine has a low alcohol content, Feng Yu is not scared. He decided to drink with Brother Ki, as Kirilenko is drinking hard liquor.
“Hahaha… Cheers!” Kirilenko laughed.
Feng Yu refilled his gla.s.s himself, as he does not want Kirilenko to pour hard liquor by mistake.
“Congratulations, Brother Ki. You had dragged out one more year.” Feng Yu laughed.
Kirilenko’s mansion should have been completed this year, but he made some changes to the design and delayed it. The construction can only be completed next year.
Kirilenko had purposely made these changes and claims he wants to have a better mansion than Bill Gates’.
Kirilenko had an unhappy look when he heard Feng Yu mention this. “I also thought I can delay my wedding. But my father insisted me to get married this year, as it will be good for my elder brother’s career in the military. Anyway, I must get married sooner or later. I decided not to drag this out anymore. Remember to attend my wedding on November 7 this year.”
November 7 is the former Soviet Union’s national day. Russia had kept this date as a holiday. The government that topples the former Soviet Union Government is still keeping this date. It’s too weird.
“Of course. I will surely be there!” Feng Yu rubbed his chin as he thinks of what gift to get for Brother Ki.
Money? Company’s shares? Brother Ki does not really care about these, as he is already one of the world’s top billionaires.
Feng Yu must give Brother Ki something special. Hmmm… Brother Ki had mentioned that his fiancée likes oil paintings. I should get one or two paintings for Kirilenko as his wedding gift.
“Oh, Feng. When are you going to get married?” Kirilenko asked.
“Err… I have not decided yet. I will tell you once I decided.” Feng Yu replied.
“Ok… It’s still the same advice for you. Try to get married as late as possible and enjoy your single life more. My older brother had changed drastically after he got married and has children. Sigh…” Kirilenko sighed.
Feng Yu thought to himself. Your brother had changed because he is responsible for his family. Why are you making it sound like a bad thing?
“Don’t you want to have children?”
Kirilenko went quiet for a few seconds and said. “Yes. Who doesn’t want to have their own children? One child is not enough. Never mind. Let’s not talk about this. I heard the prices for metal minerals had increased by a lot. Our production is the same as last year, but the profits are much higher.”
After the year 2000, precious metal minerals’ prices started to rise, and Kirilenko is excited.
But the prices of coal and iron are not increasing by a lot. Compared to the prices during the time they bought the mines, it is still higher. Because of inflation, workers’ salaries had increased, and they are not making any profits.
Feng Yu and Kirilenko must wait until after 2002 before the prices of metal shoot up. Gold and other precious metal prices will increase suddenly after the incident in the US. It will continue to rise for a few years, and that is the time when it is the most profitable.
Currently, even crude oil prices are starting to rise.
Last year, oil prices had dropped to 10 USD per barrel, which is historically low. Many oil fields had lost money.
Feng Yu and Kirilenko took out a sum of money each and continued to acquire these mines and oil fields. A few days before, oil prices had increased to 30 USD per barrel.
Although the prices had fallen again, the mining company’s profits this year should not be low. The profits should be enough to fund 50% of the new purchase mines and oil fields’ upgrading.
By next year, all the newly purchase mines and oil fields should have completed the upgrading works. The mines and oil fields’ production will be much higher when the minerals’ price increase in 2002. That’s the time when Feng Yu and Kirilenko reap the profits.
“Use these profits on the upgrading of the mines. In less than two years, the prices of all of our minerals will increase like crazy. Oh, if possible, try to acquire some gold mines. It’s about time for the gold prices to rise.”
Many people laugh at Feng Yu and Kirilenko’s company for their low production, as their mines have strict restrictions on the production levels.
But those people do not know that Feng Yu and Kirilenko had upgraded their equipment. Once the mineral prices go up, they can increase their production more efficiently than those old mines.
When that happens, their annual production three to five times their current production. Even when Feng Yu and Kirilenko are not mining, their mines’ value is still increasing, and they are not suffering any losses.
“Ok. I know there are two gold mines for sales now. I will settle the paperwork, and we will have the rights to mine for at least twenty years.”
Other people can only get six to ten years of mining rights. Still, Kirilenko can easily get longer durations for their mines. This is also the reason why Feng Yu is not in a rush to start mining. Kirilenko is also not in a hurry as they still have a long time before their contracts expire.
“When can that chemical plant start production?”
“It should be fully operational latest by the first quarter next year. Part of the plant has started production, and I had acquired a few chemical factories and merged them. Also, our steel factory, coal factory, etc. have started partial production and should be fully operational before the end of next year.”
These plants are newly built and cannot be fully operational within a short time.
Feng Yu and Kirilenko chatted, and the pilot told them they had arrived at Kirilenko’s mansion.