In Hong Kong, we build a global business empire

Chapter 126 The Value of Oil Doubled
Three days later, at an official land auction, Lin Haoran took Yang Mingyi to participate in the auction.

This auction attracted not many real estate companies, only 13.

At this auction, Lin Haoran, on behalf of Wan'an Group, finally won two of the plots of land.

The first one was the government land in Kwai Chung, which cost HK$1860 million.

The second piece of land was the government land in Kowloon Tong, which cost HK$1090 million.

Originally, he wanted to acquire the industrial land in Chai Wan, but it was obvious that a real estate company was determined to acquire the land, and the bidding funds far exceeded the market price.

Finally, under Yang Mingyi's persuasion, Lin Haoran did not continue bidding.

Otherwise, he would have taken three out of the four plots of land.

As for the seabed plot in Yau Ma Tei that needed to be reclaimed, Lin Haoran had never considered it at all because the bidding required reclamation as soon as possible after the auction.

However, the competition for this piece of land was the most intense. Nearly ten real estate companies bid for it. It was obvious that many people came here for this piece of land.

After all, Yau Ma Tei is located in the center of Kowloon City and is more valuable than land in the suburbs, not to mention that it is a seaside plot.

In the end, the land was won by a team of three companies that jointly bid.

After borrowing 1.3 million Hong Kong dollars from Huifeng Bank, Lin Haoran told Yang Mingyi about his plan to hoard land.

Therefore, the general manager of Wan'an Group is now clear about the new boss's development philosophy.

What surprised Lin Haoran was that Yang Mingyi actually supported Lin Haoran's plan.

Buying land does not necessarily mean starting construction immediately.

In Hong Kong, there are many real estate tycoons who, after acquiring a lot of land, do not develop it. As a result, after a few years or even more than ten years, the land price has unknowingly doubled.

Of course, this requires strong real estate companies to do this, such as real estate giants such as Henderson Land Development, Cheung Kong Holdings, New World Development, and Sun Hung Kai Properties.

Once you buy a piece of land, if you don't want to develop it but instead hoard it, it is equivalent to being unable to collect funds for the land.

The rapid rise in housing prices in Hong Kong is largely due to the fact that many real estate developers are hoarding land without developing it.

After acquiring the two pieces of land, Lin Haoran did not stop there.

These two pieces of land cost less than HK$3000 million.

He certainly wouldn't just leave the remaining hundreds of millions of Hong Kong dollars in his bank account.

Land does not only come from government auctions. There are also many owners who want to sell their land in the secondary market.

So, with the assistance of Yang Mingyi, Lin Haoran spent all the loan funds in just one week.

The price of land purchased from the market is slightly higher than that of official land auction, but not much higher and still acceptable.

So far, Wan'an Group has added more than a dozen plots of land of varying sizes to its properties.

These plots of land are distributed throughout Hong Kong, including North Point, Sheung Wan, Kwun Tong, Chai Wan, Kwai Chung, Kowloon Tong, Shek Kip Mei, Causeway Bay, etc., mainly in the city center and suburbs.

As for the land in the New Territories, Tuen Mun and Yuen Long, which are far away from the city center, although the prices are cheap and there are a large number of land for sale, Lin Haoran is not interested in it for the time being.

Because what he needs at that time is to be able to sell these lands quickly, and the land in the city and suburbs is obviously more popular.

In the blink of an eye, it was already March.

On the Iranian side, after more than one to two months of adjustment, the new Iranian interim government finally officially began supplying oil to the outside world.

However, the oil crisis did not stop there.

Because before the oil crisis broke out, Iran supplied more than 600 million barrels of oil to other countries every day.

Now that oil supply has been resumed, the daily supply is only over one million barrels.

This small amount of additional supply has not improved the supply and demand in the global market at all.

In addition, the top capital that dominates oil prices has no intention of letting oil prices fall.

Therefore, the international oil price did not stop rising because Iran resumed oil supply. Instead, the price increase was even faster.

By mid-March, international crude oil prices had risen to over $24 per barrel.

Lin Haoran’s crude oil cost price is only US$12.5 per barrel.

In other words, in just over four months, Lin Haoran's crude oil has nearly doubled.

Only a few people knew about this, such as Bao Yugang and Shen Bi. Even his father Lin Wanan was not aware of it.

However, Lin Haoran was not in a hurry to sell, because there was no need to enter the gold futures market so quickly. In this case, he would wait for oil prices to rise further.

At least it has to more than double before Lin Haoran will be satisfied.

As for waiting for it to rise to more than 30 dollars per barrel? This will take at least until next year. Lin Haoran does not intend to waste so much time on oil, because he can earn more by moving funds to the gold market.

It didn't take long for Lin Wanan to find out that Lin Haoran had borrowed money from the bank to hoard land.

Miraculously, though, he didn't interfere too much.

Because Lin Wanan himself knew that his previous investment strategy was too cautious.

Land is a high-quality asset. Even if the price drops, it won’t drop too much. At that time, even if there is a loss, it shouldn’t be too much.

If he loses money, it means he has taught his son a lesson; if he makes money, it means his son has more investment courage than himself.

Because of this, Lin Wanan did not persuade Lin Haoran this time.

Since officially stepping down as chairman of Wan'an Group, Lin Wan'an has completely entered a state of retirement, living a leisurely life every day and rarely visiting Wan'an Group for a week.

Obviously, he is satisfied with the steady development of the group.

Lin Haoran even hired a home doctor to take care of Lin Wanan's health.

As for Qingzhou Yingni, after more than two months of acquisition, Huodoli once again acquired more than three million shares of Qingzhou Yingni.

Originally, there were about 13 million shares in the hands of shareholders. At the beginning, more than 8 million shares were acquired, and with the subsequent more than 3 million shares, there were actually only more than 1 million shares left that were not controlled by Lin Haoran.

At this point, Lin Haoran actually controls more than 97% of the shares, and basically, the privatization can be declared a success.

However, for Lin Haoran, there is not much difference between the privatization of Qingzhou Yingni and not privatization.

Therefore, he was not in a hurry to redeem Qingzhou Yingni's shares from Wan'an Group.

Since Burton took charge of Qingzhou Yingni Company, he has continuously expanded overseas markets, and the profits of Qingzhou Yingni Company have been increasing.

In January, Qingzhou Cement's profit reached more than HK$1 million.

By February, Qingzhou Yingni Company's profits had reached a terrifying amount of more than 2 million Hong Kong dollars, half of which came from overseas markets.

It can be said that Qingzhou Yingni’s overseas expansion strategy is very successful.

In just two months, Qingzhou Cement's cement sales in the Philippines jumped from fifth to third.

The cement produced by Qingzhou Yingmu Company, which has a history of nearly 100 years, is obviously much better than other domestic cements in the Philippines.

Because of this, the number of customers at the Qingzhou Yingni branch in Manila is increasing.

At the same time, Burton is also making intensive preparations to enter the Singapore and Malaysian markets and is full of enthusiasm for the company's expansion.

Lin Haoran naturally supports this very much.

Burton has nearly 20 years of experience in corporate management, especially in the Nanyang area where he has many connections. Under his leadership, Qingzhou Yingni has obviously developed much faster, directly moving from the slow lane to the fast lane.

Perhaps because he was grateful for Lin Haoran's trust in him, Burton's loyalty to Lin Haoran also increased slightly, from 85 to 89.

In addition, in the past few months, more than half of the middle and senior management of Qingzhou Yingni Company have been Chinese. Some foreigners with insufficient abilities have either been fired or demoted voluntarily.

Although a large amount of compensation was paid for this, it is obvious that the entire Qingzhou Yingni has a new look after replacing these foreigners with low loyalty and mediocre abilities with Chinese with high abilities and good loyalty.

Those with a loyalty level below 70 will not be allowed to be managers. Lin Haoran will hold a management meeting regularly. He will secretly note down any disloyal managers and then ask Burton to replace them directly.

Otherwise, no matter how strong one's management ability is, sooner or later one will find a way to use his position in the company to do things that harm the company's interests.

Seeing that the available funds of Qingzhou Yingni Company reached more than 15 million Hong Kong dollars, Lin Haoran did not let it waste in the bank. He directly asked Burton to take out 1,300 Hong Kong dollars to buy two plots of land in Kwun Tong, and the remaining more than 2 million was used as the company's reserve funds.

March passed in the blink of an eye and time entered April.

International oil prices continued to rise, and finally broke through $25 per barrel in April.

Moreover, everyone has discovered that its growth rate is increasing at a faster rate.

At this point, the value of the crude oil in Lin Haoran's hands officially doubled.

If he finds a seller now, he can get $1.2 million directly.

And it sells very well.

According to news reports, the demand of many petrochemical refining companies is far from enough. In various oil-producing countries, if you want to buy sufficient oil, you have to queue up!

This queue may last for half a month to a month. By that time, the oil price will have increased by one or two dollars, and the cost will have increased again.

The exchange rate of U.S. dollar to Hong Kong dollar has increased slightly during this period, from 1 U.S. dollar to 5 Hong Kong dollars to about 1 U.S. dollar to 5.3 Hong Kong dollars now.

In other words, the batch of oil he bought is now worth 6.36 million Hong Kong dollars.

In February, Bao Yugang called Lin Haoran twice and asked him whether he planned to sell the crude oil. If he did, there were petrochemical companies willing to buy the crude oil at a price slightly higher than the international crude oil price.

Bao Yugang's Global Shipping Group, as the world's largest long-distance shipping fleet company, naturally cooperates with various petrochemical plants, so it is normal for those people to come to him for help.

Therefore, many people hoped to buy crude oil through his relationship, so Bao Yugang thought of Lin Haoran.

However, Lin Haoran still did not sell the crude oil.

Because it’s still not the time.

In March, Bao Yugang called again with the same purpose as before.

However, this time Lin Haoran told him directly that he would decide to sell the crude oil in early June, and if any company had demand at that time, they could talk to him.

At this point, Bao Yugang did not dwell on this issue any further.

(End of this chapter)