Shouwang Coal, a subsidiary of Shougang Mining Investment, recently delivered its first batch of 55 cars of coking coal to the Jingtang Xishan Coking in Caofeidian District. All indicators met specifications in incoming quality inspection, with laboratory results exceeding the samples. This marks Shouwang Coal’s initial contribution to reducing costs, increasing efficiency, and ensuring a stable supply of coking coal for Shougang Group’s steelmaking operations.

This develops a new path for leveraging advantageous resources. Shouwang Coal supplies medium-ash, low-sulfur, and high-calorific value lean and semi-lean coal. Shougang Mining Investment, adopting a holistic perspective and leveraging Shouwang Coal’s unique resources, has strategically planned its operational development, significantly contributing to a stable and secure coking coal supply for Shougang Group’s steelmaking operations. Intra-group collaboration fosters mutual benefits. In early August, Shougang Mining Investment convened a product launch meeting for lean coking coal, bringing together representatives from the Shougang Research Institute of Technology, Jingtang Xishan Coking, Qian’an Shougang Coking, and Beijing Shougang’s Procurement Center. They shared an understanding of Shouwang Coal’s capabilities and product characteristics. Jingtang Xishan Coking quickly conducted several tests with small coke ovens, and the results showed that the coal met all operational requirements, ultimately leading to a purchase agreement.

Shougang’s steel division is currently implementing a technological procurement strategy, prioritizing the “increased utilization of lean coal for structural cost reduction,” which has been a key research topic of Shougang Group. Beijing Shougang’s Procurement Center held that developing Shouwang’s lean and semi-lean coal resources will facilitate restructuring Jingtang’s coal blending mix and cost reduction, help expand resource channels and enhance supply security, promote internal resource sharing, and integrate the industrial chain of Shougang Group to mitigate market risks. Increased shipments of Shouwang lean coal to Jingtang are scheduled for November to further assess its performance. Beijing Shougang’s Procurement Center will consider including Shouwang lean coal in long-term contracts in 2025, expanding its use beyond Jingtang to include other steel production sites such as those at Qian’an Zhonghua and Shougang Changzhi, thereby stabilizing procurement and consumption for mutual benefit. Shougang Mining Investment will continue to foster collaboration between Shouwang Coal and Shougang Group’s steel mills, focusing on improving coal blending and washing processes to contribute to a stable and coordinated supply of coking coal for Shougang.

Shouwang Coal, located in Longhua Town, northeast of Yicheng County, Linfen City, Shanxi Province, boasts an annual production capacity of 1.2 million tonnes, integrating coal mining, washing, preparation, and rail and road transportation. Shouwang Coal has been certified as a national class-A mine for work safety standardization, a special-class mine of safety and efficiency, a class-A mine of Shanxi Province, and a provincial-level green mine. The company is currently fully implementing Shougang Mining Investment’s “4+1” strategy to contribute to the accelerated development of Shougang scenarios in Chinese-style modernization.