Jiangsu Yonggang signs raw material supply deal with Baosteel Resources

Jiangsu Province, China-based large-scale integrated iron and steel enterprise Jiangsu Yonggang Group Co. has announced that it has signed a strategic cooperation agreement regarding raw material supply in 2012 with Baosteel Resources Co., a wholly-owned subsidiary of Chinese steel giant Baosteel Group. The agreement will guarantee raw material supplies for Yonggang Group's expanding production capacity.
 
In January-November 2011, Yonggang Group purchased 1.85 million mt of iron ore, 113,000 mt of scrap, 10,000 mt of pig iron, and 83,000 mt of coking coal from Baosteel Resources.
 
Meanwhile, after Yonggang Group's blast furnaces No. 8 and No. 9, both with 1,080 m3 capacity, were respectively put into production in July and August of last year, its output annual capacities of crude steel and finished steel have both reached 8 million mt.