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13.07.22

Innovation

Zhongzhai Pre-blending Project starts construction in China


Vale informs the start of construction for the Zhongzhai Pre-blending Project (“Project”), a partnership between Vale, Jiangsu Shagang Group Co., Ltd. (“Shagang”) and Ningbo Zhoushan Port Company Limited (“Ningbo Zhoushan Port”).

The project, to be constructed by Ningbo Zhoushan Port, is estimated to start operations by 2H23 and intends to develop silo-blending facilities of up to 8 different ores with 15 Mtpy capacity in the Zhongzhai Ore Terminal, in Zhejiang Province, China. The blended ores will be exclusively supplied to Shagang after project completion. Vale is committed to supply part of the blended cargos, with high-quality products as BRBF, and to provide technical assistance on the blending activities. The Zhongzhai Ore Terminal owns a 300 thousand tons unloading berth that can receive Guaibamax vessels.

The innovative pre-blending service entails the use of silos to simultaneously blend several iron ore products at the port, which is a process usually performed at steel plant sites, before sintering process. Pre-blending is a way to increase Vale’s extended supply chain services, delivering value for clients with multiple benefits, including iron ore blends quality improvement, logistics efficiency and reduction of raw material inventories at steel plants.

A groundbreaking ceremony was held today with the presence of Rogerio Nogueira, Vale’s Marketing Director of Iron Ore, and Tracy Xie, President of Vale China. Rogerio Nogueira affirmed “The Zhongzhai Pre-blending Project is in line with our strategy of delivering value for our clients through extended supply chain services. Both blending and pre-blending are the results of innovation, which at Vale is considered one of the levers for achieving our purpose. We have always been innovating to get closer to our clients, to provide better products and services, and to help them to optimize their business”.

About Shagang

Headquartered in Zhangjiagang City, Jiangsu Province, Shagang is the largest private steel enterprise in China and the 5th largest steel company in the world, with a crude steel production of 44 Mt in 2021. Shagang has been on the Fortune Global 500 list for 13 consecutive years and was ranked 308th in 2021.

About Ningbo Zhoushan Port

Ningbo Zhoushan Port has ranked the largest port in the world for 13 consecutive years in terms of total cargo throughput. Ningbo Zhoushan Port is engaged in the loading and unloading of containers, iron ore, crude oil, coal, liquified oil, grains among other cargos. It owns two 400 thousand tons berths that can receive Valemax vessels.

 

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