Vale started construction of the Zhongzhai Pre-blending Project, a
partnership with Jiangsu Shagang Group Co., Ltd. (“Shagang”) and Ningbo
Zhoushan Port Company Limited (“Ningbo Zhoushan Port”).
The project, which will be built by Ningbo Zhoushan Port, is expected to
start operations in the second semester of 2023. The goal is to develop
silo-blending facilities for up to 8 different ores with a capacity of
15 Mtpy at the Zhongzhai Ore Terminal in Zhejiang Province, China.
Blended ores will be supplied exclusively to Shagang after the project
Vale will be responsible for supplying portion of the blended cargoes,
with high quality products such as BRBF, and providing technical
assistance services in blending activities.
The Zhongzhai Ore Terminal has an unloading berth of 300,000 tons that
can receive Guaibamax ships.
What is blending?
The word comes from the English verb blend, which means to mix. In the
extraction of ores, the blending process refers to the mixing of
substances to create uniform products.
The innovative pre-blending service involves the use of silos for the
simultaneous blending of various iron ore products at the port, a
process normally carried out in steel mills, before the sintering stage.
Pre-blending is a way to increase our company's extended supply chain
services, delivering value to our customers through multiple benefits,
Improvement in the quality of the iron ore mix;
Reduction of raw material inventories in steel mills.
The project's opening ceremony was held this week and was attended by
Rogerio Nogueira, Vale's Iron Ore Marketing Director, and Tracy Xie,
President of Vale China.
“The Zhongzhai Pre-Blending Project aligns with our strategy of
delivering value to customers through our extended supply chain. Both
blending and pre-blending are the result of innovation, one of the
levers of Vale's purpose. As a result, we offer better products and
services, get closer to our customers and help them to optimize their
business”, highlighted Rogerio Nogueira.
Headquartered in Zhangjiagang City, Jiangsu Province, Shagang is the
largest private steel mill in China and the 5th largest steel
mill in the world, with a crude steel production of 44 Mt in 2021.
Shagang has been on the Fortune Global 500 list for 13 years in a row
and ranked 308th in 2021.
About Ningbo Zhoushan Port
Ningbo Zhoushan Port has been ranked the world's largest port for 13
consecutive years in terms of total load handling. The space operates in
the loading and unloading of containers, iron ore, crude oil, coal,
liquefied oil, grains and other cargo. It has two 400,000-ton berths
that can receive Valemax ships.