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Sinosteel Xu Siwei: Chana Iron Mine has become China-Australia economic link for 30 years

Article source: 21st Century Business Herald

On the 24th local time, during Premier Li Keqiang's visit to Australia, Sinosteel Chairman Xu Siwei said at the China-Australia Economic and Trade Cooperation Forum, "By November this year, the Chana project of Sinosteel and Rio Tinto will officially celebrate the 30th anniversary Celebration. Chana has become the model of the longest and most successful project between China and Australia. "In the future, China Steel is expected to further deepen and expand the areas and methods of cooperation with the Australian mining giant Rio Tinto.

Chana Project 30 Years

On the afternoon of the 24th, Sinosteel Chairman Xu Siwei and Rio Tinto Group CEO Xia Jiesi were invited to attend the China-Australia Economic and Trade Cooperation Forum and participate in the same dialogue. Xu Siwei said in his speech that Sinosteel is one of the earliest large-scale state-owned enterprises in China that "go global". It has successively established iron ore and chromium ore resource bases in Australia, South Africa, Zimbabwe and other places. The general contracting of the project continues to advance internationalization and the “Belt and Road” process.

Talking about the cooperation between Sinosteel and the Australian mining company Rio Tinto Group, Xu Siwei recalled that in the 1980s, with the strong support of the Chinese and Australian governments, Sinosteel Group and Rio Tinto Group in the Pilbara region of Western Australia The joint venture has constructed China's first major mineral resource investment project, the Cana Iron Ore Project. Chana Iron Mine also became the largest industrial joint venture between China and Australia at that time.

In 2014 and 2016, Sinosteel and Rio Tinto signed the renewal agreement of the Chana joint venture twice. According to the 2016 agreement, together with the newly signed underwriting contract, Rio Tinto will supply 70 million tons of high-quality, low-cost iron ore products to Sinosteel within the next five years.

Xu Siwei said at the scene: "By November this year, the Chana project joint venture will officially mark its 30th anniversary. Chana has become one of the longest and most successful projects between China and Australia. The model will become one of the close ties between China and Australia. "

According to Sinosteel data, up to now, the Chana project has produced more than 250 million tons of iron ore, and all products have been sold to the Chinese market through Sinosteel.

Deepen cooperation with Rio Tinto

Talking about the future development of Sinosteel in the Australian market, Xu Siwei revealed that Australia has always been an important target market for Sinosteel's "industrial layout internationalization" and will further increase development efforts in the future.

Xu Siwei said that at present, Sinosteel and Rio Tinto are interested in further deepening cooperation. In addition to continuing to jointly operate the Chana project, Sinosteel will explore more areas and ways of cooperation with Rio Tinto, including "cooperation in mining engineering and mining equipment supply, joint development of new iron ore projects, etc. I believe that the cooperation between the two sides will definitely bring more fruitful results in the near future. "

Secondly, Sinosteel will further expand the Australian metallurgical engineering market. According to reports, in addition to mineral resources, Sinosteel Group also has strong engineering contracting and supporting construction capabilities at home and abroad in terms of engineering technology. It has been selected as the world ’s largest 250 international contractors and the largest 250 global contractors for 7 consecutive years. In the next step, we will give full play to our own advantages, continue to actively seek high-quality resource projects in Australia, provide EPC engineering services, and achieve win-win development.

In addition, Xu Siwei also revealed that Sinosteel Group also plans to increase the development of new technology materials market. In the future, we will actively explore cooperation with relevant Australian companies in related fields such as science and technology and new materials.


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