OREANDA-NEWS. May 04, 2012. Recently, the singing ceremony of The Strategic Purchase Agreement Of Baoshan Iron & Steel Co., Ltd. And China National Petroleum Corporation(abbreviated as CNPC)has been held in Baoshan Hotel. Liu Guosheng, the vice chairman and secretary of the Party committee of Baosteel and Yu Baocai, the deputy general manager of CNPC etc. attended the singing ceremony and witnessed the signing of the agreement. Jiang Licheng, the deputy general manager of Baosteel and the general manager of the steel pipe and bar iron business department and Li Zunyi, the general manage of the materials procuring and managing department of CNPC respectively signed on the agreement on behalf of both parties, reported the press-centre of Baosteel.

On March, 15th this year, Baosteel and CPNC singed a new round of strategic cooperation agreement in Beijing and according to the agreement, both parties will expand even broader space for cooperation in the fields of natural gas, refined oil, steel and pipe, equipment manufacture and technology, management and finance etc.The strategic purchase agreement this time is the important sub-protocol of the strategic cooperation agreement. 

According to the agreement, both parties will have “Mutual Benefit And Double Win , Resource Sharing, Equality And Good Faith And Common Development” as the cooperation principle. The two parties will give full play to their respective advantages to carry out extensive exchanges and cooperation in the aspects such as resources and market cooperation, technology research and  development and applications, information sharing, business and logistics management and exploring the lowest total cost of the supply throughout the life cycle etc, sharing the experiences and achievements of management, market research, materials management and process reengineering etc.

At the meeting before the signing ceremony, Yu Baocai said that CNPC and Baosteel are both the central enterprises and they are similar in many aspects such as managing idea and enterprise cultures etc. In the new stage of the new century, CPNC is carrying out a set of brand-new development strategy, aiming at the advanced level of the same international petroleum industry and speeding up the construction of the most competitive large multinational petroleum enterprise group. Yu Baocai said that the future span-type development of CNPC is inseparable from the strong support of Baosteel. He hoped that both parties would strengthen cooperation in a wider field, expand the market together, enhance strength continuously and cope with the challenges of the market hand in hand based on the principle of "Good Faith And Double Win".

Liu Guosheng said at the meeting that with the rapid development of China's petroleum industry, China petroleum has formed rich enterprise culture deposits and cultivated the excellent enterprise culture with the "Daqing Spirit" as the representative. The industrial front banner of Daqing Oil Field is always flying high and more bright-colored. Many aspects of CNPC are well worth learning by Baosteel. Baosteel and CNPC have been keeping good relations of cooperation for a very long time and both parties are not only the strategic users of each other but the cooperation fields are expanding continuously. Liu Guosheng hoped that the cooperative parties would have the signing of the agreement as a new starting point, continue to play their respective advantages, strengthen cooperation continuously in the aspects such as promoting energy steel localization and new products development and cooperation etc, cope with the increasingly fierce international competition together and realize win-win cooperation.