OREANDA-NEWS. June 17, 2014. President Zhang Zhaoxiang of MCC Group met with President Peng Zhaofeng of Hebei Iron & Steel Group and his visiting delegation members at the headquarters of MCC in Beijing.

Both parties conducted in-depth view-exchange on implementation of relevant issues according to the mutual strategic cooperative agreement. The project negotiation representatives of both parties carried out discussions in groups on specific matters such as the project implementation of iron mine in Argentina, the equipment procurement from MCC-SFRE Heavy lndustry & Equipment Co., Ltd. (MCC-SFRE) and the on-line maintenance service of the equipment.

At the outset, Zhang Zhaoxiang extended warm welcome on behalf of MCC Group to President Peng Zhaofeng. According to Zhang, Hebei Iron & Steel Group is the largest Chinese steel works in terms of its output capability, holds a pivotal position in the steel industry of China and attracts keen attention from the Central Government. MCC Group has established itself into the worldwide largest contractor for metallurgical engineering and the service provider for upgrading and transformation of metallurgical engineering technologies, undertaking the planning, surveying, design, engineering construction work and technical service for large/medium-sized domestic steel works such as Hebei Iron & Steel Group, which was just born for the development of steel industry. MCC Group and Hebei Iron & Steel Group are super-large state-owned enterprises in the metallurgical and steel industry of China, with distance not far away, and have established profound partnership and friendship during the long-lasting collaboration in the past time. This meeting will contribute to the further deepening of the mutual strategic cooperation, as well as the effective enforcement of the strategic cooperative agreement.

Zhang Zhaoxiang added that, Hebei Iron & Steel Group is one of the major clients of MCC Group and has offered essential support and assistance for the development of MCC Group, and on the other hand, MCC Group is willing to provide help in its full power to Hebei Iron & Steel Group. In view of the more strict requirements stipulated by the state government on steel works for energy conservation and emission reduction, all the design institutes of MCC Group have done a lot of work on technical research and development, which could be of help for the technical transformation and upgrading of Hebei Iron & Steel Group. In addition, both parties enjoys huge cooperative space in the fields of resettlement and transformation of steel works, steel trade, equipment manufacturing and mine development.

Peng Zhaofeng mentioned that, Hebei Iron & Steel Group attaches great importance to the collaboration with MCC Group as both parties conducted a great deal of pleasant cooperation in the past. The current development achievements made by Hebei Iron & Steel Group could not have been realized without the great support extended by MCC Group, and the future development and upgrading will also depend upon the assistance of MCC Group. Both parties enjoy perfect cooperative foundation. On one hand, the huge market explored by MCC Group is in need of the products made by Hebei Iron & Steel Group. On the other hand, quite a few tough technical transformation and upgrading work of Hebei Iron & Steel Group might be undertaken under in-depth collaboration with MCC Group. With regard to the specific project, various new cooperative methods could be jointly worked out by both parties.

Prior to the meeting, the project negotiation representatives of both parties carried out discussions in groups on specific matters, for instance: (i) the project implementation of iron mine in Argentina; (ii) the equipment procurement from MCC-SFRE Heavy lndustry & Equipment Co., Ltd. (MCC-SFRE); (iii) the on-line maintenance service of the equipment; (iv) steel trading business jointly operated by both parties; (v) application of high-end steel products of Hebei Iron & Steel Group; (vi) overseas projects; (vii) energy conservation and emission reduction of Hebei Iron & Steel Group; and (viii) resettlement and transformation of Shijiazhuang Steel Works. The discussion results were debriefed at the meeting.
The leaders of both parties and the relevant subsidiaries were present at the meeting.