Chinese Mining Equipment
Sandvik and Lingong Jinan Heavy Machinery Co from Shangdun Province signed an agreement to establish a joint venture for the production and sale of land and underground mining equipment, and was reported to the Chinese co-sponsor.
The SP, in which Sandvik will have a larger share than the Chinese partner, is scheduled to be operational in the second half of 2016. The production capacity will be part of the new Sandvik Mining and Rock Technology Industrial Zone, which specializes in the collection, sale and maintenance of terrestrial drilling plants, mine loaders and various kinds of machines.
The SP product, which will be sold under an independent brand, focuses on the needs of small and medium-sized businesses. At the start-up stage, the enterprise intends to deliver products to the Chinese market, but in the future, SP Sandvik and Lingong plan to become the leading supplier of the mining market.Mineral Equipment for medium-sized businesses and elsewhere in the world.
According to President Sandvik Mining Lars Engström, the contract should be seen as a strategic step by a company in a small and medium-sized mining market segment, in which the industrial experience of the Chinese partner would play an important role.