Scana Steel Leshan

Managing director: Leif Næss
Employees: 776
Turnover: NOK 245 million

Leshan produces rolls for the steel industry and special cast products for the steel, energy, offshore, construction and shipping industries. Leshan Scana is a recognized supplier in the Chinese market and is among the largest producers in terms of volume in the roll manufacturing industry.

Leshan Scana is a Norwegian-Chinese joint venture in which Scana owns 80 per cent and Leshan Municipal State Owned Asset Business owns 20 per cent. The company is located in the vicinity of Leshan in the Sichuan province of South West China.

Leshan Scana is a leading company with regard to the environment and has implemented an environmental programme with other industrial firms in the region to reduce emissions to air. As at 31st December 2008, the company had 776 employees and a turnover of RMB 308 million.

Market and customers

The company mainly delivers to customers in China, and has a number of the country’s largest steelworks as customers. The company was experiencing an economic boom during the first three quarters of 2008 and had its highest ever production level during this period. At the end of 2008, Leshan Scana also had one of its largest ever order reserves.

In 2008, the company continued to win a number of large orders as reflected in the current order reserve. In recent years, China has evolved as a net exporter of steel. Leshan Scana exports products to Canada, India, Pakistan, Korea, Turkey and Germany.

Leshan Scana has experienced only minor effects of the finance crisis. The demand for the company’s core products is expected to remain high as the Chinese government increases the development of infrastructure projects in 2009 and 2010.

Products

Leshan Scana produces and delivers cast steel rolls and steel castings up to 10 tonnes. Roller products include both static and centrifugally-forged rollers and sleeves. Specialised castings delivered include nodes and intersections for the construction industry, chain wheels for ships, spare parts and castings for turbines, blow-out preventors for the oil and gas industry, and crush plates for the mining and quarrying industry.

Scana was a key supplier of among other things, cast fixing devices for the Birdnest Stadium in Beijing, which was the main arena for the Olympic games in 2008.

Leshan Scana will further develop the operation by introducing improved and new grades in the product mix in order to meet the requirements to remain a leading, modern steelworks in China. Our products shall tolerate increased heat, thicker billet rolling and more extreme conditions.