Practicing the Corporate Mission of “Contributing to the Conservation of the Earth” and Showing Their Skills in the Construction of “Hydrogen Society”

Recently, our group and Baowu Group 's Baowu Heavy Industry signed a contract to provide decarbonization core power equipment for 
the technical transformation project of 2500m3 hydrogen-rich carbon circulating blast furnace of Bayi Steel Plant, another member 
company of Baowu Group contracted by the company and the general contractor Sinosteel International, and to explore low-carbon 
and efficient green solutions for traditional blast furnaces.

At the 2022 Global Low-carbon Metallurgical Innovation Forum, Mr. Chen Derong, Chairman of China 's Baowu Group, announced that Baowu 
Group has built China 's first 400 m 3-level low-carbon metallurgical blast furnace. This is a major breakthrough in the global green low-carbon
metallurgical technology, but also the latest achievement in the engineering of low-carbon metallurgical technology. It is the ' Chinese plan ' for 
the steel industry to reduce emissions. It is of great significance for China 's largest carbon emission industry-the steel industry to reduce carbon 
dioxide emissions.



The first 400m three-stage low-carbon metallurgical blast furnace built last year is a test project. Its successful operation has completed the 
verification of the process path of hydrogen-rich carbon circulating oxygen blast furnace at the industrial production level, and achieved the 
expected goal of reducing carbon by 20 %. Since 2019, Kaishan has provided two core power equipment-process screw compressors for the 
project. Kaishan technology and units have withstood the severe tests of high pressure ratio, large pressure difference and large torque, 
and have excellent stability performance and won customer trust.

On the basis of the successful operation of the test project, last year, Baowu Group launched the commercial practice of 2500m3 hydrogen-rich 
carbon circulating blast furnace.

Because of its excellent performance in the test project, our group was trusted by the owner and won the contract to provide decarbonization 
core power equipment again.

Hydrogen-rich carbon circulating blast furnace technology is a very forward-looking new process of low-carbon ironmaking. It has the 
characteristics of safety, stability, high efficiency, strong anti-fluctuation ability, low manufacturing cost and good matching with traditional 
manufacturing process. After the successful commercialization of the 2500 m3 hydrogen-rich carbon cycle blast furnace, it will provide a 
feasible green solution for the carbon reduction of the existing large and medium-sized blast furnaces in China 's iron and steel industry. 
It has strong reproducibility and great market potential.

It is understood that the global steel industry is trying to promote the transformation of traditional " carbon metallurgy " to " hydrogen metallurgy. 
" In this process, Kaishan is deeply involved. Founded in 1914, Danieli Group of Italy, one of the three major steel groups in the world, and 
Tenova jointly developed ENERGIRON technology, which is the most feasible high-concentration hydrogen-based direct reduction system at 
present, achieving the goal of lower carbon dioxide emissions. In 2020, Kaishan process screw compressor was first applied to Danieli overseas 
low-carbon direct hydrogen reduction steel project. Recently, Danieli again handed over the order to Kaishan to provide a larger process screw 
compressor unit for another overseas low-carbon metallurgical project.


Danieli Group overseas low carbon direct hydrogen reduction steel project equipment

Last year, Kaishan also provided Taiwan Sinosteel with the important equipment of the converter gas extraction carbon monoxide project-the 
raw gas process compressor unit for the production of the reducing gas-carbon monoxide. The project has been successfully put into operation.

Taiwan Sinosteel Raw Gas Process Compressor Unit 

In addition, Xuanhua Steel Plant of HBIS Group adopts ENERGIRON technology and uses hydrogen-rich sources for ' hydrogen smelting '.It is the world 's 
first demonstration project of hydrogen metallurgy, marking the global steel industry 's efforts to promote zero-carbon steelmaking into the ' hydrogen era '. 
Once the project is completed, it will become the world 's first new generation of low-carbon hydrogen energy demonstration device, opening the process of 
promoting the transformation from traditional ' carbon metallurgy ' to new ' hydrogen metallurgy '. It is proud that Kaishan Group also provides the key 
core power equipment for the project : hydrogen-rich screw compressor. The compressor is an oil-free screw compressor unit with the largest single flow and 
the highest exhaust pressure in China. The rotor diameter reaches 844 mm and the exhaust pressure is 0.8 MPa, which is the highest in the domestic industry. 
The commissioning of the project also marks that Kaishan has completed the full coverage of the ultra-large flow range of the oil-free process gas screw 
compressor operating flow of 10-1100m3 / min, and the Kaishan process gas compressor has reached the international advanced level. At present, the project 
has entered the commissioning phase.

Hydrogen-rich screw compressor unit of Xuanhua Steel Plant of Hegang Group

KSG844 super large flow process screw compression host Five years ago, Kaishan ‘s core decision-makers were acutely aware thathumanity was entering a ‘ hydrogen society ‘ and that companies needed to be prepared in advance to fulfill their corporate missionof ‘ contributing to saving the planet ‘. To this end, our group has invested heavily in R & D and developed a large number of productsto meet the requirements of the hydrogen energy market. Up to now, both the Chinese head office and the Austrian subsidiary-LMFhave entered the harvest period and have and are getting orders of hundreds of millions of yuan.