Baosteel Resources is a wholly-owned subsidiary of Baosteel Group, with headquarters in Shanghai and Hong Kong, mainly engaged in investment, trade, and logistics/services of mineral resources. We have 15 subsidiaries in China and 2 subsidiaries and offices in Australia and South Africa. Baosteel Resources pursues international cooperation and win-win results, focusing on the global allocation of mineral resources, and is committed to providing customers with high-quality products and value-added services, achieving leapfrog development in businesses such as ore, coal, alloys and non-ferrous metals, stainless steel raw materials, scrap steel, and logistics. Baosteel has been involved in the metal recycling resources business for a long time. The scrap steel industry has developed to this day, with Baosteel resources as the main platform and 8 regional scrap steel bases. The annual operating scale is 2 million tons and the processing capacity is 1.3 million tons. Baosteel Resources Ningbo Zhenhai Scrap Steel Base purchased a 1000 horsepower crushing line (PSX-6080) from Hubei Lidi Machine Tool Co., Ltd. in September 2008. In the new round of development plan for Baosteel's resources, the metal renewable resources business will aim to develop the industrialization of scrap steel, with scrap steel processing, distribution, and business services as the foundation. It will moderately develop the vehicle and ship dismantling business, explore various business cooperation models, and become one of the excellent large-scale scrap steel processing and distribution enterprises in China by 2015.

At the same time, as a raw material supply service provider for steel mills, Baosteel Resources continuously explores and innovates, develops high-quality products, and actively reduces costs and creates value for steel mills. By actively controlling and developing waste resources at the source, as of 2011, the control amount of Baosteel's pure waste steel resources has reached 1 million tons, which can effectively improve the purity of molten steel and related yield, and has become an important part of Baosteel's waste steel supply chain.

After becoming the "Demonstration Base for Scrap Steel Processing and Distribution Center" recognized by the China Scrap Steel Application Association, Baosteel Resources will take advantage of the dual headquarters advantages of Shanghai and Hong Kong, actively develop overseas resources, expand overseas customers, build competitive overseas scrap steel yards and domestic imported scrap steel processing bases, comply with the strategic development needs and market trends of the country and Baosteel Group, seize opportunities, and strive to achieve a healthy path of scrap steel industrialization Stable and rapid development. At present, Baosteel Resources is building new processing bases and stable logistics channels through a new round of investment. By the end of 2015, it aims to form various profit models such as scrap steel processing value-added, trade value-added, channel value-added, service value-added, and new product value-added, and become one of the top three large-scale scrap iron processing and distribution enterprises.