The contract was signed at the Chicago Board of Trade (CBOT) by a Chinese enterprise purchasing mission, organised by the China Chamber of Commerce and its US counterparts.

The Chinese purchase delegation to the United States during mid-December signed overall contracts worth $1.59 billion US dollars. The contracts included importing nearly $1.4 billion worth of soybean and approximately $200 million worth of mechanical and electrical equipment.

The Joy Mining equipment will be purchased through Shenhua’s operating company Shendong Coal Corporation, which is engaged in the development of the Shenfu-Dongsheng coal field located on the border of Shaanxi Province and the Autonomous Region of Inner Mongolia.

The planned mining area contains 35.4 billion tonnes (39 billion tons) in an area of 3,481km2 (2,163 square miles).

In October last year Joy Mining Machinery opened a new service centre in Inner Mongolia. The service centre in Baotou is located on the edge of the Dongsheng Coalfield and also provides access to the further reaching coal mining provinces of Shaanxi, Shanxi, Shandong and Jilin, where Joy has several customers.

The new centre will allow Joy to provide repair and rebuild facilities for customers in the region and is part of Joy's global strategy to promote 'Life Cycle Management' of equipment.

"Joy recognises the strengths in working in partnership with its customers and the need for a constant focus on quality and service," the company said in a statement. "Fundamental to the company's strategy is the culture of Life Cycle Management. Such programs ensure the continued improvement of processes and systems, shortened turnaround times and high quality aftermarket support.

"Through Life Cycle Management and the ability to plan for machine rebuild schedules offering round the clock response in support of local needs, Joy look to further enhance the value of its products and services to its customers and continue to increase the world class production levels in China," Joy said.

The Baotua centre consists of a 4,000m2 workshop with three factory bays that offer facilities for machining, strip and clean, inspection and welding recovery, motor repair, electronics, electrical, mechanical and hydraulic assembly.

The workshop includes facilities for test and commissioning and compatibility trials. A Coordinate Measuring Machine, imported into China, is able to map out the precise dimensions of any machining requirements and offer a complete computer printout indicating tolerance and co-ordinate deviations.