Swedish firm Sandvik has completed the establishment of a coal mining equipment joint venture (JV) with Chinese firm Shandong Energy Machinery.

Both the firms have entered into an agreement in April to form a 50 / 50 owned JV in Xintai, Shandong Province, China, for the production and sale of coal mining equipment.

The JV will focus on assembly, sales and service of high-performing roadheaders for the underground coal market of China.

Shandong Energy Machinery Group ZhongRui Mining Equipment Manufacturing was legally established on 12 October 2011 and is expected to commence operations in the beginning of 2012.