Yuguang's Spirit: The Foolish Old Man Moves the Mountain (Part 2)

  Yuguang Group's 60th Anniversary Series Report (Part 2): The Yu Gong Spirit of Moving Mountains

  Yuguang dares to "eat the crab."

  Mr. Lu Xun once praised: "The first person to eat the crab is truly admirable—after all, who would dare to try it without being a brave warrior?" Indeed, the very act of being the first to taste the crab requires courage and boldness.

  The story of Yu Gong moving the mountain embodies a profound spirit—requiring both the courage to tackle seemingly insurmountable challenges and the wisdom to approach them with humility and determination. Though it’s just a fable, the "spirit of moving the mountain" it conveys truly reflects the boldness and resilience needed to "eat the crab," symbolizing innovation in action. While Yu Gong’s tale is a metaphor, Yuguang’s journey of "eating the crab" stands as a testament to real-world innovation. Over the past six decades—through countless springs, summers, autumns, and winters—their unwavering courage to "eat the crab" has not only shaped their remarkable path but also nurtured an enduring legacy of innovative spirit passed down through generations of Yuguang pioneers.

  From 1957 to 1987, the journey marked by "zigzagging through mine tunnels, donkeys crushing ore crucibles in molten heat, with lead, copper, gold, and silver naturally occurring together—while pioneering the development of miners' lamps as the industry standard"—instilled in the Yuguang team a spirit of daring to lead the way. It is precisely this enduring spirit that has driven the company’s continuous innovation and breakthroughs, enabling it to thrive "facing the majestic Wangyu and Taihang mountains, armed only with unwavering courage and determination."

  1987 marked the watershed moment that divided Yuguang's first three decades from its subsequent three decades—and it also symbolized the seamless continuity of innovation that carried forward the company’s pioneering spirit. From 1957 to 1987, Yuguang produced 11,000 tons of lead; however, in the following three decades—from 1988 to 2016—it ramped up production dramatically, churning out an impressive 4.05 million tons of lead. This staggering leap over the last 30 years was nothing short of a remarkable transformation, made possible by one innovative project after another, each backed by bold decisions to "be the first to try," which ultimately laid the solid foundation for Yuguang’s soaring success.

  Yuguang strides forward, embodying the innovative spirit of "Yu Gong Moves the Mountains," and steadfastly upholds the innovation philosophy of "Every day anew, constantly renewing—each day bringing fresh progress." With this mindset, the company meticulously plans and strategically positions itself for sustainable growth. In March 1987, while Yuguang still held the top spot in China's mining lamp industry—dominating both production and sales—Yuguang seized the opportunity to delve deeper into its core business roots amid the "heat" of industry competition. Grounded in a commitment to addressing fundamental challenges, the company made the bold decision to invest 5 million yuan in launching an innovative transformation journey. This marked the groundbreaking phase of the first-phase expansion and renovation project at Jiyuan Gold Smelting Plant, which would eventually establish a robust production capacity of 5,000 tons of electrolytic lead. Throughout this transformative process, Yuguang’s pioneering spirit—and the visionary leadership that steered the company toward long-term development—empowered its team to embrace the "first-mover advantage," much like Yu Gong daringly took on the daunting task of moving mountains.

  In July 1990, three years later, Yuguang once again invested 9.5 million yuan to upgrade and modernize its lead smelting system, boosting its electrolytic lead production capacity to 15,000 tons. During the transition from mining lamps to electrolytic lead production, Yuguang leveraged new technologies to transform its traditional industry, continuously enhancing both its processes and product quality through technological innovation. As a result, within just three years, the company’s electrolytic lead production capacity surged threefold, marking a remarkable leap forward.

Transformation boosts production, joint ventures enhance intelligence.

  In October 1993, Yuguang Gold & Lead Group Corporation embarked on a brand-new joint venture path with China National Gold Corporation, jointly investing 148 million yuan to carry out the third-phase expansion of their gold, silver, and lead operations. This expansion not only honed the "crab-eating" courage of the Yuguang team but also marked a significant milestone in their journey. For the first time, the project broke away from traditional processes, adopting an advanced technological sequence: sintering using a sintering machine, followed by blast furnace smelting, zinc recovery via volatilization and slag separation, and finally dust collection through electrostatic precipitators. Moreover, the company pioneered the introduction and refinement of internationally cutting-edge non-steady-state sulfur dioxide conversion technology, enabling the recovery of low-concentration sulfur dioxide for the production of sulfuric acid. As a result, annual新增 production capacity reached 54,400 taels of gold, 25 tons of silver, 50,000 tons of electrolytic lead, and 30,000 tons of sulfuric acid. This groundbreaking expansion propelled Yuguang’s production capabilities and corporate scale to a whole new level, laying a robust foundation for future growth and positioning the company as a trailblazer in China’s lead industry.

  “Introduce one generation, develop one generation, produce one generation, and innovate one generation”—this is Yuguang’s remarkably clear approach to technological innovation. While expanding and advancing through innovation, Yuguang firmly adheres to the principle of “prioritizing its core business while placing great emphasis on technological upgrades.” Chairman Yang Anguo emphasized that lead is the very foundation of Yuguang; without staying true to this foundation, the company cannot achieve sustainable growth. Instead, it must seize the opportunity to strengthen its core strengths and pave the way for Yuguang’s comprehensive rise.

  It is the very path of development, the very source of survival, and the very soul of innovation.

  Carrying forward the spirit of Yu Gong moving the mountains, we are steadily expanding and developing around "lead-based" technologies. In August 2000, Yuguang commenced construction on a comprehensive treatment project for lead smelting flue gas (dust), with an investment of 198 million yuan. This project employs the company's proprietary technology—known as "Oxygen-enriched Bottom-Blowing Oxidation–Blast Furnace Reduction Smelting for Lead Production"—which boasts unique features such as a fully optimized industrial-scale production setup. This innovative approach effectively resolves the longstanding conflict between scaling up production and safeguarding the environment, achieving a harmonious integration of "expanded production capacity" and "enhanced environmental sustainability." The technology is currently at the forefront domestically and ranks among the most advanced internationally. Upon completion and commissioning, the project received high praise from industry experts for its cutting-edge technical capabilities and state-of-the-art equipment configuration. It has since been officially recognized by the national government as a leading domestic technology for lead smelting and was awarded the First Prize for Scientific and Technological Progress by the China Nonferrous Metals Industry Association.

  In 2010, Yuguang's independently developed lead-smelting process—after years of experimentation, exploration, and careful refinement—truly embodied the innovative spirit of "Yu Gong Moves the Mountains," persevering steadfastly despite repeated failures. It took five long years of relentless dedication, dozens of rigorous trials, countless setbacks, yet countless acts of determination to finally culminate in Yuguang's groundbreaking "Direct Lead Smelting Method," which became China's first of its kind. This achievement marked a revolutionary breakthrough in global lead-metallurgy technology. Moreover, this advanced production process boasts remarkable energy-saving and emission-reduction benefits, cutting energy consumption by an impressive 40% compared to conventional methods—a testament to its dual advantages of boosting productivity and safeguarding the environment through cutting-edge scientific innovation.

  Academician Zhang Guocheng of the Chinese Academy of Engineering said excitedly during his visit to Yuguang: "I'm truly delighted to have seen firsthand Yuguang's lead smelting process today—it deeply moved me. China's lead-smelting technology has advanced to a world-leading level by now. Yuguang has innovatively shifted its reduction process from a blast furnace to direct liquid-lead reduction, a move that’s been executed exceptionally well. Not only is the entire process highly energy-efficient, but it also boosts production significantly, delivering outstanding results and meeting top-notch performance standards across the board."

  Yuguang's development fully embodies the company's top-level design strategy of "rooted in lead, expanding our wings"—in 2003, building on its strong foundation in the lead industry, Yuguang established a zinc company to spearhead zinc industry growth. This move created a complementary relationship between lead and zinc, enabling the company to seamlessly integrate and transform into an industry model focused on comprehensive resource utilization. By 2014, Yuguang had invested 1.5 billion yuan into another groundbreaking initiative: a cutting-edge, dual-bottom-blown copper smelting project—something rarely seen even in textbooks. This ambitious venture marked the official launch of production, solidifying Yuguang’s diversified business structure with lead as its core and zinc and copper as its two expanding wings. As a result, the company has significantly strengthened its ability to withstand market risks, paving the way for increasingly steady and robust growth.

  The achievements made through transformations such as serpentine mining, donkey-powered ore crushing, crucible-based mineral refining, innovative mine lamp development, oxygen-enriched bottom-blowing technology, Yuguang's lead-smelting method, and the simultaneous advancement of lead, zinc, and copper—along with strategic partnerships, technological imports, and relentless innovation—all vividly reflect the indomitable "Yu Gong Moves the Mountains" spirit embedded deep within Yuguang's entrepreneurial ethos. During interviews, reporters profoundly felt the Yuguang team's courage to "eat the crab first," while also witnessing their boldness in embracing talent from all backgrounds—a testament to their unwavering commitment to valuing capability above all else.

  Wang Yongjun, Deputy General Manager of Yuguang Gold & Lead Co., Ltd., joined the factory as a material-handler worker after graduating from high school in 1989. He shared insights into both his personal growth journey and the company’s corporate development. Starting as a frontline worker in the smelting division known as the "Mother Furnace," he steadily climbed the ranks—from team leader to section chief—and eventually became the deputy plant manager. When assigned to Smelting Plant No. 3, Wang led his team to boldly take on groundbreaking challenges, mastering an innovative oxygen-blown bottom-blowing technology through trial and error—techniques that weren’t even covered in textbooks. This marked China’s first successful implementation of this cutting-edge process, ushering in a revolutionary milestone in Yuguang’s production history. Thanks to his outstanding achievements, Wang was later appointed as Deputy General Manager of the publicly listed company. Reflecting on his journey, Wang remarked that, as a high school graduate, he could never have imagined becoming an executive at a joint-stock company. He emphasized that such an environment—where talent is recognized, nurtured, and entrusted based solely on merit—inevitably attracts and retains top-notch professionals.

  Wang Yongjun’s team, through their exploration of oxygen-enriched bottom-blowing technology—and after five years of persistent, resilient, and painstaking experimentation—successfully developed the "Direct Lead Smelting Method," cultivating一批批 daring technical and production leaders who weren’t afraid to "be the first to eat the crab." Yuguang values capability over academic credentials, exemplified by its decision to promote Wang Yongjun, a high school graduate, to the position of Deputy General Manager of the joint-stock company. This move, too, reflects Yuguang’s unconventional approach to talent acquisition: "eating the crab" by embracing individuals who might not fit conventional molds. In particular, the "Yuguang Lead Smelting Method" became the fruit of the Wang Yongjun team’s unwavering dedication over five years, supported silently yet steadfastly by Chairman Yang Anguo throughout the entire journey. These five years were transformative—not only for individual growth but also for the company’s refinement and relentless pursuit of innovation. Despite dozens of failed experiments, the team never gave up, ultimately leveraging resilience and ingenuity to master the world-leading "Direct Lead Smelting Method." It takes extraordinary determination for a company to commit fully to a single experimental process for five long years, a testament to the indomitable "Yu Gong Moves the Mountains" spirit deeply embedded in Yuguang’s corporate ethos.

  "In 2003, craftsman Huang Xiaofeng joined the factory through recruitment. Starting as a frontline worker, he diligently learned from the ground up and eventually rose to become a section chief. Known for his innovative spirit in craftsmanship, he quickly caught the attention of Yuguang, which actively supported and nurtured his talents. The company even sent him twice—first to Qinghai Xiyu and later to Zhongyuan Gold—as its technical representative to provide critical support. Young and highly skilled, Huang Xiaofeng boldly challenged engineers with his exceptional expertise, earning recognition for successfully resolving furnace-startup and production challenges at both companies through self-developed training materials. As a result, he gained widespread acclaim, even sparking interest from those two organizations eager to recruit him. Yet, when asked why he dared to share his ideas openly with engineers, he simply replied, 'I’m standing firm in my beliefs—and that’s also a way of taking responsibility for them. After all, I’ve been entrusted by Yuguang to oversee this crucial process!'

  Technological innovation thrives on the ability to attract, employ, recognize, and gather talented individuals. Only with a robust pool of skilled talent can enterprises truly drive technological, process, and product innovations—giving them the confidence to "be the first to eat the crab." Yuguang’s commitment to thinking outside the box and boldly embracing diverse talents perfectly embodies the spirit of innovation, fueling the company’s advancements in technology and fostering groundbreaking growth. This approach has enabled Yuguang to seamlessly integrate talent, cutting-edge technology, and innovative products, elevating the very essence of innovation itself.

[Interview Notes]

The pioneering and enterprising Yuguang people

  “It sounds like a strange tale, yet when you talk about it, it turns into a laughing matter.” These are two lines from the song “Yu Gong Moves the Mountains.” Today, the people of Yuguang have created a miracle in China’s lead smelting industry—turning what once seemed like an oddity or joke into a reality. Under the shadow of Mount Wangwu, they’ve proudly penned the “Yuguang Legend,” inspired by the indomitable spirit of Yu Gong moving the mountains.

  Nobody could have imagined that the humble Jiyuan Integrated Smelting Plant, which in 1957 began its journey with pioneering methods—such as manual mining by older generations, donkey-powered grinding mills, and crucible-based lead smelting—would grow from producing just 76 tons of crude lead back then to becoming China's largest lead and silver smelting enterprise today. This isn’t a curiosity or a joke; it’s the embodiment of the Yuguang people’s spirit of relentless innovation, their courage to lead the way, and their determination to "eat the crab" first—much like the legendary Yu Gong who moved mountains. With hard work and ingenuity, they’ve turned what once seemed impossible into reality: groundbreaking, revolutionary processes like oxygen-enriched bottom-blowing technology and direct lead smelting have propelled Yuguang to new heights. These are the fruits of Yuguang’s collective wisdom—testaments to their ability to turn extraordinary ideas into tangible achievements, showcasing not just their technical prowess, but also their unwavering commitment to progress.

  The people of Yuguang are still creating miracles—and will continue to do so. As Chairman Yang Anguo once said, Yuguang employees must uphold the spirit of Yu Gong moving the mountains to fulfill their mission of contributing to the nation through industry.