(Hong Kong, 28 October 2022) ?China Risun Group
Limited (“China Risun”, or the “Group”, stock code: 1907), a leading global
integrated coke, coking chemicals and refined chemicals producer and supplier
and relevant operation management services provider in China, announced that its subsidiary Xingtai Risun Coal Chemicals
Limited (“Xingtai Risun Coal Chemicals”) has signed a management service
agreement with Shandong Baoshun Chemical Technology Co., Ltd. (“Baoshun
Chemical”) and Shandong Chenyao Chemical Technology. Co., Ltd. (“Chenyao
Chemical”). Leveraging China Risun’s leading advantages such as experienced
operations management concepts and technology, Baoshun Chemical and Chenyao
Chemical have commissioned Xingtai Risun Coal Chemicals to provide operation
management services to Baoshun Chemical’s coal tar, deep processing plant and
Chenyao Chemical’s crude benzene plant in Juye Chemical Industrial Park, with a
management service period of 20 years.
Both Baoshun Chemical
and Chenyao Chemicals are located in Juye Chemical Industrial Park in Heze,
Shandong Province, and specialize in the deep processing of coal tar and the
production and technology research and development of benzene hydrogenation.
They have a wide range of tar and benzene products, enabling them to achieve
significant synergies with China Risun's business. Their proximity to the
Group’s Yuncheng production base and Dongming production base supports the
upstream and downstream operations of the industrial chain. Executing the
management service agreements has enabled China Risun to take a step forward
towards its goal of expanding its business presence across China and the world.
China Risun has set up Juye Risun Chemical Co., Ltd., which is responsible for
the implementation of the management service agreements and the performance of
standardized management as soon as possible in accordance with China Risun's
model. This relationship will enhance the quality of independent operations in
the market and realize collaborative efficiencies and mutually beneficial
development.
Capitalizing on its
geographical advantage, the project will provide low cost production of raw
materials with stable quality for the Group’s Yuncheng production base and
Dongming production base to meet their demand for pure benzene. It will also
strengthen upstream and downstream linkages and maximize profit. And, it will
help bolster the Group's carbon material and aromatic hydrocarbon industry
chains, expand the Group's business coverage, improve the business volume and
capabilities of the Group's operation management services and reinforce the
Group's asset-light business, resources and improve its cost advantages. These
positive factors, will enable the Group to seize the growth opportunities in
the coke and refined chemicals markets, achieve higher gross profit margin,
consolidate its market leading position and create more substantial and
favourable conditions.
|
