WUXI, Jiangsu, China, July 1 /Xinhua-PRNewswire/ -- China Wind Systems, Inc. (OTC Bulletin Board: CWSI) (“China Wind Systems” or the “Company”), which through its wholly owned subsidiaries manufactures and sells industrial equipment for use in the textile and energy related industries in the People’s Republic of China, announced today that the Company has completed structural work of a new facility to support its Phase I expansion.
The new facility, measuring 29,063 square feet, will be equipped with heating furnaces and a natural gas control system, which will be used in heating forged metal pieces and fabricating them into rolled rings, measuring up to 6.3 meters in diameter and shafts, weighing up to 50 tons, to be used in 1MW to 3MW wind turbine units. The annual production capacity for both rolled rings and shafts is designed to reach 40,000 tons once Phase I expansion is complete. The current average market price for rolled rings and shafts is RMB15,000 per ton.
Moreover, equipment purchased in early January 2008 is expected to arrive at the Company’s new site in early July 2008. The equipment includes a ring rolling mill and a 4,500 ton press. “Leveraging China Wind’s expertise in the heavy machinery industry, the Company will be installing the equipment and will be able to produce rolled rings up to 6.3 meters in diameter with cross sections measuring up to 700mm which is currently the largest in China,” commented Mr. Jianhua Wu, CEO of China Wind Systems. The Company is on schedule to complete the Phase I of its expansion plan and the test run is expected in September 2008.
"We anticipate rolling out production of wind components from our phase one expansion in October 2008," said Mr. Wu. "We are very excited about our newly upgraded capability to produce rolled rings and shafts for our customers in this rapidly growing wind energy industry in China,” added Mr. Wu.
About China Wind Systems, Inc.
China Wind Systems, through its affiliates, Huayang Dye Machine and Huayang Electrical Power Equipment, manufactures and sells industrial equipment for use in the textile and energy related industries in China. Since August 2007, the Company has shifted its strategy to focus on the growing wind energy industry in China, and has begun to supply high precision rolled rings to companies in the wind power energy industry.
Safe Harbor Statement
This release contains certain "forward-looking statements" relating to the business of the Company and its subsidiary companies. These forward-looking statements are often identified by the use of forward-looking terminology such as "believes, expects" or similar expressions. Such forward looking statements involve known and unknown risks and uncertainties that may cause actual results to be materially different from those described herein as anticipated, believed, estimated or expected. Investors should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company’s actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the Company’s periodic reports that are filed with the Securities and Exchange Commission and available on its website ( http://www.sec.gov ). All forward-looking statements attributable the Company or to persons acting on its behalf are expressly qualified in their entirety by these factors other than as required under the securities laws. The Company does not assume a duty to update these forward-looking statements.
For more information, please contact:
CCG Investor Relations
Mr. Crocker Coulson, President
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Email: croc ker.coulson@ccgir.com
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