BEIJING, Jan. 31, 2018 /PRNewswire/ -- Recon Technology, Ltd. (NASDAQ: RCON), ("Recon" or the "Company"), an independent solutions integrator in China's oilfield service, energy and environment protection industries, today announced it has won several bids totaling approximately RMB 2.5 million, or approximately USD 0.4 million, to procure and import customized instruments and to provide related installation and maintenance services for the coal chemical business of Shenhua Group Corporation Limited ("Shenhua Group") through Shenhua Logistics Group Corporation Limited ("Shenhua Logistics"). Shenhua Group is the largest coal enterprise in China and the largest coal supplier in the world. Shenhua Logistics is its wholly-owned subsidiary and handles procurement for Shenhua Group. The Company expects its revenue from Shenhua Logistics will continue to grow in the coming year by further expanding business to coal and electronic power segment of Shenhua Group. This new bid will help expand the Company's business scope to coal chemical projects and related outsourcing services.
Management Commentary
Mr. Shenping Yin, founder and CEO of Recon stated, "We're pleased to win a series of Shenhua Group's projects, representing the successful expansion of our automation business from the oilfield service segment into the coal chemical industry. We will continue to introduce our integrated solutions into other compatible industries. Since 2017, we have been improving our vendor system by importing and using advanced parts to upgrade our overall product lines and comprehensive services. We are also actively promoting our services to other industries beyond the oilfield service segment. It's always our strategy to leverage our knowledge of the Chinese market and our strong reputation within the Chinese energy industry to introduce cutting-edge technologies to Chinese domestic companies. By expanding this current business strategy to more industrial sectors, we aim to reduce our concentration risks and continue to increase our awareness across a wide spectrum of customers."
About Shenhua Group
The Shenhua Group Corporation Limited ("Shenhua Group") is a state-owed enterprise, founded in October 1995 with the approval of the State Council, pursuant to PRC Corporate Laws. Shenhua Group is a diversified energy enterprise concentrating on coal production, sales, electricity & thermal generation, coal liquefaction & coal chemicals, railway and port transportation.
About Recon Technology, Ltd. (NASDAQ: RCON)
Recon Technology, Ltd. is China's first listed non-state owned oil and gas field service company on NASDAQ. Recon supplies China's largest oil exploration companies, such as PetroChina (NYSE: PTR) and Sinopec (NYSE: SNP), with advanced automated technologies, efficient gathering and transportation equipment and reservoir stimulation measure for increasing petroleum extraction levels, reducing impurities and lowering production costs. Through the years, RCON has taken leading positions on several segmented markets of the oil and gas filed service industry. RCON also has developed stable long-term cooperation relationship with its major clients, and its products and service are also well accepted by clients. The Company is also developing new markets of oilfield environmental protection, sewage treatment sector and power and coal chemical industry based on its advantage on technic and market resources. For additional information please visit: www.recon.cn.
Safe Harbor
This news release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. These statements are subject to uncertainties and risks including, but not limited to, product and service demand and acceptance, changes in technology, economic conditions, the impact of competition and pricing, government regulation, and other risks contained in reports filed by the company with the Securities and Exchange Commission. All such forward-looking statements, whether written or oral, and whether made by or on behalf of the company, are expressly qualified by the cautionary statements and any other cautionary statements which may accompany the forward-looking statements. In addition, the company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.
Company Contact
Liu Jia, CFO
Recon Technology, Ltd.
+86 (10) 84945799
info@recon.cn
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