Intends to Acquire Company Engaged in Developing and Operating LNG Stations and Related Facilities in Tianjin
HONG KONG — Northern New Energy Holdings Limited (“Northern New Energy” / the “Group”, stock code: 8246) announced that its non-wholly owned subsidiary entered into a memorandum of understanding today in relation to the possible acquisition of a company engaged in developing and operating liquefied natural gas (“LNG”) stations and related facilities in Tianjin (the “Target Company”).
The Target Company holds two LNG stations in Beichen District, Tianjin, both in prime geographic locations and at the junction of many trunk roads. One of them is the largest LNG storage tank in Tianjin, located next to the North Outer Ring Line, Beichen District. The other is located in the Beichen Industrial Park, which is the only industrial park with facilities dedicated to the pharmaceutical and medical industry in Tianjin and is home to a number of leading state-owned enterprises.
By bringing in LNG stations in prime geographic locations while complying with increasingly strict environmental requirements, the Group hopes to grasp opportunities arising from strong local demand for clean new energy. It will rapidly expand its scope of operations to cover comprehensive energy production services, which will result in the development of an integrated new energy enterprise with diversified businesses.
With the PRC vigorously developing green energy projects, it is believed that the relevant state policies will further unleash the development potential of the new energy industry and will present more opportunities to Northern New Energy. In the long run, the Group will expand the presence of its new energy business to the nearby areas in the north and will continue to explore suitable acquisition opportunities and team with partners possessing strong capabilities in a bid to broaden income sources and generate more satisfactory returns to shareholders.
More detailed information about the signing of the formal agreement will be announced at an appropriate time.