China LNG Group said that the company entered into a strategic cooperation framework agreement with Xuzhou Transportation Bureau in relation to investment in the projects of application of LNG in Xuzhou City, Jiangsu Province in the PRC.
According to the statement issued by China LNG Group, Xuzhou Transportation agreed to support the company to develop the LNG businesses in Xuzhou City with a mega stated owned enterprise.
China LNG Group intends to set up a subsidiary with registered capital of Rmb200 million (approximately HK$251,580,000) to engage in LNG application-oriented businesses, while Xuzhou Transportation agreed to assist, support and give appropriate guidance to the Company and assist the Company to coordinate with relevant departments of the People’s Government of Xuzhou City to develop the LNG businesses in transportation sectors in Xuzhou City.
After signing of the Framework Agreement, the Company need to provide the investment proposal in relation to the cooperation to Xuzhou Transportation within 6 months.
1 Chinese yuan = 0.161812 U.S. dollars
Press Release, August 4, 2014