CHANGSHU, China, April 1, 2013 /PRNewswire-FirstCall/ -- Sutor Technology Group Limited (the "Company" or "Sutor") (Nasdaq: SUTR), a leading China-based manufacturer and distributor of high-end fine finished steel products and welded steel pipes used by a variety of downstream applications, today announced its subsidiary Ningbo Zhehua Heavy Steel Pipe Manufacturing Co., Ltd. ("Ningbo Zhehua") won a contract to supply 11,440 meters of spiral seam steel pipes for a water transmission pipeline project in Zhuji City, Zhejiang Province. The contract is valued at approximately $8.6 million. Deliveries are expected to begin in April 2013.
Lifang Chen, Chairwoman and CEO of Sutor commented, "We are pleased that following a bid process, Ningbo Zhehua won this major contract to supply its spiral seam steel pipes for this vital urbanization project for the city of Zhuji. This win is a demonstration of the high quality and brand recognition of our products. Ningbo Zhehua facility manufactures a variety of steel pipes, has six production lines and a total annual capacity of 400,000 metric tons. Ningbo Zhehua's large diameter steel pipe production line uses one of the most advanced technologies in the steel pipe industry."
Ms. Chen continued, "Improvement and expansion of water infrastructure remains an important element of China's urbanization plan which continues at an unprecedented rate. Currently China's urbanization ratio is approximately 48%, well below the 85% in the developed economies and the global average of 55%. The scale and pace of China's ongoing urbanization and the growth in domestic consumption are expected to drive the need for greater infrastructure investments and should increase the demand for a variety of high-end steel products. Sutor is well positioned to take advantage of these growth opportunities as our products are used in a variety of industries such as construction (buildings, bridges, water and sewage infrastructure, etc), oil and gas, household appliances, solar water heaters, medical instruments and automobiles."
About Sutor Technology Group Limited
Sutor is one of the leading China-based manufacturers and distributors of high-end fine finished steel products and welded steel pipes used by a variety of downstream applications. The Company utilizes a variety of in-house developed processes and technologies to convert steel manufactured by third parties into fine finished steel products, including hot-dip galvanized steel, pre-painted galvanized steel, acid-pickled steel, cold-rolled steel and welded steel pipe products. To learn more about the Company, please visit http://www.sutorcn.com/en/index.php.
This press release includes certain statements that are not descriptions of historical facts, but are forward-looking statements. Such statements include, among others, those concerning our expected financial performance, liquidity and strategic and operational plans, our future operating results, our expectations regarding the market for our products, our expectations regarding the steel market, as well as all assumptions, expectations, predictions, intentions or beliefs about future events. You are cautioned that any such forward-looking statements are not guarantees of future performance and that a number of risks and uncertainties could cause our actual results to differ materially from those anticipated, expressed or implied in the forward-looking statements. These risks and uncertainties include, but not limited to, the factors mentioned in the "Risk Factors" section of our Annual Report on Form 10-K for the year ended June 30, 2012, and other risks mentioned in our other reports filed with the Securities Exchange Commission ("SEC"). Copies of filings made with the SEC are available through the SEC's electronic data gathering analysis retrieval system (EDGAR) at http://www.sec.gov. The words "believe," "expect," "anticipate," "project," "targets," "optimistic," "intend," "aim," "will" or similar expressions are intended to identify forward-looking statements. All statements other than statements of historical fact are statements that could be deemed forward-looking statements. The Company assumes no obligation and does not intend to update any forward-looking statements, except as required by law.
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SOURCE Sutor Technology Group Limited