Wowjoint Entered into New Contract to Service High Speed Rail Demonstrates Expansion of Service Business
BEIJING, Oct. 29, 2012 /PRNewswire/ -- Wowjoint Holdings Limited ("Wowjoint," or the "Company") (Nasdaq: BWOW, BWOWU, BWOWW), China's innovative infrastructure solutions provider of customized heavy duty lifting and carrying machinery, today announced that it has entered into a contract for leasing and servicing the construction of high speed rail in China.
Wowjoint entered into a contract with a subsidiary of China Railway Group, Beijing-Fujian Railway Section VI Project Department of China Railway Tunnel Stock Co., Ltd. ("China Railway"), for the lease and servicing of a special launching carrier. This special launching carrier will be used in the construction of the Beijing-Fuzhou passenger high speed railway line. Wowjoint will lease to China Railway a 900 ton special launching carrier specifically designed for this project to pass through the tunnels and install approximately 146 spans of railway box beams. The contract value is approximately $2.7 million and the service is scheduled to be performed from November 2012 to September 2013.
"We continue to pursue our leasing and servicing business where we operate the machines for our customers. We are pleased with our newest contract with China Railway." stated Mr. Yabin Liu, Chief Executive Officer of Wowjoint. "This is our second service contract this year and we anticipate these types of contracts to continue as we enter the subcontracting/servicing field. In this project, the launching carrier is required to pass through over 20 tunnels. Our special launching carrier is patented and is the only launching carrier in China today that can go through the tunnels and place box beam segments. We think this is one of the reasons why Wowjoint was selected to be the provider for this project. We believe our servicing business will continue to expand as a profitable business segment of the Company."
About Wowjoint Holdings Limited
Wowjoint is a leading provider of customized heavy duty lifting and carrying machinery used in large scale infrastructure projects such as railway, highway and bridge construction. Wowjoint's main product lines include launching gantries, tyre trolleys, special carriers, marine hoists and special purpose equipment. The Company's innovative design capabilities have resulted in patent grants and proprietary products. Wowjoint believes it is well-positioned to benefit directly from China's rapid infrastructure development by leveraging its extensive operational experience and long-term relationships with established blue chip customers. Information on Wowjoint's products and other relevant information are available on its website at http://www.wowjoint.com.
This press release includes "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. Words such as "expect," "estimate," "project," "budget," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believes," "predicts," "potential," "continue," and similar expressions are intended to identify such forward-looking statements. Forward-looking statements in this press release include matters that involve known and unknown risks, uncertainties and other factors that may cause actual results, levels of activity, performance or achievements to differ materially from results expressed or implied by this press release. Wowjoint undertakes no obligation and does not intend to update these forward-looking statements to reflect events or circumstances occurring after the date of this communication. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this communication. All forward-looking statements are qualified in their entirety by this cautionary statement. All subsequent written and oral forward-looking statements concerning Wowjoint or other matters and attributable to Wowjoint or any person acting on their behalf are expressly qualified in their entirety by the cautionary statements above. Wowjoint does not undertake any obligation to update any forward-looking statement, whether written or oral, relating to the matters discussed in this news release.
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SOURCE Wowjoint Holdings Limited