SEATTLE, April 11, 2012 /PRNewswire/ -- L & L Energy, Inc. (NASDAQ: LLEN) ("L&L" or the "Company"), a U.S.-based company since 1995 with coal mining and distribution businesses in China, has signed a long-term sales contract with Guodian Yongfu Power Generation Co., Ltd. ("Yongfu Power"), a large utility company located in Guangxi Province.
Under the agreement, L&L will provide 20,000 tons of thermal coal per month over the next eight months to Yongfu Power. The contract can be extended after the initial eight months. The average sales price under the agreement will be approximately $120 per ton, which is anticipated to generate approximately $19 million in revenues.
Yongfu Power is a wholly-owned subsidiary of China Guodian Corporation ("Guodian"), a Global Fortune 500 corporation and one of the five largest power producing companies in China. Guodian owns over 180 power plants covering 31 provinces. In 2011, Guodian's total assets exceeded $100 billion.
This is the second sales agreement that L&L has secured in the past two weeks, totaling 400,000 tons of coal and over $50 million in new revenues. Under the previously announced first agreement executed on April 4, 2012, L&L's DaXing subsidiary will supply 20,000 tons of coal per month for the next 12 months to Datang International Power Generation Co., Ltd. ("Datang"). Both Datang and Guodian are among China's top five power producers.
Dickson Lee, Chairman and CEO of L&L, stated, "I am very pleased with the progress our team has accomplished in recent weeks, adding two large wholesale supply contracts. Guodian Corporation is a giant in power generation and clean energy in China. We look forward to growing our relationship and exploring additional projects with them in the future."
The statements contained words that are not historical fact, including statements related to Company's future performance, are all "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, and involve a number of risks and uncertainties. Actual results of the future events described in this document could differ materially due to numerous factors and other made by the company filing with the Securities and Exchange Commission. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements
L&L Energy, Inc.
SOURCE L & L Energy, Inc.