SHENYANG, China, Oct. 25 /PRNewswire-Asia/ -- NF Energy Saving Corp. (Nasdaq: NFEC) ("NF Energy" or the "Company"), a leading energy saving services provider for China's power, petrochemical, coal, metallurgy, construction, and municipal infrastructure development industries, today announced that the Company has signed an agreement with the Gaizhou municipal government's Gaizhou Gas Industry Company ("Gaizhou Gas") to jointly invest in the Gaizhou Biomass Gas Supply Project.
Construction for the Gaizhou Biomass Gas Supply Project is expected to take two years to complete. Once fully operational, the project is projected to generate revenue of up to RMB 96 million annually (approximately $14.1 million) and save 40,600 tons of standard coal per year. The total cost of the project is expected to amount to RMB 240 million (approximately $35.5 million). The two companies will split revenues generated from the project according to their respective investments, with NF Energy investing 62.2% of the capital required over a two-year time frame and Gaizhou Gas contributing the remaining 37.8%. NF Energy will be responsible for managing the project, including project design and construction.
Gaizhou Gas Industry Company is licensed by Gaizhou municipal government to exclusively provide the gas production within Gaizhou city.
"This project represents an important milestone in China's campaign to become more energy efficient and promote emission reductions," said Mr. Gang Li, NF Energy's Chief Executive Officer. "As a large agricultural country, China is rich in biomass raw material, including agricultural garbage and animal waste, with an estimated 5 billion tons nationwide. Furthermore, we expect the Chinese government to continue to provide preferential policies in the promotion of biomass energy development. As a leader in the energy saving and emission reduction industries, NF Energy is well positioned to capitalize on emerging opportunities in the near future in this fast-growing market."
About NF Energy Saving Corporation
NF Energy Saving Corporation (NASDAQ: NFEC) is a China-based provider of integrated energy conservation solutions utilizing energy-saving equipment, technical services and energy management re-engineering project operations to provide energy saving services to clients. The Company's customers are mainly concentrated in the electrical generation (large-scale thermal power generation, hydroelectric power, wind power, and nuclear power), water supply, and heat supply industries. The majority of revenues are from energy efficient flow control equipment and energy efficiency projects. For more information, visit http://www.nfenergy.com.
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Ms. Lihua Wang, Director & CFO
NF Energy Saving Corp.
Tel: +86 24-8563 1159
Investor Relations Contact:
Mr. Mark Collinson, Partner
CCG Investor Relations
Tel: +1 310-954-1343
SOURCE NF Energy Saving Corporation