Liao Tong Chemical Co., Ltd. to establish a joint venture with Angolan Petroleum Company

Liao Tong Chemical (000059) to establish a joint venture with the Angolan National Petroleum Corporation to promote the sustainable development of the chemical industry.　　In addition to the three lard enterprises, few other companies and overseas oil companies, the cooperation, if successful, will contribute to the early realization of the domestic chemical industry of the fourth largest petrochemical company dream. The bulletin shows that Liao Tong Chemical industry will be the existing part of the petrochemical assets, as the first major shareholder of the joint venture, Angolan oil company to Cash Capital, the joint venture's second largest shareholder. Liao Tong Chemical said, with the Angolan oil company, using its investment funds and rich oil resources, can further expand the size of the company's petrochemical industry. However, the cooperation between the two sides is only a preliminary stage of contact, the joint venture company scope, mode, registered capital and total investment will be determined after further consultations between the two sides.　　The two sides plan to set up a working group to push forward the joint venture project. The Angolan oil Company is a wholly-owned state-controlled company of Angolan state Holdings and the sole owner of the Angolan oil exploration and development concession.　　Its main business is oil and gas investment, mining, production and sales. With its rich oil reserves, the Angolan oil company is strong and most of its fields are still in exploration and development, attracting a lot of oil companies.　　Angola's cooperation with our company has precedent: in the first half of this year, Sinopec (600028) acquired 55% per cent of SSI companies with 2.457 billion US dollars, and SSI owns 50% of Angola's 18 blocks. Liao Tong Chemical Development Petrochemical industry, has a strong background advantage. Liao Tong Chemical and Angolan oil Company before the cooperation, the oil import channel has been opened. Liao Tong Chemical Control People China's industrial group Zhenhua Oil Holding company was awarded the right to import crude oil this year, Zhenhua oil can directly import oil and its own control, Zhenhua oil has become the two major oil groups, the domestic third for its own refinery enterprises to supply crude oil domestic enterprises, This advantage is not comparable to other enterprises. Zhenhua oil imports mainly supply to the weapons industry Group Holdings of Hua Jin Group, Hua Jin Group is a major shareholder of Liao Tong Chemical industry. In 2009, Zhenhua Oil had a quota of 1.2 million tonnes of imported crude oil from non-state-owned trade.　　Zhenhua Oil released data show that the 2010 import crude oil is estimated to be about 4 million-5 million tons, involving about 25 billion yuan. Liao Tong Chemical 2008 acquisition of China Kam Group 450,000 tons/year ethylene and raw materials supporting projects, and the start of supporting projects 5 million tons of oil expansion project, two investment total of about 15 billion yuan. At that time, the company said that the project is expected to break the domestic Sinopec, PetroChina, CNOOC oil refining and downstream of the monopoly of ethylene production, so that Liao Tong Chemical industry became China's fourth largest petrochemical giants.