Singapore, 24 December 2007 - Mainboard-listed R H Energy Ltd, a leading oil and gas equipment integration service provider in the People’s Republic of China, has entered into a share transfer agreement to acquire a 100% stake in Hunan Baili Engineering Sci & Tech Co., Ltd.
Established in 1970, Hunan Baili is a Class-A design enterprise that provides engineering design, investigation, consultation and related services. An affiliate of Sinopec Baling Petrochemical Co. in its early years, Hunan Baili has successfully undertaken over 1,200 projects, either on its own, or in collaboration with companies based in the USA, Japan, Germany, Italy, Canada, Netherlands, Switzerland and France.
The acquisition will allow R H Energy to extend its services beyond equipment integration and into design engineering and consultancy. This will in turn enable the Group to lead engineering, procurement and construction (EPC) projects and enhance its competitive advantage. By thus playing a greater role along the oil and gas supply chain, the Group hopes to increase its market share in the existing distribution and storage segment, and move upstream to serve the upstream oil and gas field production, as well as the downstream petrochemical plant segment. |
