HONG KONG, Aug 29, 2022 – (ACN Newswire via SEAPRWire.com) – China Risun Group Limited (“China Risun”, or the “Group”, stock code: 1907), a leading global integrated coke, coking chemicals and refined chemicals producer and supplier and relevant operation management services provider in China, has announced its interim results for the six months ended 30 June 2022 (“the reporting period”). During the reporting period, the Group grew and expanded by way of provision of operation management services together with the formation and acquisition of entities by focusing on opportunities in both China and overseas.
Revenue for the six months ended June 30, 2022 was approximately RMB22.53 billion, representing an increase of approximately 21.1%. Profit attributable to owners of the Company was approximately RMB1.74 billion, up approximately 0.8%. Basic earnings per share of the Company was RMB39.14 cents. To share the fruit of its outstanding results performance, the Board determined to declare an interim dividend of RMB12.30 cents per share (for the six months ended June 30, 2021: RMB12.30 cents).
Steady expansion of coke business
Self-built production progressing well
During the reporting period, revenue derived from the coke and coking chemicals manufacturing business continued to increase, up 20.2% to RMB9,262.7 million. As at January 1, 2022, the Group had the annual production capacity of coke amounting to approximately 11.05 million tons and there were two expansions of the production capacity of coke in Huhhot and Sulawesi Production Bases under construction. Trial run of the first phase of coke production facility with an annual capacity of 1,500,000 tons in Huhhot Production Base was completed and construction of the coke production facility with the remaining 1,500,000 tons per annum will be completed by the end of the first quarter of 2023. The expansion in Sulawesi Production Base will be completed in different phases in mid of 2023 and early 2024.
For the operation management service section, the Group expanded the coke operation management services into Henan Province, the PRC in June 2022, where the Group is responsible for the provision of integrated sales and marketing services to a coke enterprise with an annual coke production volume of 1,000,000 tons. At the end of the reporting period, there are a number of operation management services carried out by the Group.
Continue to enhance the production capacity of refined chemicals facilities
Becoming one of the leading producers in the world
The group’s refined chemical manufacturing business continued to grow with revenue from this sector increased by 18.7% to RMB7,245.9 million. During the reporting period, the Group invested and enhanced the capacity of caprolactam (CPL) in the production line of aromatic chemicals in Cangzhou and Dongming Production Base, which can be used for manufacturing nylon, fibers and plastics. The Group estimated that the annual production capacity of CPL will be 750,000 tons by the end of 2022, ranking as one of the leading producers in the world.
Accelerate the development of hydrogen energy business and achieve phased results
The Group had hydrogen production, storage, transportation, hydrogenation to usage together with radiation of intelligent supply of hydrogen in three different production bases, which were Dingzhou, Xingtai and Huhhot. Among these three production bases, the hydrogen production facilities in Dingzhou with a daily production capacity of 13,000 kg and Dingzhou hydrogen refueling station commenced operation during the Reporting Period.
China Risun is going to participate actively into the hydrogen industrialization plan in different cities in the PRC. In March 2022, the Group set up a new subsidiary in Baoding in Hebei Province, which will be engaged in the following businesses, (i) development of application of hydrogen energy heavy truck and hydrogen bus together with hydrogen-electric oil and gas energy stations; (ii) development of the transportation line for agricultural products from Baoding to Beijing and areas adjacent to Beijing; (iii) development of hydrogen bus application in Baoding; and (iv) long-distance hydrogen pipeline feasibility study and exploration on cost reduction of transportation of hydrogen. Moving forward, focusing on the rapid development of hydrogen energy industry in Beijing-Tianjin-Hebei area, the Group is committed to expanding its intelligent supply of hydrogen to the whole country with advanced technology and more customer-oriented services.
Expand geographical layout to Indonesia
Open up global market
The Group expanded its geographical layout from the PRC to Indonesia in the second half of 2021 by establishing business partnerships by way of the formation of three joint ventures. Three joint ventures located in IMIP are under development as planned, with Risun Wei Shan New Energy (Indonesia) Company Limited expected to commence production gradually from the mid of 2023.
Looking forward to the second half of 2022, the Group will continue to increase the market share in the independent coke market and certain refined chemicals market by expanding the annual coke production capacity, entering into different operation management services together with mergers and acquisitions (including forming joint ventures). The Group will also keep engaging in green and low-carbon practices, driving the industrial chain in the reduction of carbon emissions and striving to be one of the leaders in carbon peak and neutrality in the coke and chemical industry in the PRC.
About China Risun Group Limited
China Risun Group Limited is the world’s largest independent producer and supplier of coke by volume in 2021, according to Frost & Sullivan. China Risun is an integrated coke, coking chemicals, refined chemicals and hydrogen energy products producer and supplier and relevant operation management services provider in China and occupies leading positions in a number of refined chemicals sectors both in China and globally. The vertically-integrated business model together with more than 27 years of experience in the coal chemicals industry production chain has enabled China Risun to further tap the downstream refined chemicals markets and hence diversify its income sources and create greater value.
China Risun has been listed on the main board of the Hong Kong Stock Exchange since March 2019 and is now included in various index series, including the Hang Seng Composite Index, Hang Seng Composite Industry Index – Materials, Hang Seng Composite MidCap Index, Hang Seng Stock Connect Hong Kong Index, Hang Seng Stock Connect Hong Kong MidCap & SmallCap Index, Hang Seng SCHK Mainland China Companies Index, Hang Seng SCHK ex-AH Companies Index, Hang Seng Stock Connect Hong Kong Composite Index, Hang Seng Large-Mid Cap (Investable) Index, Hang Seng Large-Mid Cap Low Volatility Comprehensive Index, Hang Seng Large-Mid Cap Quality Comprehensive Index, Hang Seng Large-Mid Cap Low Size Comprehensive Index, Hang Seng Large-Mid Cap Dividend Yield Comprehensive Index, Hang Seng Large-Mid Cap Momentum Comprehensive Index, Hang Seng Large-Mid Cap Value Comprehensive Index, Hang Seng Large-Mid Cap Equal Weighted Factor Mix (QVLM) Index and Hang Seng Large-Mid Cap Risk Parity Factor Mix (QVLM) Index. China Risun is also included in FTSE GEIS: FTSE Global Small Cap Index, FTSE Global All-Cap Index (LMS) and FTSE Global Total-Cap Index (LMSu).
For more details, please visit http://www.risun.com/En/
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