ZK International Group Co., Ltd. to Form Joint Venture and Bid on Hydropower Project with Total Estimated Cost of 4.9 Billion RMB
WENZHOU, China, Dec. 10, 2020 /PRNewswire/ -- ZK International Group Co., Ltd. (Nasdaq: ZKIN) ("ZKIN", "ZK International" or the "Company"), a designer, engineer, manufacturer, and supplier of patented high-performance stainless steel and carbon steel pipe products primarily used for water and gas supplies, today announced that it signed a letter of intent with Tuopeng Industrial, a prominent construction and real estate company. ZK has worked with Tuopeng Industrial for more than 18 years, and together they will form a joint venture that would bid on the construction of a navigation and hydropower project with a total cost estimated to be 4.9 Billion RMB (approximately USD 0.7 Billion). The project is expected to be funded by the local government, which will be facilitated through the development and sales of the surrounding lands.
The government of Chongqing, the largest city in western China, is planning to build a Navigation and Hydropower Junction (the "Junction") on Qu River to connect the river, whereby making it possible for ships to directly sail to Shanghai via Chongqing. The project is a new model of inland river development, which is designed to provide services beyond navigation, such as electricity generation, water supply, flood and drought management, irrigation, fisheries, environmental services, and recreational activities. Such projects will have significant economic, social and environmental benefits to the area.
Pursuant to the letter of intent, the Company will own 51% of the joint venture and Tuopeng Industrial will own 49%. The Company and Tuopeng Industrial have been negotiating with various levels of government and the deal depends on the completion of due diligence by all parties, the final approval of the government, and the board approval of both parties. If approved, the Company anticipates that this project will have a significant positive impact on the growth of the Company in 2021 and its expansion plans into the western China market will be underway.
About ZK International Group Co., Ltd.
ZK International Group Co., Ltd. is a China-based designer, engineer, manufacturer and supplier of patented high-performance stainless steel and carbon steel pipe products that require sophisticated water or gas pipeline systems. The Company owns 28 patents, 21 trademarks, 2 Technical Achievement Awards, and 10 National and Industry Standard Awards. ZK International is preparing to capitalize on the $850 Billion commitment made by the Chinese Government to improve the quality of water, which in its current supply state is 70% unfit for human contact. ZK International is Quality Management System Certified (ISO9001), Environmental Management System Certified (ISO1401), and a National Industrial Stainless Steel Production Licensee that is focused on supplying steel piping for the multi-billion dollar industries of Gas and Water sectors. ZK has supplied stainless steel pipelines for over 2,000 projects, which include the Beijing National Airport, the "Water Cube" and "Bird's Nest", which were venues for the 2008 Beijing Olympics. Emphasizing superior properties and durability of its steel piping, ZK International is providing a solution for the delivery of high quality, highly sustainable, environmentally sound drinkable water to not only to the China market but to international markets such as Europe, East Asia and Southeast Asia.
For more information please visit www.ZKInternationalGroup.com. Additionally, please follow the Company on Twitter, Facebook, YouTube, and Weibo. For further information on the Company's SEC filings please visit www.sec.gov.
Safe Harbor Statement
This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. Without limiting the generality of the foregoing, words such as "may," "will," "expect," "believe," "anticipate," "intend," "could," "estimate" or "continue" or the negative or other variations thereof or comparable terminology are intended to identify forward-looking statements. In addition, any statements that refer to expectations, projections or other characterizations of future events or circumstances are forward-looking statements. These forward-looking statements are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict and many of which are beyond the control of ZK International. Actual results may differ from those projected in the forward-looking statements due to risks and uncertainties, as well as other risk factors that are included in the Company's filings with the U.S. Securities and Exchange Commission. Although ZK International believes that the assumptions underlying the forward-looking statements are reasonable, any of the assumptions could prove inaccurate and, therefore, there can be no assurance that the results contemplated in forward-looking statements will be realized. In light of the significant uncertainties inherent in the forward-looking information included herein, the inclusion of such information should not be regarded as a representation by ZK International or any other person that their objectives or plans will be achieved. ZK International does not undertake any obligation to revise the forward-looking statements contained herein to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
Weitian Group LLC
Phone: +1 718-213-7386
View original content:http://www.prnewswire.com/news-releases/zk-international-group-co-ltd-to-form-joint-venture-and-bid-on-hydropower-project-with-total-estimated-cost-of-4-9-billion-rmb-301190337.html
SOURCE ZK International Group Co., Ltd.
Released December 10, 2020