China Energy Recovery Secures a $1.4 million Contract for Waste Heat Recovery Systems for Hubei Yangfeng Group
April 07 2009 - 7:00AM
PR Newswire (US)
- China's top 3 phosphate fertilizer producer returns to China
Energy Recovery to achieve greater energy efficiency SHANGHAI,
April 7 /PRNewswire-Asia/ -- China Energy Recovery, Inc. (OTC:CGYV)
(BULLETIN BOARD: CGYV) (ISIN: US16943V2060; "CER"), a leader in the
waste heat energy recovery sector of the industrial energy
efficiency industry, today announced it has entered into a contract
to design and manufacture two sets of waste heat recovery systems
for Hubei Yangfeng Group ("Yangfeng Group"), a top 3 phosphate
fertilizer producer in China. China is the largest producer and the
largest market for phosphate fertilizer, one of the main
fertilizers used for agriculture, in the world. The value of the
contract amounts to RMB9.73 million (approximately US$1.42 million
based on the exchange rate as of date of this press release). The
two sets of waste heat recovery systems for Yangfeng Group are
designed to generate 120 tons of steam per hour. This is equivalent
to nearly 24MW of heat energy generation capacity and will enable
Yangfeng Group to reduce the cost of purchasing steam from outside
sources needed to support the facility operations. In total, this
project is expected to achieve an annual saving of roughly 57,100
tons of coal (coal equivalent), which would otherwise be required
to produce the same amount of power, and consequently the reduction
of roughly 151,700 tons of carbon dioxide emission from the burning
of that coal each year. "We are honored that Yangfeng Group has
chosen to return to China Energy Recovery for additional sets of
our waste heat recovery systems for its facility expansion,"
commented Mr. Qinghuan Wu, Chairman and CEO of China Energy
Recovery. "Yangfeng Group is a very good example of the positive
impact of China's recent stimulus package on our business. Since
March, we have seen an upward trend of inquiries regarding our
systems and services and more industrial companies in the segments
we are focusing on have started or plan to start new bidding
campaigns or resume previously suspended ones for their facility
expansions. With our unique positioning in the market and our
strong and specialized design and engineering capabilities, we
expect this upward trend will bring us a stronger order flow in the
second half of this year and thus ensure an enhanced growth in
2010." The number presented above is the total contract value,
which includes a 17% value added tax and the retainage amount for
product warranty purpose, which is 5% of the total contract values
and will be recognized as deferred revenues. The numbers presented
represent values based on current exchange rates. Changes in the
currency exchange rates would result in a commensurate change in
contract value. What is Waste Heat Energy Recovery? Industrial
facilities release significant amounts of excess heat into the
atmosphere in the form of hot exhaust gases or high-pressure steam.
Energy recovery is the process of recovering vast amounts of that
wasted energy and converting it into usable heat energy or
electricity, dramatically lowering energy costs. Energy recovery
systems are also capable of capturing harmful pollutants that would
otherwise be released into the environment. It is estimated that if
energy currently wasted by all the U.S. industrial facilities could
be recovered, it could produce power equivalent to 20% of U.S.
electricity generation capacity without burning any additional
fossil fuel, and could help many industries to meet stringent
environmental regulations. About China Energy Recovery, Inc. CER is
an international leader in designing, manufacturing and installing
waste heat energy recovery systems which provide facilities with
greater energy efficiency. The company's primary focus is on the
Chinese market. CER's technology captures industrial waste energy
to produce low-cost electrical power, enabling industrial
manufacturers to reduce their energy costs, shrink their emissions
footprint, and generate sellable emissions credits. CER has
deployed its systems throughout China and in such international
markets as Egypt, Korea, Vietnam and Malaysia. CER focuses on
numerous industries in which a rapid payback on invested capital is
achieved by its customers, including: chemical, paper
manufacturing, refining (including methanol refining), etc. CER
continues to invest in R&D and plans to build China's first
state-of-the-art energy recovery system research and fabrication
facility to allow it to meet the increased demand for its products
and services. For more information on CER, please visit:
http://www.chinaenergyrecovery.com/s/Home.asp . Information on
CER's website does not comprise a part of this press release.
Forward-Looking Statement Disclaimer This press release includes
"forward-looking statements" within the meaning of the Securities
Litigation Reform Act of 1995, as amended. All statements, other
than statements of historical fact, included in the press release
that address activities, events or developments that CER believes
or anticipates will or may occur in the future are forward-looking
statements. These statements are based on certain assumptions made
based on experience, expected future developments and other factors
that CER believes are appropriate under the circumstances. Such
statements are subject to a number of assumptions, risks and
uncertainties, many of which are beyond the control of CER and may
not materialize, including, without limitation, the efficacy and
market acceptance of CER's products and services, CER's ability to
execute on its business plan and strategies and CER's ability to
successfully complete orders and collect revenues therefrom.
Investors are cautioned that any such statements are not guarantees
of future performance. Actual results or developments may differ
materially from those projected in the forward-looking statements
as a result of many factors. Furthermore, CER does not intend (and
is not obligated) to update publicly any forward-looking
statements, except as required by law. The contents of this release
should be considered in conjunction with the warnings and
cautionary statements contained in CER's filings with the
Securities and Exchange Commission, including CER's Annual Report
on Form 10-K filed with the Securities and Exchange Commission on
March 30, 2009. For more information, please contact: Media Sean
Mahoney Tel: +1-310-867-0670 Email: Investor Relations Jim Blackman
Tel: +1-713-256-0369 Email: DATASOURCE: China Energy Recovery, Inc.
CONTACT: Media: Sean Mahoney at +1-310-867-0670 or ; Or Investor
Relations: Jim Blackman at +1-713-256-0369 or Web site:
http://www.chinaenergyrecovery.com/s/Home.asp
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