BEIJING, July 30, 2018 /PRNewswire/ -- Recon Technology, Ltd. (NASDAQ: RCON), ("Recon" or the "Company"), a China-based independent solutions integrator in the oilfield service, electric power and coal chemical industries, today announced that Future Gas Station (Beijing) Technology, Ltd ("FGS"), of which Recon indirectly owns 8%, has officially launched smart vending machines to further expand its retail business.
Mr. Yin Shenping, CEO of Recon Technology, Ltd commented, "We are very pleased that FGS has launched its smart vending machines as planned to continue expanding its new retail business. With the further liberalization of China's domestic gas market, major oil sales companies are transforming, developing and innovating the country's gas stations. As part of this evolution, the development of the non-oil segment of gas stations has become a strategic issue for major oil companies. We believe that FGS' smart vending machine model can help China National Petroleum Corporation ("CNPC") quickly improve its non-oil-product segment business development and facilitate the integration of new innovations for gas stations."
Mr. Yang Song, the founder of FGS, said, "Smart vending machines are a key component of our development and advancement. Our algorithms and DT fueling app allow users to directly select the products in the cabinet that they choose to purchase. After closing the door, the mobile application automatically completes the sale, either by debiting the user's account or by deducting accumulated rewards points. Currently, there are 4 sets of smart vending machines that can be used normally in the CNPC's location, with users opening the vending machine doors 2,500 times and placing more than 1,500 orders since the roll-out started approximately two weeks ago. In view of this early success, FGS plans to launch smart vending machines at more gas stations and office areas."
Mr. Yang Song continued, "In comparison to other existing unmanned shelf models, our smart vending machine sales can be automatically settled without the customer scanning the product barcode, which greatly enhances the customer's experience, saves the customer time and improves sales efficiency. This model on the requirements of the gas station business model, which prioritizes increasing the revenue of gas station products and shortening the customer's stay time. In order to encourage users to consume, we have also introduced a settlement system for rewards points redemption and cross-product category coupons. CNPC in Zhejiang has a total of 450 gas stations, including city stations, high-speed stations, and village stations. In our early rollout, we expect to cover all the city stations, some rural high-speed stations, a coverage rate reaching 50%, or approximately, 225 gas stations, with roll-out order based on station popularity. In the future, we will further cooperate with third-party companies to improve the efficiency of our reward points system and user activity, and strive to optimize retail consumption for gas station customers."
About Future Gas Station (Beijing) Technology, Ltd
Established in January 2016, FGS is a leading service company focusing on providing new technical application and data operation to gas stations of oil companies such as PetroChina Co., Ltd. With its DT Refuel mobile application, FGS provides solutions to gas stations to improve their operations and their customers' experience. FGS aims to increase the overall income of gas stations through integration of internet technique and new retail E-Commerce platform, and to help transform gas stations into comprehensive service providers.
About Recon Technology, Ltd.
Recon Technology, Ltd. (NASDAQ: RCON) is China's first listed non-state owned oil and gas field service company on NASDAQ. Recon supplies China's largest oil exploration companies, Sinopec and CNPC, with advanced automated technologies, efficient gathering and transportation equipment and reservoir stimulation measure for increasing petroleum extraction levels, reducing impurities and lowering production costs. Through the years, RCON has taken leading positions on several segmented markets of the oil and gas filed service industry. RCON also has developed stable long-term cooperation relationship with its major clients, and its products and service are also well accepted by clients. For additional information please visit: www.recon.cn.
Forward Looking Statements
Forward-Looking Statements in this press release, which are not historical facts, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Our actual results, performance or achievements may differ materially from those expressed or implied by these forward-looking statements. In some cases, you can identify forward-looking statements by the use of words such as "may," "could," "expect," "intend," "plan," "seek," "anticipate," "believe," "estimate," "predict," "potential," "continue," "likely," "will," "would" and variations of these terms and similar expressions, or the negative of these terms or similar expressions. Such forward-looking statements are necessarily based upon estimates and assumptions that, while considered reasonable by us and our management, are inherently uncertain. Factors that may cause actual results to differ materially from current expectations include, among others, levels of spending in our industry as well as consumer confidence generally; changes in the competitive environment in our industry and the markets where we operate; our ability to access the capital markets; the results of cooperation between parties to cooperation agreements; user engagement with and use of FGS' products and services; FGS' ability to execute on its business plan as planned; our ability to benefit from such cooperation as a shareholder of FGS; and other risks discussed in the Company's filings with the U.S. Securities and Exchange Commission, including our Annual Report on Form 20-F, which filings are available from the SEC. We caution you not to place undue reliance on any forward-looking statements, which are made as of the date of this press release. We undertake no obligation to update publicly any of these forward-looking statements to reflect actual results, new information or future events, changes in assumptions or changes in other factors affecting forward-looking statements, except to the extent required by applicable laws. If we update one or more forward-looking statements, no inference should be drawn that we will make additional updates with respect to those or other forward-looking statements.
For more information, please contact:
Ms. Liu Jia
Chief Financial Officer
Recon Technology, Ltd.
Phone: +86 (10) 8494-5799
In the United States:
Ms. Tina Xiao
Ascent Investor Relations LLC
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SOURCE Recon Technology, Ltd.