NEW YORK, Jan. 13, 2020 /PRNewswire/ -- Recon Technology,
Ltd. (NASDAQ: RCON) ("Recon" or the "Company") today announced the
cooperation between its 43%-owned subsidiary, Future Gas Station
(Beijing) Technology, Ltd ("FGS")
and Xinglin Gas Station, a gas station in Jiangsu Province. The cooperation was
established in October 2019 with the
term of two years, aiming to reduce operating costs and boost the
overall revenues of Xinglin Gas Station.
Pursuant to the cooperation, FGS provides Xinglin Gas Station
the internet marketing service through its DT Refuel mobile
application which is also a data-based intelligent marketing tool.
The service includes building a complete Customer Relationship
Management system that allows more efficient data management and
smart data-driven decision making. FGS also provides precision
marketing service based on consumer behaviors to reduce operating
costs, and facilitates marketing cooperation with third parties to
increase gas station revenues. FGS charges 0.5% of the transaction
amount as operation and technical service fees.
For the 3 months ended December 31,
2019, Xinglin Gas Station reported that 4,387 users had
traded approximately $0.45 million
(RMB 3,124,023) through DT Refuel.
The average daily transaction amount was approximately $5,510 (RMB 38,568)
and the percentage of fuel transactions was 43%.
"FGS' intelligent platform helps us better know and serve our
customers, enhance our competitiveness to catch up state-owned gas
stations," said Mr. Zhirong Zhang,
the owner of Xinglin Gas Station.
"It allows us to make smart marketing decisions meanwhile reducing
work intensity. Most importantly, it has helped us reduce operation
costs and increase overall income by more than 10%."
"There are more than 110,000 gas stations in China, about half of them are state-owned,"
said Mr. Yang Song, the founder of
FGS. "Xinglin Gas Station is one of our first attempts outside
Zhejiang Province and one of the
gas stations that are not state-owned. We expect to work with 3,000
gas stations in 2020, with an annual transaction amount of over
$1.5 billion and a service income of
over $4.5 million."
"The upstream sectors of the oil and gas industry have been our
strategic focus, but we are glad to see more opportunities from
downstream sectors, such as gas stations," said Mr. Shenping Yin, co-founder and CEO of Recon. "We
are actively bringing more strength into these sectors which
present more value to our shareholders."
About Future Gas Station (Beijing) Technology, Ltd.
Established in January 2016,
Future Gas Station (Beijing)
Technology is a service company focusing on providing new technical
Applications and data operations to gas stations. It also provides
solutions to gas stations to improve their operations and their
customers' experience. FGS aims to increase the overall income of
gas stations through the 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. (RCON) is China's first non-state-owned
oil and gas field service company listed on NASDAQ. Recon
supplies China's largest oil exploration
companies with advanced automated technologies, efficient
gathering and transportation equipment and reservoir stimulation
measures for increasing petroleum extraction levels, reducing
impurities and lowering production costs. Since 2017, the Company
has expanded its business operations into other segments of the
broader energy industry including electric power, coal chemicals,
renewable energy and environmental protection in the energy and
chemical industries. Through the years, Recon has taken
leading positions on several market segments of the oil and gas
field service industry. Recon also has developed stable long-term
cooperation relationships with its major clients, and its
products and service are well accepted by clients. For additional
information please visit: www.recon.cn.
Safe Harbor Statement
This news release contains forward-looking statements as defined
by the Private Securities Litigation Reform Act of 1995.
Forward-looking statements include statements concerning plans,
objectives, goals, strategies, future events or performance, and
underlying assumptions and other statements that are other than
statements of historical facts. These statements are subject to
uncertainties and risks including, but not limited to, product and
service demand and acceptance, changes in technology, economic
conditions, the impact of competition and pricing, government
regulation, and other risks contained in reports filed by the
company with the Securities and Exchange Commission. All such
forward-looking statements, whether written or oral, and whether
made by or on behalf of the company, are expressly qualified by the
cautionary statements and any other cautionary statements which may
accompany the forward-looking statements. In addition, the company
disclaims any obligation to update any forward-looking statements
to reflect events or circumstances after the date hereof.
IR contact:
Dragon Gate Investment
Partners LLC
Tel: +1(646)-801-2803
Email: RCON@dgipl.com
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SOURCE Recon Technology, Ltd.