China Carbon Graphite Group, Inc. to Integrate Natural Graphite Mines
February 15 2011 - 10:00AM
China Carbon Graphite Group, Inc. (OTCBB:CHGI) ("China Carbon" or
the "Company") plans to integrate natural graphite mining capacity
in Inner Mongolia.
Natural graphite comes in several forms: Flake, amorphous and
lump. Natural flake and synthetic graphite are currently used in
renewable energy solutions such as lithium-ion batteries as well as
in fuel cells, and in nuclear power stations. Very fine grades of
natural flake graphite can also be transformed into synthetic
diamonds.
To better protect the environment and to curb pollutants
generated during the production of certain natural resources, in
2010, the Chinese government decided to implement a number of new
restrictions on natural resource industry sectors, including
certain export restrictions. As a result of these restrictions,
numerous mines were limited in their operations, and the market
prices of rare earth elements and certain natural resources that
originate in these mines, such as graphite, were driven up.
Graphite is widely used in many different industries. It is used
as a refractory material in the steel industry, and as a conductive
material, a lubricating material and a metallurgical material in
various other industries including aerospace, automotive,
semiconductor, nuclear power, battery manufacturing, and generally
as a high-tech composite material. For this reason, China has
included graphite in its protective measures taken to assure
domestic supply, much in the same way it has treated rare earth
elements.
As a result, Graphite saw price appreciation in 2010 along with
rising Chinese demand for all types of industrial minerals,
including the increasingly popular rare earth elements. We believe
this upward trend will continue in 2011.
In light of China's increasingly restrictive posture on rare
earth and other important resources, as well as world dependency on
China for graphite supply (it has been reported that China exports
over 70% of world's graphite every year), graphite is on course to
become a very important strategic resource. As one of the few
listed companies in the graphite industry,the Company has the
state-of-art technology in quality control and environment
protection, and expects to enjoy sustained and rapid growth in the
near future, since the new restrictions are expected to eliminate
those less efficient competitors in this industry.
Since the beginning of 2011, aside from expanding production
capacity, China Carbon is seeking to initiate an acquisition, with
the objective of becoming a vertically integrated leader in the
Chinese graphite industry.
China Carbon is located in Inner Mongolia, a region with very
rich mineral resources. Beginning in 2011, the Company plans to
gradually integrate upstream resources of natural graphite mines.
With the Company's extensive management experience and
relationships in the carbon and graphite industry, management is
confident in the Company's ability to achieve current
objectives.
About China Carbon Graphite Group, Inc.
China Carbon Graphite Group, through its affiliate, Xingyong
Carbon Co., Ltd., manufactures carbon and graphite based products
in China. The company is the largest wholesale supplier of fine
grain and high-purity graphite in China and is one of the nation's
top overall producers of carbon and graphite products. Fine grain
graphite is widely used in smelting for colored metals and
rare-earth metal smelting as well as in the manufacture of molds.
High purity graphite is used in metallurgy, mechanics, aviation,
electronics, atomic energy, the chemical industry, food industry
and a variety of other fields. In September 2007, the company was
approved and designated by the Chinese Ministry of Science &
Technology as a "National Hi-tech Enterprise" amongst over 400
other carbon graphite producers in China. China Carbon is the only
non-state-owned company to receive this honor. For more
information, visit www.chinacarboninc.com.
Safe Harbor Statement
This release contains certain "forward-looking statements"
relating to the business of the Company and its subsidiary
companies. These forward-looking statements are often identified by
the use of forward-looking terminology such as "believes,"
"expects" or similar expressions. Such forward-looking statements
involve known and unknown risks and uncertainties that may cause
actual results to be materially different from those described
herein as anticipated, believed, estimated or expected. Investors
should not place undue reliance on these forward-looking
statements, which speak only as of the date of this press release.
The Company's actual results could differ materially from those
anticipated in these forward-looking statements as a result of a
variety of factors, such as an inability to identify a suitable
target, an inability to negotiate the terms of any such acquisition
on terms favorable to us, the inability to successfully integrate
an acquired company, an inability to finance any such acquisition
and the failure of any acquired company to perform at the levels we
anticipate at the time of an acquisition.
CONTACT: Nuwa Group, LLC
Investor Contact:
Mr. Kevin Fickle
+1-925-330-8315
Kevin@nuwagroup.com
China Carbon Graphite (CE) (USOTC:CHGI)
Historical Stock Chart
From Aug 2024 to Sep 2024
China Carbon Graphite (CE) (USOTC:CHGI)
Historical Stock Chart
From Sep 2023 to Sep 2024