FUQING CITY, China, March 12 /PRNewswire-Asia-FirstCall/ -- China Clean
Energy Inc. (OTC Bulletin Board: CCGY) ("China Clean Energy" or the "Company")
today announced that its wholly-owned subsidiary, Fujian Zhongde Energy Co.,
Ltd., secured a line of credit for up to RMB 33 million (equivalent to
approximately US $4.8 million) from Fujian Haixia Bank, formerly Fuzhou City
Commercial Bank. Together with the Company's existing facility secured through
its wholly-owned subsidiary Fujian Zhongde Technology Co., Ltd. in April 2009,
the Company's aggregate credit line with Fujian Haixia Bank is now RMB 41
million (equivalent to approximately US $6.0 million).
"We are very pleased to increase our line of credit with Fujian Haixia
Bank," said Tai-ming Ou, the Company's Chairman and CEO. "This expands our
liquidity position to support the ramp-up of our new plant, and reinforces our
confidence in the outlook for our business in the quarters ahead."
China Clean Energy expects to use the expanded credit facility to fund the
working capital requirements associated with its recently expanded production
capacity. The Company's new Jiangyin plant has the capacity to produce 100,000
tons of biodiesel per year, or 30,000 tons of specialty chemicals per year, or
a combination of biodiesel and specialty chemicals for a total output of
70,000 tons per year. Construction of the plant was completed in October of
2009, and management expects capacity utilization to reach 50% by the second
quarter of 2010. Recent pictures of the new plant are available at:
http://www.chinacleanenergyinc.com/
About China Clean Energy:
China Clean Energy, through its wholly-owned subsidiaries, Fujian Zhongde
Technology Co., Ltd. and Fujian Zhongde Energy Co., Ltd, is engaged in the
development, manufacturing, and distribution of biodiesel and specialty
chemical products made from renewable resources. For additional information
please visit: http://www.chinacleanenergyinc.com .
Safe Harbor Statement
This announcement contains forward-looking statements within the meaning
of the safe harbor provisions of the Private Securities Litigation Reform Act
of 1995. All statements other than statements of historical fact in this
announcement are forward-looking statements, including but not limited to, the
Company's ability to raise additional capital to finance the Company's
activities; the effectiveness, profitability, and the marketability of its
products; weather conditions and other natural disasters that may delay the
construction of the Jiangyin plant; the ability of the Company to expand its
production capacity; Company's ability to secure raw material feedstock
supplies at economical prices; the period of time for which its current
liquidity will enable the Company to fund its operations; the Company's
ability to protect its proprietary information; general economic and business
conditions; the volatility of the Company's operating results and financial
condition; the Company's ability to attract or retain qualified senior
management personnel and research and development staff; and other risks
detailed in the Company's filings with the Securities and Exchange Commission.
These forward-looking statements involve known and unknown risks and
uncertainties and are based on current expectations, assumptions, estimates
and projections about the Company and the industry. The Company undertakes no
obligation to update forward-looking statements to reflect subsequent
occurring events or circumstances, or to changes in its expectations, except
as may be required by law. Although the Company believes that the expectations
expressed in these forward looking statements are reasonable, they cannot
assure you that their expectations will turn out to be correct, and investors
are cautioned that actual results may differ materially from the anticipated
results.
For more information, please contact:
China Clean Energy Inc.
William Chen, CFO
Email: william.chen@chinacleanenergyinc.com
Website: http://www.chinacleanenergyinc.com
CCG Investor Relations Inc.
Ed Job, CFA
Phone: +1-646-213-1914
Michael Crawford, Sr. MI Executive
Tel: +1-646-833-3341
Email: michael.crawford@ccgir.com
Website: http://www.ccgirasia.com
SOURCE China Clean Energy Inc.
