• Project contributes to 2008 revenue and includes ongoing service agreement
DALIAN, China, Jan. 26 -- RINO International Corp., through its subsidiaries and controlled affiliates in the People's Republic of China, that designs, manufactures, installs and services proprietary and patented wastewater treatment, desulphurization equipment, and high temperature anti-oxidation systems for iron and steel manufacturers in the People's Republic of China, announced that the Company successfully completed a significant Flue Gas Desulfurization (FGD) projects for its customer, Handan Iron and Steel Company.
RINO's installation equipped a 400 square-meter sintering machine with its proprietary FGD system. This represents a key energy-saving emission reduction project in Handan City, Hebei Province. The installation was initiated in June 2008 and completed on Dec. 1, 2008. This $7 million project is one of the largest flue gas desulfurization projects completed for China's domestic steel industry to date. As part of the agreement, RINO will provide ongoing maintenance and services for Handan for an initial period of 3 years, which will generate approximately $2.6 million per year in incremental revenue.
RINO's FGD system utilizes advanced, patented production and automation technology to filter sulfur emissions which are directed into the desulfurization tower, instead of being discharged into the atmosphere. RINO's system generates calcium sulfate through an acid-base reaction and can be re-utilized in other industrial activities. By adopting RINO's FGD system, Handan Iron and Steel is expected to reduce sulfur dioxide emission by more than 5000 tons on annual basis, while substantially lowering other pollutants.
"We are very pleased to announce the successful implementation of our FGD system for Handan Iron and Steel Company, which is now part of Hebei Iron and Steel Group, the largest producer in China," Mr. Zou Dejun, CEO of RINO, commented. "Our proprietary technology and customized filtration solutions set us apart from other market participants. We believe this project strengthens our market leadership position in FGD for the iron and steel industry, while reinforcing our credibility among current and potential customers, something we believe will yield incremental growth for RINO during 2009 as we pursue larger projects. In addition, we expect that ongoing service agreements will become a component of our FGD projects in the future, creating an additional recurring revenue stream."
Handan Iron & Steel Group is one of China's biggest iron and steel groups.
RINO International Corporation, through its direct and indirect subsidiaries, is a leading provider of environmental protection equipment for the iron and steel industry in China.
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