On November 25, 2024, hk & china gas (0003.HK) and Foran Energy Group Limited (hereinafter referred to as 'Foran Energy') signed the Green Fuel and Chemical Project Cooperation Framework Agreement today. hk & china gas and Foran Energy will jointly establish an investment platform to promote the development of the green economy.
The relevant agreement was signed at the "Guangdong-Hong Kong Deepening Economic and Trade Investment Cooperation Exchange Meeting" in the presence of guests including Huang Kunming, a member of the Political Bureau of the Central Committee of the Communist Party of China and Secretary of the Guangdong Provincial Committee, John Lee Ka-chiu, Chief Executive of the Hong Kong Special Administrative Region, Zheng Yanxiong, Director of the Liaison Office of the Central People's Government in the Hong Kong Special Administrative Region, and Dr. Li Ka-kit, Chairman of HK & China Gas.
According to the "Cooperation Framework Agreement", both parties plan to finance 10 billion yuan through various means to establish green methanol production bases in regions across the country, including Inner Mongolia, the Greater Bay Area, Hainan, and Fujian, developing a supply pool of green fuel and chemicals with an annual production capacity of 1 million tons.
The Chief Operating Officer of HK & China Gas, Chen Wenhui, stated: "HK & China Gas has over 160 years of experience in the energy industry and has actively developed green energy in recent years, including green methanol and hydrogen energy. This strategic cooperation will leverage advantages in the production, operation, and technical support of green methanol, working with Foran Energy Group to build a green energy supply and industry chain, providing more green fuels and chemical products for the shipping and chemical industries, and assisting the industry in accelerating its low-carbon transformation."
Yin Xiang, Chairman of Foran Energy Group, indicated that this strategic cooperation will open a new chapter in the cooperation between both parties. "The strategic collaboration between the two companies, with green methanol project investment as the entry point, marks a new development stage for Foran Energy Group and HK & China Gas. Foran Energy Group has officially joined the green fuel and chemical industry, and our collaboration will help the country achieve its dual carbon goals."
HK & China Gas has investment and operational experience in green methanol projects. The green methanol project located in Inner Mongolia Erdos City has consecutively obtained the EU ISCC EU and ISCC PLUS international certifications for three years since 2022, making it the first enterprise in the mainland to receive both certifications and to have the scale to produce green methanol. In the past two years, HK & China Gas has delivered certified green methanol to overseas customers, and the production capacity of the Inner Mongolia green methanol plant is expected to reach 150,000 tons by 2025 for use in the shipping and chemical industries.
In this cooperation, both parties will fully leverage their respective advantages in green energy, energy chemicals, hydrogen energy, supply chains, as well as investment construction, technical support, product certification, and market operations, joining forces to share resources and collectively advance the green energy revolution and the low-carbon upgrade of the industry, accelerating the development of new productive green forces.
