ZK International Group Co., Ltd. (NASDAQ:ZKIN) ("ZKIN", "ZK International" or the "Company"), a leading designer, engineer, manufacturer, and supplier of patented high-performance stainless steel and carbon steel pipe products for sophisticated water or gas pipeline systems, proudly announces a new marketing and sales achievement. The Company has successfully secured an $8 million bid in collaboration with Chongqing Gas Group, bolstering its new position as a key player in the Western China gas market.
Chongqing City, the fourth largest Chinese city with an estimated urban population of 16.34 million, is set to benefit from ZK International's expertise. The $8 million bid pertains to the gas piping infrastructure procurement program initiated by the Chongqing Gas Group for its municipal gas piping infrastructure project.
China's Ministry of Ecology and Environment's 2020 initiative to replace coal with clean energy in the heating systems of 7.09 million households in the northern provinces has spurred a surge in demand for natural gas and gas piping infrastructure. Chongqing Gas Group, a flagship division of China Resources Gas Group Limited, has been a pioneer in the urban pipeline gas business since 1995. As a key player in the energy sector, it has evolved into an integrated energy service provider with core businesses encompassing natural gas sales, integrated energy services, energy trade, and energy transmission and distribution. Chongqing Gas Group Co., Ltd., is listed on the Shanghai Stock Exchange, under the stock code 600917 and has a market capitalization of $1.5 Billion with annual sales of $1.22 Billion in revenue.
Mr. Jiancong Huang, Chairman of ZK International, commented, "We are pleased to be selected as a key supplier for the municipal natural gas infrastructure program amongst several of our competitors during this bidding process as well as to start a new working relationship with Chongqing Gas Group. We are excited that this bidding success, along with other key pending contracts and agreements will allow us to expand our presence to Western China in Chongqing city."