Recently, Fortune Gas announced an investment of approximately 1 billion yuan (equivalent to approximately US$140 million).
It was disclosed in the announcement that Fortune Gas recently signed an Investment Agreement with the People’s Government of Qidong City, Jiangsu Province, planning to invest in the “Fortune Gas Marine Engineering and Equipment Intelligent Manufacturing Project” in the East Port Area of the Enclosed Harbor Basin within Qidong Lvsi Port Economic Development Zone.
The total investment of the project is approximately 1 billion yuan (equivalent to approximately US$140 million, estimated figure, subject to uncertainty), with a total land and sea area of about 505 mu (equivalent to 34 hectares). The main products of the project include large-scale offshore engineering equipment, large-scale oil and gas modules, large-scale chemical containers, etc. The project will also be equipped with a heavy-duty terminal to meet the needs of manufacturing, assembly and delivery of large-scale equipment.
The announcement indicates that this project complements Fortune Gas’s existing cryogenic equipment business and represents a significant extension of its current industrial chain. Upon successful implementation, the project will further expand the company’s business scale, strengthen its industry position and brand influence, comprehensively enhance core competitiveness and economic benefits, and support the company in achieving healthy and sustainable development.
In addition, to facilitate the smooth implementation of the project, Fortune Gas also plans to register and establish wholly-owned subsidiaries (namely, a manufacturing company, a trading company, and a port logistics operations company) in the Qidong Lvshi Port Economic Development Zone, which will be responsible for the investment and construction, production operations, and raw material procurement of the project, respectively.
According to its official website, Fortune Gas (Stock Code: 603173 in Shanghai Stock Exchange) was founded in 1984 and specializes in the research, design, and complete service of various industrial gas cryogenic technologies, natural gas treatment and liquefaction technologies, and technologies related to syngas and hydrogen. It is a national-level high-tech enterprise with advanced manufacturing capabilities for the related extra-large cold box modules (ASU), natural gas treatment and liquefaction modules, large coil-wound heat exchangers, and chemical equipment such as large vessels and columns, etc.
Fortune Gas has successfully designed, manufactured, and delivered over 1,000 patented process packages and related equipment in countries and regions including the United States, Japan, South Korea, India, Europe, the Commonwealth of Independent States, the Middle East, Southeast Asia, Africa, and Latin America. Fortune Gas believes that cryogenic technology-related equipment is becoming increasingly critical in the offshore engineering sector, particularly in the transportation and processing of liquefied natural gas (LNG), such as in floating liquefaction units (FLNG) and LNG carriers.
Through this project, Fortune Gas will fully capitalize on the development opportunities in the offshore equipment market, enter the high-value-added offshore equipment manufacturing sector, and further expand the application areas of its cryogenic technology products. This project will broaden the company’s product applications, create new growth drivers, and enhance its overall competitiveness. It also supports the company’s strategic development direction of large-scale and international cryogenic technology products.