Beibo Group (08331) issued an announcement. On February 29, 2024, Wuhu Feishang Nonmetallic Materials Co., Ltd...
Zhitong Finance App News, Beibo Group (08331) announced that on February 29, 2024, Wuhu Feishang Nonmetallic Materials Co., Ltd. (a wholly-owned subsidiary of the company) signed the following agreement: signed a construction agreement A with contractor A, Wuhu Maohua Steel Structure Co., Ltd., and Contractor A (as contractor) has agreed to undertake the steel structure construction project for the bentonite plant, with a cash cost of RMB 11.636 million; and contractor B (as contractor) has agreed to undertake bentonite Factory devices The cash cost for the construction and demolition of the facility was RMB 147.43 million.
Contractor A will be responsible for the manufacture and installation of steel structures for the integrated workshop and finished warehouse of the bentonite plant; Contractor B will be responsible for the construction and installation of facilities, demolition of buildings, equipment infrastructure and supporting construction projects for the bentonite plant.
According to the announcement, the existing bentonite plant consists of old plants. The plant is small and rudimentary, which limits production capacity. At the same time, due to the obsolete equipment used, the level of production automation is limited. Currently, raw materials, semi-finished products, and finished products are stored separately, and there is room for improvement in internal logistics and material transportation efficiency. As disclosed in the company's annual report for the 15 months ended March 31, 2023 and the company's interim report for the 6 months ended September 30, 2023, the Group plans to further improve its processing plants and equipment. This is one of the business strategies to expand its market position in the Chinese bentonite industry. In this regard, the Group plans to upgrade and expand the production line of the existing bentonite plant by reconstructing its integrated workshop and finished product warehouse. The construction project involves the installation of facilities and equipment infrastructure, which is conducive to automating and centralizing the production process.