China’s rapid economic expansion in the last two decades has been accompanied by corresponding growth in energy consumption as well as a deterioration of the environment as a result of consumption related pollution. These two trends have led to increased environmental awareness and calls for environmental solutions as an integral part of China’s development on the part of both industry participants and consumers.

We believe that biodiesel is an effective solution for both problems because:
(i) it is a clean, environmentally friendly and cost effective alternative to petroleum-based fuels, and
(ii) it is an additional energy source to address rising energy demand. As a pioneer of the biodiesel manufacturing sector in the country, we intend to promote biodiesel as one of the best solutions for China’s energy needs by producing quality and environmentally friendly biodiesel at competitive cost.

We believe that we are well positioned to benefit from China’s growing demand for alternative sources of energy. China’s economic expansion has been accompanied by a corresponding increase in energy consumption, which is currently predominantly supported by petroleum-based fuels.

As petroleum-based fuels are limited in supply and non-renewable, the PRC government encourages the use of alternative sources of energy to partially alleviate the current energy shortage and also help sustain China’s current levels of economic growth. Our research and development team has developed a proprietary technology which allows us to mass-produce biodiesel by utilizing cost effective raw materials, such as vegetable oil offal and used cooking oil, which are in abundant supply in China. By securing raw materials at low cost and utilizing our proprietary technology for mass production, we offer a viable alternative source of energy.

We also believe that we will benefit from the increasing demand for environmentally friendly energy products in China. The Chinese economy has enjoyed one of the highest historical rates of growth since the late 1970s. As the country continues to industrialize, environmental problems have worsened due to rising levels of industrial waste generation, rising automobile ownership and the associated environmental hazards, and rising levels of environmental waste generated by consumption of food and water, among other factors.

In order to address such environmental concerns, the PRC government has instituted laws and regulations designed to improve the environment, such as the recently enacted Law of Renewable Energy Resources, to promote the development of more environmentally friendly energy sources. Our products utilize vegetable oil offal and used cooking oil that are in abundant supply and are harmful to the environment if left untreated. By utilizing these waste materials, we offer a viable and environmentally friendly solution by converting otherwise hazardous materials into cleaner fuel.