30-05-2017

PetroChina selects wastewater treatment equipment from Recon Technology

Recon Technology, Ltd, a leading independent oilfield services provider operating primarily in China, today announced the Company's affiliate, Beijing BHD Petroleum Technology Co., Ltd. has signed and completed an Agreement with Beijing OriginWater Purification Engineering Technology Co., Ltd, a subsidiary of Beijing OriginWater Technology Co. Ltd. to cooperate with BOW Engineering to install and provide maintenance and chemical testing services for an all-in-one wastewater treatment equipment package to Golmud Petroleum Refinery, an affiliate of Qinghai Oilfield, a PetroChina Co., Ltd. subsidiary.

Pursuant to the Agreement, Recon will partner with BOW Engineering to provide a complete set of wastewater treatment equipment and service to an upgrade renovation project for Golmud Petroleum Refinery, which is expected to be completed by the end of May 2017 and the Agreement valued at RMB 6.37 million (approximately USD $0.94 million).

China's new Environment Protection Law and the Emission Standard of Pollutants for the Petroleum Refining Industry ("Emission Standard") enacted by the Ministry of Environmental Protection of PRC ("MOEP") require all petroleum industry companies in China to meet higher standards for industry wastewater by July 1, 2017. As China has increasingly enforced compliance with these requirements, oil and chemical companies have been upgrading their old equipment and treatment technology with renovations like those being undertaken at the Golmud Petroleum Refinery.

Mr. Guangqiang Chen, co-founder and CTO of Recon stated, "We are very pleased to partner with BOW to provide a customized wastewater treatment solution to Golmud Petroleum Refinery for their treatment upgrade program. Oily wastewater treatment is far more difficult than general industrial wastewater and domestic sewage treatment. In addition, our clients are usually located in remote areas and face the grim challenge of ecological conservation, and thus adopt the higher emissions standards and strict requirements of their suppliers. We overcame these serious challenges in Golmud by cooperating with BOW, a leading wastewater treatment expert in China, to customize a solution based on the Golmud project's unique chemical components and environmental variables. These efforts have been confirmed in the field as well, as we have successfully treated oilfield wastewater and the testing results from the technical bidding period show the treated water quality has greatly exceeded China's one-class A permitted criteria. We expect to assist Golmud Petroleum Refinery to successfully complete its wastewater treatment upgrade project, and look forward to further advancing our brand awareness within the industry. Our research into oilfield oil sludge has positioned us to enter the larger market of oilfield environmental protection."