30/06/2006 The London Stock Exchange is delighted to welcome China Biodiesel to AIM
30 June 2006 The London Stock Exchange is delighted to welcome China Biodiesel to AIM.
China Biodiesel is based in Longyan in the Fujian province of China, and the company believes it is the first of its kind to engage in commercial production of biodiesel in China.
China Biodiesel has developed proprietary processes and technology, using waste cooking and other oils, for biodiesel production. The company’s products are used as an alternative to fossil diesel for vehicles, as well as in the production of phosphate-free detergents and shampoo, and toxin-free food packaging and crockery.
In January 2006, the Chinese government introduced the Renewable Energy Law in an effort to reduce the country’s reliance on oil imports and to increase the uptake of alternative fuels. As a result, China Biodiesel expects to experience significant growth in demand in China in the coming years.
The company plans to increase its annual production capacity from 20,000 tonnes to 100,000 tonnes by 2007, and a further 100,000 tonnes by 2008, as well as expanding sales and marketing across China.
Huodong Ye, Chairman commented: “We are pleased with the response we have received from investors in difficult stock market conditions. AIM really has demonstrated its value as a fund raising platform for international growth companies. We also greatly appreciate the advice and support we received from Evolution China throughout the flotation process. We now plan to use the funds raised to build a significant and profitable position in China’s rapidly growing biodiesel market."