L & L Energy, Inc. (NASDAQ:LLEN) and GuangShunYuan Group Mining Co. have entered into a a strategic agreement to expand the company’s wholesale and logistics operations in China.
As quoted in the press release:
GSY is a large, privately owned, integrated coal supplier based in Guizhou Province. It operates twenty-six (26) coal mines that have 7.5 million tons of coal mining capacity annually. GSY also has a wholesale network handling 1.6 million tons of coal annually, as well as chain stores selling coal related machinery and equipment. The agreement allows L & L to access GSY’s vast mining resources and assist in securing additional coal from GSY. In return, GSY can leverage L & L’s existing business relationship with Datang International, one of the largest utility companies in China.
Dickson Lee, L & L’s Chairman and Chief Executive Officer, stated:
We are delighted to reach this strategic partnership with GSY. By leveraging on GSY’s vast mining assets, we have demonstrated our innovative ability to expand business effectively with less capital investment. Moving forward, we plan to develop a joint venture with GSY to accelerate our revenue and profit growth.