BEIJING, Oct. 27 /PRNewswire-Asia/ -- China Fire & Security Group, Inc.
(Nasdaq: CFSG) ("China Fire" or "the Company"), a leading total solution
provider of industrial fire protection systems in China, today announced the
Company signed a new engineering, procurement, and construction ("EPC")
contract worth approximately US$4.4 million with Indian National Thermal Power
Cooperation Limited ("NTPC") for fire protection solutions.
Under the contract, China Fire will serve as a total solution provider for
the Vindhyachal Super Thermal Power Station ("Vindhyachal"), Stage IV (2 x 500
MW) project, in the State of Madhya Pradesh, India. China Fire will be
responsible for implementing the entire fire protection system for the project,
including design, engineering, manufacture, procurement, transportation,
construction, inspection, commissioning, technical guidance and maintenance.
China Fire will also provide its UL-certified linear heat detectors to ensure
protection and safety from fire hazards for the project's entire facility. The
project is expected to be completed within the next two and a half years.
NTPC is the largest power company in India, operating 22 power stations
with total installed capacity of 30,644 MW. NTPC is also diversified into
hydro power, coal mining, oil and gas exploration, power distribution and
trading, and nuclear power development. Vindhyachal, after the
recently-completed Stage III, today has a total capacity of 3,260 MW and is
the largest power station in India. At the completion of Stage IV, which is
estimated to cost approximately INR 59.15 billion (approximately USD$1.27
billion), NTPC's Vindhyachal Super Thermal Power Station's total capacity
should increase to 4,260 MW.
"We are very pleased to announce our recent contract win with NTPC, the
largest power company in India. This contract win further demonstrates the
success of our international expansion strategy and our strong competitive
position in the global fire protection industry," commented Mr. Brian Lin,
Chief Executive Officer of China Fire. "Although the Chinese government's
recent limit on the iron and steel industry's capacity expansion may
temporarily defer new contracts in our domestic market, we are excited about
our momentum in the international markets. We believe India's enormously-unmet
infrastructure needs will generate an abundance of new business opportunities
across various industries. According to a report by PricewaterhouseCoopers,
the Indian government will spend more than US$500 billion in new
infrastructure projects, constructing and retrofitting the nation's power
plants, iron and steel plants, airports, and transportation systems, which
should create ample revenue prospects for China Fire in the Indian market."
"Furthermore, China Fire's UL-certified, proprietary linear heat detectors
will provide us strong competitive advantages, enabling us to gain market
share and better pricing in the Indian and other international markets. We are
also encouraged by our growing market presence through our partnership in
India, which has successfully developed strong client relationships and
generated many new bid opportunities. We are confident that this contract win
with NTPC combined with our previously announced $2.1 million contract win for
BALCO Captive Power Plant in India can serve to further solidify our
relationships and drive additional wins. We believe that our state-of-art
technology, proprietary patent products, and market leadership will allow
China Fire to expand its market presence and secure more contract wins in the
near future, and ultimately to deliver strong and sustainable financial
performance and generate more value for our shareholders," concluded Mr. Brian
Lin.
About Indian National Thermal Power Cooperation Limited ("NTPC")
NTPC, India's largest power company, was set up in 1975 to accelerate
power development in India. It has emerged as an "Integrated Power Major",
with a significant presence in the entire value chain of power generation
business. NTPC ranked 317th in the "2009 Forbes Global 2000" ranking of the
world's biggest companies. With a current generating capacity of 30,644 MW,
NTPC has embarked on plans to become a 75,000 MW company by 2017.
NTPC contributed 29.25% of the total electricity generated in the country
during 2006-2007 with a 20.71% share of total installed capacity of the nation
including capacity and generation of joint venture companies. By 2017, the
power generation portfolio is expected to have a diversified fuel mix with
coal based capacity of around 53,000 MW, 10,000 MW through gas, 9,000 MW
through hydro generation, about 2,000 MW from nuclear sources and around 1,000
MW from renewable energy sources.
About China Fire & Security Group, Inc.
China Fire & Security Group, Inc. (NASDAQ: CFSG), through its wholly owned
subsidiaries, Sureland Industrial Fire Safety Limited ("Sureland") and Tianjin
Tianxiao Fire Safety Equipment ("Tianxiao"), is a leading total solution
provider of industrial fire protection systems in China. Leveraging on its
proprietary technologies, China Fire is engaged primarily in the design,
manufacture, sales and maintenance services of a broad product portfolio
including detectors, controllers, and fire extinguishers. Via its nationwide
direct sales force, China Fire has built a solid client base including major
companies in iron and steel, traditional power generation, petrochemical and
nuclear power industries throughout China. China Fire has a seasoned
management team with strong focus on standards and technologies. Currently,
China Fire has 52 issued patents covering fire detection, system control and
fire extinguishing technologies. Founded in 1995, China Fire is headquartered
in Beijing with about 500 employees in more than 30 sales and project offices
throughout China. For more information about the Company, please go to
http://www.chinafiresecurity.com .
Cautionary Statement Regarding Forward Looking Information
This presentation may contain forward-looking information about China Fire
& Security Group, Inc. and its wholly owned subsidiary Sureland which are
intended to be covered by the safe harbor for forward-looking statements
provided by the Private Securities Litigation Reform Act of 1995.
Forward-looking statements are statements that are not historical facts. These
statements can be identified by the use of forward-looking terminology such as
"believe," "expect," "may," "will," "should," "project," "plan," "seek,"
"intend," or "anticipate" or the negative thereof or comparable terminology,
and include discussions of strategy, statements about industry trends and
China Fire & Security Group's future performance, operations and products.
This and other "Risk Factors" are contained in China Fire & Security Groups'
public filings with the SEC.
For more information, please contact:
China Fire & Security Group, Inc.
Shayla Suen, Investor Relations
Tel: +86-10-8441-7400
Email: ir@chinafiresecurity.com
ICR, Inc.
In China:
Michael Tieu or Bill Zima
Tel: +86-10-6599-7960 or +86-10-6599-7969
Email: michael.tieu@icrinc.com or william.zima@icrinc.com
In the U.S.:
Brian M. Prenoveau, CFA
Tel: +1-203-682-8200
Email: brian.prenoveau@icrinc.com
SOURCE China Fire & Security Group, Inc.