Storage & Operations
Taiyuan Facility - Storage and Corporate Office (Click for Photos)
Longwei's headquarters are located at the fuel depot storage facility in Taiyuan City, Shanxi Province. This facility has a total of 8 large storage tanks with a capacity to store 50,000 metric tons (approximately 18 million gallons) of petroleum products. We maintain delivery and distribution platforms, including a dedicated rail spur and a tanker truck fuel depot station at this facility. We also maintain a retail outlet at this location. The Company owns and maintains all assets and land use rights at the facility.
The product sales revenue contribution from the Taiyuan facility for the fiscal years ended June 30, 2012 and 2011 were $256.3 million and $269.7 million, respectively. All of our product sales revenue earned prior to fiscal year ended June 30, 2009 were earned at this facility, which began operations in 1995.
Taiyuan Facility Operations Video (Click for Video)
Taiyuan Security Videos
December 9, 2012 (Click for Video)
December 11, 2012 (Click for Video)
Gujiao Facility - Storage & Customer Service (Click for Photos)
The Company acquired control of the Gujiao facility in January 2009 and began operations in November 2009. The Company retrofitted the existing storage tanks to expand the storage capacity and built a new office and customer service center. This facility has a total of 8 large storage tanks with a capacity to store 70,000 metric tons (approximately 25 million gallons) of petroleum products. We also have 4 tar storage tanks with a capacity of 40,000 metric tons. We maintain delivery and distribution platforms, including a dedicated rail spur and a tanker truck fuel depot station at this facility. We also maintain a retail outlet at this location. The Company owns and maintains all assets and land use rights at the facility.
The product sales revenue contribution from the Gujiao facility for the fiscal years ended June 30, 2012 and 2011 were $233.8 million and $188.3 million, respectively. The Gujiao facility is located in an industrial region, approximately 30 kilometers to the north of our Taiyuan facility. This facility more than doubled our total petroleum storage capacity as it became fully operational in January 2010. The facility is strategically located in a fast-growing industrial zone, providing a prime marketplace for Longwei's products. The area around Gujiao and Taiyuan is the energy center of coal, coke and electricity in Shanxi Province and in China. The additional facility allows Longwei to service customers quickly and efficiently throughout the central region of Shanxi Province.
Gujiao Facility Operations Video (Click for Video)
Huajie Facility - Storage & Customer Service (Click for Photos)
Longwei acquired the assets of Huajie for a total purchase price of RMB 700 million (approximately US $110.6 million). The Company closed on the asset purchase transaction with the Seller on September 26, 2012 and commenced operations in October 2012.
The Huajie assets are located in Xingyuan Township, Fanshi County (south of the main train station) in northern Shanxi Province, PRC. The assets include fuel storage tanks with a 100,000-metric-ton capacity with accessory facilities and equipment, delivery and distribution platforms, including a dedicated rail spur and a vehicle loading and unloading station. The purchase also includes a 3,000-square-meter office building and land use rights for land adjacent to the main regional rail line. The new facility is in a growing industrial and mining region, approximately 200 kilometers to the north of Taiyuan.
Huajie Facility Operations Video (Click for Video)
Huajie Facility – Commences Operations 10/11/12 (Click for Video)
Huajie Independent Appraisal Report - October 2012 (Click for Report)