Priority Project for Cooperation from Zibo City

1.Project name

   Large-size pump for high efficient oil pipeline

2.Undertaking unit

Shandong Boshan Pump Technology Stock Co., Ltd.

3. Project content and construction condition

   According to the market survey by company, the requirement amount of various large-size oil pumps used for oil pipeline in our country after several years will reach to more than 200 sets. Medium-size oil pumps for short pipeline and small-size pumps for refineries, petroleum chemical enterprises and oil fields will reach to over 27000 sets. There is a great demand to the oil pumps in the market.

4.Construction scale and main content

   Produce 50 sets of large-size high efficient oil pumps and 2400 sets of medium-size and small-size oil pumps per year.

   Main content: continuation workshop 17190 sq.m, importing one set of design software, adding 155 sets of equipment.

5. Project total investment

   The total investment is US$15 million.

6. Means of cooperation

   Common consultation with investment party.

7. Economic benefit analysis

   After the project is put into operation, predictely incremental sales income will reach 257 million yuan, total profit 33.27 million yuan, tax 15.79 million yuan. Investment to profit margin: 16.9%; investment to profit and tax margin: 25.5%; finance interior yield: 19.1%(after tax); the return on investment: 7.1 year.(after tax, including 2 years construction)

8. Prophase Project instance

   Established in 1929, Shandong Boshan Pump Technology Stock Co., Ltd., which was named Shandong Boshan Water Pump Factory, has been engaged in water pump production for more than 70 years. The company is the backbone enterprise in pump industry. With the capacity of 30000 sets pumps, the company is one of the largest water pump manufacture enterprises in our country. At present, it possesses 48 series, 1036 varieties and 3565 specifications, as well as 11 patents except for one invention patent. It is one of the high-tech enterprises in Shandong Province and the state major high-tech enterprises.

9. Means of contact

   Contact person: Zong Li-xiang

   Tel: 0533-4184996

   Fax: 0533-4182018

   E-mail: foreigntrade@boshanpump.com.cn

   Web side:www. boshanpump.com.cn