China Resources and Transportation Group Ltd (CRTG) has entered into framework agreements with PetroChina Guangdong. As part of the agreement, the company has obtained first rights for the installation and operation of electric vehicle charging and compressed natural gas and/or LNG dispensing stations in over 1100 PetroChina Guangdong gas stations in Guangdong province, China.As part of framework agreements, CRTG will select locations and construct charging and dispensing stations in stages, thereby obtaining the right to operate them. Revenue will be determined with PetroChina Guangdong in accordance with the individual situation of each charging or dispensing station, the company said.
The relevant arrangements will apply for a period of 20 years from the date of the framework agreements.
Better effect, lower cost
Mr. Cao Zhong, Chairman of CRTG, said: "We are very pleased to cooperate and sign framework agreement with PetroChina Guangdong. PetroChina Guangdong owns or has invested in over 1100 gas stations in Guangdong, with the total annual gasoline and diesel sales reaching 6 million t. By installing and operating electric vehicle charging stations and gas stations based on existing network of petrol stations, we can achieve better effect with lower construction cost, higher efficiency and greater profits.
“Under the agreement, the company has obtained first rights for the installation and operation of electric vehicle charging and compressed natural gas and/or LNG dispensing stations. This is expected to bring about considerable returns to [the company], and it also indicates that [the company’s] future business development will extend to new areas, therefore delivering greater values to investors."
Adapted from press release by Ted Monroe
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