BEIJING, March 2,
2023 /PRNewswire/ -- Recon Technology, Ltd
(NASDAQ: RCON) ("Recon" or the "Company"), a China-based independent solutions integrator
in the oilfield service and environmental protection, electric
power and coal chemical industries, today announced that it has
formulated preliminary plans to expand into the plastics chemical
recycling business. Recon also attended the 27th China
Plastics Recycling Conference and Exhibition held on February 28 at Dongguan City of Guangdong
Province to explore cutting-edge technologies that work to achieve
circular economy goals in eliminating waste and pollution, keeping
products and materials in continuous use, and regenerating natural
systems. In contrast to traditional linear economies, the circular
economy is important in addressing climate change, combating
biodiversity loss, and preserving scarce resources.
Creating a circular economy is an essential sustainability
target for stakeholders across the petrochemicals plastic value
chain. Traditional mechanical recycling methods are necessary, but
such methods are more likely to achieve a downcycling of plastics.
Chemical recycling can create new plastics, save the consumption of
crude oil, improve the reuse of waste plastics, and truly achieve
the full life-cycle cycle of plastics which is a vital contribution
to reducing plastic pollution. How to achieve stable production at
low cost has been a key breakthrough that the global chemical
industry continues to explore. The business segment has since
attracted the attention and participation of many consumer industry
giants, who have realistic requirements on increasing the use of
recycled plastics, which means the development of the sector is
rapid and the market potential is huge. The segment also attracts
investments, planned expansions and real-world product launches
into the field that all aim to accelerate its scale and application
frequency.
Relevant data shows that the market
space for chemical recycling of waste plastics is huge, with an
annual new market potential estimated at tens of billions of
dollars and a market potential of hundreds of billion dollars to
dispose and reuse of plastics produced and previously landfilled.
Chemical recycling of waste plastics is expected to become a new
growth area and a driving force for petrochemical and sanitation
solid waste industries in the carbon neutral era due to its
superior plastic waste treatment, carbon reduction and crude oil
substitution capabilities.
Recon decides to enter into this field to catch up with the
opportunities presented by technologic innovation as well as on the
backdrop of rising price of petroleum as raw material for plastics,
increasing difficulties in exploration, and most importantly a
deteriorating climate due partially to plastic pollution. The
Company is planning to engage in sector of plastic chemical
recycling, on the one hand, which fulfills its own corporate
responsibility of pursuing the goal of environment protection, and
on the other hand, which also gives full play to make use of its
industry and technical know-how and advantages. The Company will
provide further update on Recon's initiative when appropriate in
the short-term.
Mr. Shenping Yin, Founder and CEO
of Recon commented: "We are excited to announce Recon's new
business initiative which is a natural extension of our existing
business lines in the field of chemical recycling, and also a key
step in fulfilling our commitment to our shareholders to transform
the Company's operating cash flow to enhance our corporate value.
Brands and consumers are fueling
increasing demand for recycled polymers across many markets. The
mechanically recycled polymer market is currently under-developed,
with global capacity sitting at less than 10% for major polymers,
according to ICIS("Independent Commodity Intelligence Services").
Chemical recycling is an area of growing interest and investment
worldwide of sustainability as it could bridge the gap in supply of
recycling materials and is probably the most effective and
sustainable way to reach scale for food-grade packaging
recycling. China's plastic
recycling efforts over the past decade have helped reduce crude oil
consumption by about 510 million tons and prevented 61.2 million
tons of carbon dioxide emissions . We believe that now is a
strategic time to enter the circular economy and chemical recycling
industry. Over the years, we have also gained great industry
know-how and aim to make fullest use of our skillset to contribute
to the creation of a greener and circular economy that serves for
the motto of our corporate governance."
About Recon Technology, Ltd ("RCON")
Recon Technology, Ltd (NASDAQ: RCON) is the
People's Republic of
China's first NASDAQ-listed non-state owned oil and gas
field service company. Recon supplies China's largest oil
exploration companies, Sinopec (NYSE: SNP) and The China
National Petroleum Corporation ("CNPC"), with advanced automated
technologies, efficient gathering and transportation equipment and
reservoir stimulation measure for increasing petroleum extraction
levels, reducing impurities and lowering production costs. Through
the years, RCON has taken leading positions within several
segmented markets of the oil and gas filed service industry. RCON
also has developed stable long-term cooperation relationship with
its major clients. For additional information please
visit: http://www.recon.cn/.
Forward-Looking Statements
Recon includes "forward-looking statements" within the meaning
of the federal securities laws throughout this press release. A
reader can identify forward-looking statements because they are not
limited to historical fact or they use words such as "scheduled,"
"may," "will," "could," "should," "would," "expect," "believe,"
"anticipate," "project," "plan," "estimate," "forecast," "goal,"
"objective," "committed," "intend," "continue," or "will likely
result," and similar expressions that concern Recon's strategy,
plans, intentions or beliefs about future occurrences or results.
Forward-looking statements are subject to risks, uncertainties and
other factors that may change at any time and may cause actual
results to differ materially from those that Recon expected. Many
of these statements are derived from Recon's operating budgets and
forecasts, which are based on many detailed assumptions that Recon
believes are reasonable, or are based on various assumptions about
certain plans, activities or events which we expect will or may
occur in the future. However, it is very difficult to predict the
effect of known factors, and Recon cannot anticipate all factors
that could affect actual results that may be important to an
investor. All forward-looking information should be evaluated in
the context of these risks, uncertainties and other factors,
including those factors disclosed under "Risk Factors" in Recon's
most recent Annual Report on Form 20-F and any subsequent half-year
financial filings on Form 6-K filed with the Securities and
Exchange Commission. All forward-looking statements are qualified
in their entirety by the cautionary statements that Recon makes
from time to time in its SEC filings and public communications.
Recon cannot assure the reader that it will realize the results or
developments Recon anticipates, or, even if substantially realized,
that they will result in the consequences or affect Recon or its
operations in the way Recon expects. Forward-looking statements
speak only as of the date made. Recon undertakes no obligation to
update or revise any forward-looking statements to reflect events
or circumstances arising after the date on which they were made,
except as otherwise required by law. As a result of these risks and
uncertainties, readers are cautioned not to place undue reliance on
any forward-looking statements included herein or that may be made
elsewhere from time to time by, or on behalf of, Recon.
For more information, please contact:
Company
Ms. Liu Jia
Chief Financial Officer
Recon Technology, Ltd
Phone: +86 (10) 8494-5799
Email: info@recon.cn
Investor Relations
Janice Wang
Wealth Financial Services LLC
Phone: +86 13811768559
+1 628 283 9214
Email: services@wealthfsllc.com
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SOURCE Recon Technology, Ltd