Strategic Cooperation between CIMC Enric and Norwegian Hexagon to Expand China's Hydrogen Storage and Transportation Equipment Market

CIMC Enric and Hexagon signed the Letter of Intent for Strategic Cooperation online through "Cloud Signing"

CIMC Enric (3899, HK), a listed energy and food equipment company under CIMC, announced today that it signed the "Letter of Intent for Strategic Cooperation" online with Hexagon Composites ASA (hereinafter referred to as "Hexagon"), a Norwegian listed company through "Cloud Signing". According to the Letter of Intent, the two sides will complement each other's advantages and combine with each other to jointly expand China's hydrogen storage and transportation equipment market and contribute positive forces to the transformation and upgrading of clean energy in China and Southeast Asia.

It is reported that Hexagon is the world's leading supplier of comprehensive solutions for Type 4 high-pressure gas cylinders and clean fuel storage and transportation systems. It has rich international businesses in Norway, Germany, the United States and Canada, and has sales representative offices in the world's most important clean energy markets such as Europe, Asia and America. CIMC Enric, as a well-known enterprise based in the energy, chemical and food equipment industries, provides customers with key equipment, engineering services and system solutions for transportation, storage and processing. Its business covers more than 100 countries and regions in the world, and it has more than 20 manufacturing bases and global leading research and development centers worldwide. The two sides will complement each other's advantages and jointly develop China's clean energy storage and transportation market.

Yang Xiaohu, executive director and general manager of CIMC Enric, introduced that CIMC Enric has rich experience in industrial layout and excellent industrial performance in clean energy. The Company will continue to adhere to the strategies of "connotation optimization, capacity integration and business synergetic development" to consolidate and continuously expand its comprehensive capabilities in key equipment manufacturing, engineering services and solution provision in the fields of energy storage, transportation and terminal applications.

"Now, hydrogen energy has gradually developed into one of the important clean energy forms in the world, and will also become one of the efficient solutions for road traffic storage and transportation in China and even in the world. Through the strategic alliance between CIMC Enric and Hexagon, the world's leading Type 4 hydrogen storage and transportation equipment will be introduced into the Chinese market soon, setting a new benchmark with technology, safety and reliability as the core, and promoting the wide application of this efficient and clean energy storage and transportation equipment in the transportation field." Yang Xiaohu added.

Hexagon CEO Jon Erik Engeset said that China would soon become the world's largest hydrogen fuel vehicles market and distribution market. "We hope to become partners with leading enterprises in China's clean energy industry and lead the development of hydrogen energy storage and transportation equipment industry. The two sides will jointly become the largest suppliers of comprehensive solutions for compressed hydrogen storage, transportation and distribution in China and even Southeast Asia."

The two sides also revealed that they plan to sign a joint venture agreement by the third quarter of 2020. The framework of the joint venture agreement will allow the two sides to integrate their contributions to the business and enhance business synergy. The new joint venture is expected to complete trial production as early as 2021.