Securities code: Ningxia Xinri Hengli Steel Wire Rope Co.Ltd(600165) stock abbreviation: Ningxia Xinri Hengli Steel Wire Rope Co.Ltd(600165) No.: pro 2022007 Ningxia Xinri Hengli Steel Wire Rope Co.Ltd(600165)
About 50000 tons / month, the cinnamic acid project has passed the technical acceptance
Announcement of reaching the intended use status
The board of directors and all directors of the company guarantee that there are no false records, misleading statements or major omissions in the contents of this announcement, and bear individual and joint liabilities for the authenticity, accuracy and completeness of its contents. \uf020
1、 Information disclosure in the early stage of the project \uf020
Ningxia Xinri Hengli Steel Wire Rope Co.Ltd(600165) (hereinafter referred to as “the company”) disclosed the announcement on establishing a subsidiary to build a 50000 T / a lauric acid project on April 26, 2017. For details, see announcement Lin 2017022. The company disclosed the announcement of the company on the trial production of 50000 T / a lauric acid project on January 4, 2021. For details, see Lin 2021001 announcement. The company disclosed the company’s announcement on the progress of 50000 T / a lauric acid project on September 7, 2021 and October 28, 2021 respectively. See Lin Announcement No. 2021035 and 2021039 for details. \uf020
2、 Acceptance and conversion of the project
(I) technical acceptance of the project
The company’s 50000 ton / month lauric acid project (hereinafter referred to as lauric acid project) has met the acceptance conditions by continuously improving the production links and optimizing the process flow. The company and the Institute of Microbiology, Chinese Academy of Sciences jointly set up an acceptance team to organize the project acceptance on March 31, 2022. The acceptance team reviewed and verified the project site and products item by item according to the technology transfer contract signed between the company and the Institute of Microbiology, Chinese Academy of Sciences, which was signed and confirmed by both parties, The technical indicators of the company’s lauric acid project have reached the relevant provisions of the technology transfer contract, and many indicators are significantly better than the contract indicators. It is confirmed that the technical acceptance has been completed.
(II) transfer of project to fixed assets
In order to truly reflect the financial situation and asset value of the company, According to the relevant provisions of the technology transfer contract signed between the company and the Institute of Microbiology of the Chinese Academy of Sciences and Article 4 of Chapter II of the accounting standards for Business Enterprises No. 4 – fixed assets, “fixed assets can be recognized only if they meet the following conditions at the same time: 1. The economic benefits related to the fixed assets are likely to flow into the enterprise; 2. The cost of the fixed assets can be measured reliably.” Provisions of the. The company’s lauric acid project has reached the expected serviceable state, which can generate a certain inflow of economic benefits. The relevant costs and benefits can be reliably measured and meet the conditions for conversion to fixed assets. The company carries forward the used equipment and facilities of the lauric acid project from “construction in progress” to “fixed assets” for accounting.
3、 Impact on the company
The project has passed the technical acceptance and been converted to fixed assets, meeting the requirements of national industrial policy support, assessment and acceptance standards and accounting standards, marking the full completion of the company’s lauric acid project. Laux dicarboxylic acid can be widely used in nylon, hot-melt adhesives, flavors and fragrances, cutting fluids, lubricants and other industries. The company vigorously develops microbiological Laux dicarboxylic acid project in line with the company’s long-term strategic development plan. Its technology development, production and marketing promotion has opened up a new growth point for the company’s development, increased its profitability and enhanced its ability to resist risks, which is expected to have a positive impact on the company’s future revenues and profits. Improving the development quality and core competitiveness of the company is in line with the interests of the company and all shareholders.
4、 Risk tips
Lauric acid project has risks such as industrial technological progress and intensified market competition. In the face of uncertainty in the future market, the actual operation may be affected by relevant national policies and changes in the market environment. The income brought by the project depends on the future production and operation and market conditions, and the product sales and performance realization are still uncertain. Please pay attention to the investment risks.
Ningxia Xinri Hengli Steel Wire Rope Co.Ltd(600165)
Board of directors
April 1, 2002
