Surplus Full Limited, an indirect wholly-owned subsidiary of Hong Kong-based Titan Petrochemicals Group Limited, has entered into a joint venture agreement with Yunnan Investment Group in China. Yunnan Investment Group will own 51% of the joint venture company, Yunnan Yuntou Zhenrong Energy Co., Ltd, while Surplus Full Limited will own 49%. The total registered capital of the joint venture company is RMB10 million (USD1.46 million).
The primary objective of the joint venture is to promote a 5 million-tonne oil refinery project in Myanmar, which has recently opened up foreign direct investment in this sector.
Titan Petrochemicals Group is principally engaged in the business of construction and repair of ships, the construction, repair, conversion and upgrading of oil rigs and FPSO, FSO, FSRU and FLNG, upstream and downstream oil and gas business and trading of petrochemicals.
The company has been looking for business opportunities to broaden the Group’s income stream. The JV is in line with its plan to diversify the downstream oil business of the Group.
Yunnan Investment Group is a state-owned enterprise established in the People’s Republic of China. Established in 2012, Yunnan Investment Group is the investment vehicle and financing platform of the Yunnan Provincial Government. It is wholly owned and controlled by the State-owned Assets Supervision and Administration Commission of Yunnan Province. As of the end of 2016, the consolidated total assets of Yunnan Investment Group is approximately RMB 198.9 billion (USD28.96 million), and its investments span over energy, railways, finance, information, tourism, agriculture, forestry and health care.