HANS GP HLDGS (00554) announced that the company has received government approval for the renovation project of Dongzhou International Terminal (Dongzhou Petrochemical Terminal) and related disclosable transactions. The renovation project officially commenced construction on November 19, 2025, and is expected to be completed by the end of June 2026. Upon completion, it is projected to generate higher annual revenue for the company.
In June 2025, Dongzhou International Petrochemical Storage Co., Ltd. (Dongzhou International), a subsidiary of the company, obtained approval from the Dongguan Development and Reform Bureau for the aforementioned renovation project. The project is part of the second-phase construction of Dongzhou Petrochemical Terminal and involves upgrading the existing 50,000-ton oil and gas berth into a dedicated liquefied hydrocarbon berth. The upgraded facility will handle low-temperature propane, butane, ethylene, and propylene, as well as ambient-temperature propane, butane, propylene, and liquefied petroleum gas, with an annual designed throughput capacity of 2.02 million tons.
Given the scarcity of liquefied hydrocarbon terminals in the Greater Bay Area and strong market demand, the handling fees for such terminals are significantly higher than those for oil and liquid chemical products. The completion of this project is expected to enhance Dongzhou International’s financial performance.
Concurrently with the project approval, Dongzhou International signed long-term terminal handling service contracts with clients for liquefied hydrocarbons. The contract revenue is sufficient to cover the project costs and will also generate additional income for Dongzhou International. Since Dongzhou International still retains an 80,000-ton oil and gas berth, the existing operations for oil and liquid chemical products will remain unaffected by the renovation.
The Board believes that this project demonstrates the Group’s proactive approach in capturing new business opportunities arising from the rapid growth of the liquefied hydrocarbon sector. It will diversify Dongzhou International’s operations, enhance competitiveness, and further solidify the Group’s leading position in the energy logistics industry.