A CASHED up Premiere Eastern Energy to investigate new growth opportunities in the Chinese market.
The ASX-listed Chinese petroleum market specialist recently reported that it has entered 2017 with a strong cash and cash equivalent position of A$126 million.
The company that strong balance sheet position will allow it to take advantage of the current difficult oil price environment to seek opportunities to grow revenues.
Premiere Eastern said this will include the proposed expansion of its Chinese retail petrol station business. The company became the first ASX-listed company to own a Chinese retail petrol station in 2016 when it acquired its first two properties in the Guangzhou region. The company has previously stated that it is very bullish about the US$272.1 billion Retail Petrol Station industry in China as a major growth opportunity and that it is planning to continually build a network of retail petrol stations in Guangzhou.
The company has announced it has commenced construction work to upgrade its Longkou Storage Facility located at Longkou City in Shandong Province.
Estimated to forecast cost approximately A$9 million, the construction work will enhance the Longkou Facility and to allow it to meet, and comply with, national environmental protection standards and is expected to be completed by August 2017.