Recon Awarded New Contract to Provide Gas Flares for Oil and Gas Fields in China's Northwestern Qinghai Province

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Dec 19, 2022, 08:30 ET

BEIJING, Dec. 19, 2022 /PRNewswire/ -- Recon Technology, Ltd (NASDAQ: RCON) ("Recon" or the "Company"), a China-based independent solutions integrator in the oilfield service and environmental protection, electric power and coal chemical industries, today announced that a mainland China variable interest entity's subsidiary, Beijing BHD Petroleum Technology Co., Ltd. ("Beijing BHD") was awarded a new RMB1.31 million ($0.19 million) contract to provide gas flares for oil and gas fields operated by a leading China oil and gas company in the Northwestern Qinghai province. In total, Beijing BHD has generated RMB8.50 million ($1.22 million) in revenue from awarded bids and contracts for heating furnaces and related accessories since July 2022.

Pursuant to the recently awarded contract, the equipment to be supplied by Beijing BHD will be mainly used to manage volatile organic compounds ("VOCs"), or organic chemicals that have a high vapor pressure at room temperature. Emission of VOCs from crude oil processing are known to adversely affect both the human health and the environment. VOCs can escape during various stages of crude oil processing, from extraction to refinery; thus the crude oil industry is recognized as one of the major sources of VOC releases into the environment, which makes their control and management important.

Management Statement

Mr. Shenping Yin, Founder and CEO of Recon commented: "We are glad to report on further business progress on our operation in China following last week's announcement about new contracts gained from our long-term clients and partners. This is a recognition that serves as a testament to the challenging and inspiring work our team members do every day. We are happy to see that our efforts are proven productive and will strive to keep and grow our great work in the coming year."

Forward-Looking Statements

Recon includes "forward-looking statements" within the meaning of the federal securities laws throughout this press release. A reader can identify forward-looking statements because they are not limited to historical fact or they use words such as "scheduled," "may," "will," "could," "should," "would," "expect," "believe," "anticipate," "project," "plan," "estimate," "forecast," "goal," "objective," "committed," "intend," "continue," or "will likely result," and similar expressions that concern Recon's strategy, plans, intentions or beliefs about future occurrences or results. Forward-looking statements are subject to risks, uncertainties and other factors that may change at any time and may cause actual results to differ materially from those that Recon expected. Many of these statements are derived from Recon's operating budgets and forecasts, which are based on many detailed assumptions that Recon believes are reasonable, or are based on various assumptions about certain plans, activities or events which we expect will or may occur in the future. However, it is very difficult to predict the effect of known factors, and Recon cannot anticipate all factors that could affect actual results that may be important to an investor. All forward-looking information should be evaluated in the context of these risks, uncertainties and other factors, including those factors disclosed under "Risk Factors" in Recon's most recent Annual Report on Form 20-F and any subsequent half-year financial filings on Form 6-K filed with the Securities and Exchange Commission. All forward-looking statements are qualified in their entirety by the cautionary statements that Recon makes from time to time in its SEC filings and public communications. Recon cannot assure the reader that it will realize the results or developments Recon anticipates, or, even if substantially realized, that they will result in the consequences or affect Recon or its operations in the way Recon expects. Forward-looking statements speak only as of the date made. Recon undertakes no obligation to update or revise any forward-looking statements to reflect events or circumstances arising after the date on which they were made, except as otherwise required by law. As a result of these risks and uncertainties, readers are cautioned not to place undue reliance on any forward-looking statements included herein or that may be made elsewhere from time to time by, or on behalf of, Recon.

For more information, please contact:

Company
Ms. Liu Jia
Chief Financial Officer
Recon Technology, Ltd
Phone: +86 (10) 8494-5799
Email: [email protected]

Investor Relations
Janice Wang
Wealth Financial Services LLC
Phone: +86 13811768559
+1 628 283 9214
Email: [email protected]

SOURCE Recon Technology, Ltd