Fujian Zhongde Technology Co., Ltd., a wholly-owned subsidiary of China Clean Energy Inc. (China Clean Energy), has received a credit line for around RMB21 million (around $3 million) from Fuzhou City Commercial Bank (FCCB). China Clean Energy plans to use this credit facility partly to complete the new Jiangyin biodiesel plant and partly to fund the working capital needs linked with the start up of production for biodiesel and specialty chemicals.
The company has started installation of equipment in the new plant. It also expects to start operations of the plant in three months’ time.
‘We are very pleased to secure this line of credit, particularly at a time when many businesses are being impacted by tight credit conditions,’ said Tai- ming Ou, chairman and chief executive officer of the company. ‘This line of credit strengthens our liquidity position as we prepare to ramp-up our new plant, and underscores the confidence shown by our local bank in the soundness of our business plans.’