AFX Europe (Focus): Shell China units acquire 75 pct stake in Shanghai asphalt plant: “Shell China Holding and Shell (China) acquired the 75 pct stake from Australia's Pioneer Road Services Pty Ltd, which is 50 pct owned by Shell Australia.” (ShellNews.net) 17 Nov 04
Nov 17, 2004
BEIJING (AFX) - Royal Dutch/Shell Group said two units - Shell China Holding BV and Shell (China) Ltd - have jointly acquired a 75 pct stake in Shanghai Pioneer Road Service Co Ltd.
Shell China Holding and Shell (China) acquired the 75 pct stake from Australia's Pioneer Road Services Pty Ltd, which is 50 pct owned by Shell Australia.
Shell did not say how much the two units paid for the stake.
Pioneer Road Services is engaged in paving and road maintenance, while Shanghai Pioneer Road Service manufactures and supplies asphalt mix products and provides technical services to Shanghai customers.
The acquisition will expand Shell's bitumen activities in China, according to the statement.
"This move will better meet the needs of the local government, contractors and asset owners," said Egbert Veldman, who will take over as CEO of Shell's new global bitumen business on Jan 1.
Shell now has four bitumen depots in China in Zhejiang in eastern China, in Tianjin and in the southern provinces of Jiangsu and Fujian.
Shell also plans to build a fifth depot in Qinzhou in the Guangxi Zhuang Autonomous Region before the end of this year.
Since the first depot was opened in 1997, Shell has sold more than 2 mln tons of bitumen in the mainland.