According to Zhitong Finance App, Intelligent Computing Energy Construction (01751) issued an announcement. Mongolia Intelligent Computing Energy Construction Co., Ltd. (Mongolia Intelligent Computing Energy Construction), an indirect wholly-owned subsidiary of the company, recently signed a “Cargo Transportation Framework Agreement” with Qianlima Coal Mine Co., Ltd. (Qianlima Coal Mine). In the same period, Mongolia Intelligent Computing Energy Construction and Hainan Yiliqi Co., Ltd. (Hainan Yiliqi) signed a “Joint Venture Agreement for Electric Heavy Truck Transportation Project” as a supporting arrangement for the transportation framework agreement.
According to the transportation framework agreement, Mongolian Smart Computing Energy Construction will provide electric heavy truck coal transportation services for the Qianlima open-pit coal mine, and it is proposed that the Mongolian joint venture established under the joint venture agreement will undertake the actual transportation business. The main arrangements are as follows:
Cooperation period and scope of transportation: The cooperation period is 20 years. The transportation route is from the Qianlima open-pit coal mine area to the designated yard in Zamen-Ude. The transportation distance is about 380 kilometers. The transportation goods are mainly refined coal after washing.
Capacity target: The first phase of the plan forms an annual coal export capacity of 1 million tons. The goal is to complete production within six months from the establishment of the joint venture and the formal entry into force of the agreement.
Transportation arrangements: On the premise that the joint venture has the corresponding capacity, priority will be given to entrusting the transportation of coal from the mining area to Zamen-Ude to the joint venture company during the cooperation period; without the written consent of the carrier, the shipper shall not entrust this section of transportation to a third party.
Freight rate and settlement: The freight rate during the payback period of the project was RMB 160 per ton, adjusted to RMB 120 per ton after the payback. All prices include tax. Market freight rates are not adjusted when they fluctuate within plus or minus 20%. When they exceed this margin or when there are major changes in tax, port and road policies, the two parties can negotiate to adjust the fare. Shipping charges are calculated monthly based on actual shipping volume.
Mongolian Intelligent Computing Energy Construction and Hainan Yili, the owner of the Qianlima coal mine rights holder, plan to jointly establish a joint venture and invest simultaneously according to the equity ratio to invest in the procurement of electric heavy trucks, charging and switching stations, and supporting projects for the first phase of the project. The board of directors of the joint venture has three directors, two of whom are appointed by the group; the general manager is appointed by the group, and the supervisor and financial director are appointed by the mining authority. Net profit is distributed in proportion to paid-in capital contributions.
The joint venture plans to build charging and switching facilities according to fleet operation needs, and prioritize the use of clean energy such as wind power and solar energy in Mongolia as a source of electricity. The construction scale, investment amount and construction schedule of the relevant charging and switching facilities and wind and solar microgrid have yet to be further reviewed by the board of directors of the joint venture company, and the official implementation documents shall prevail.
The board of directors believes that the above cooperation will help the Group expand mining transportation services in Mongolia, combine the operation of electric heavy trucks with the construction of supporting energy facilities, build new wind power storage and charging stations, set up green power microgrids, apply green electricity to logistics and transportation, and cultivate potential business growth points for the group.
Furthermore, on the basis of project promotion, the Group plans to explore opportunities to carry out electric heavy truck transportation, charging and switching and related operation services in other mining areas in Mongolia, and to study and expand open pit mining, new energy supply and related engineering services in mining areas. The above business development is subject to the actual progress of the project and market conditions.