On July 8, Jinniu Chemical issued an announcement that it would set up a wholly-owned subsidiary Inner Mongolia Tengye Technology Co., Ltd. (subject to business registration) in Tongliao Kailu Industrial Park. The new company will have a registered capital of RMB45 million, which will house a 2 kt/a D-phenylglycine and 3 kt/a phenylacetic acid project, with a total investment estimated at around RMB127.572 million.    

According to the announcement, the project belongs to the fine chemical industry category. The initial feasibility study was conducted by Jinniu Chemical’s largest shareholder Jizhong Energy Fengfeng Group and was approved by Hebei Provincial SASAC. Jizhong Energy Group has agreed that the project would be constructed by the newly launched company of Jinniu Chemical. Project preparation has begun.