China Runji Cement, Inc. -- (CRJI.OB)

Founded in 2003, China Runji Cement, Inc. is one of the leading players in cement production and distribution. The Company's certified manufacturing facilities containing cutting-edge technology and advanced equipment and are capable of producing as much as 2 million tons of cement annually. Furthermore, the Company's solid distribution network and customer-orientated services have earned Runji's products a superior reputation among its customers. Headquartered in Anhui Province, the Company's markets include major local cities such as Hefei, Nanjing, and Liu'an.

 

   

 

China Runji Cement Inc. (the ¡°Company¡±, OTCBB: CRJI) was incorporated on August 30, 2004 under the laws of the State of Delaware. On October 9, 2007, the Company entered into a Share Exchange Agreement with Ren Ji Cement Investment Company Limited (¡°Ren Ji¡±), a British Virgin Islands corporation and owner of 100% of the share capital of Ren Ji Cement Company Limited; Ren Ji Cement Company Limited, a corporation organized and existing under the laws of the Hong Kong SAR of the People¡¯s Republic of China (¡°HK Renji¡±) and owner of 100% of the share capital of Anhui Province Runji Cement Co., Ltd. (¡°Anhui Runji¡±), a corporation organized under the laws of the People¡¯s Republic of China. After consummating the Share Exchange transaction, the Company started to engage in the production and distribution of cement products in China through Anhui Runji.

Anhui Province Runji Cement Co., Limited was established in December 2003 with registered capital of 60 million RMB. The Company started production in October 2005 and specializes in cement production and sales. The main cement varieties produced are ordinary silicate cement P.O52.5, P.O42.5, P.O32.5 and P.C32.5. At present, the Company has one cement production line and one cement clinker production line. The production capacity of each line amounts to 2,500 tons per day and one million tons per year.

The Company obtained its production license in 2005. Presently, the Company mainly focuses production on Runji Brand cement P.II52.5, P.O42.5, P.O32.5 P.C32.5 as well as cement clinker. P.II52.5 is a high grade, high strength cement that is made for Anhui and Jiangsu Provinces and the region north of the Changjiang River and is used in large infrastructure projects. The cement clinker is the semi-finished ingredient of cement, which is able to be processed into different categories of cement products.

The Company produces cement through the advanced dry production process, a kind of energy efficient and environmentally friendly cement production technique, as only 60% of the total output in the region is produced by dry process. The Company has a rigorous quality control system and received ISO9001 quality system certification and international accreditation in March 2006. In addition, our Company passed the national GB/T 19001-2000 standard authentication. The Company¡¯s pollution control exceeds the national standard and received ¡°green building material¡± certification in 2007.

The Company has an abundant supply of high quality raw materials. The Company has obtained a 30 year mining right for 87 million tons of limestone reserve, which can supply two cement clinker production lines with a daily output of 2,500 tons for 40 years.
The Company currently has a staff of approximately 319 employees in the following ten departments: Manufacture Control Department, Raw Material Plant, Burning Plant, Ready Product Plant, Machine Repairing Plant, Electronic Department, Laboratory, Financial Department, Supply and Marketing Department, and the General Administrative Offices. Included in the 319 employees are 30 senior managers, one general manager, three deputy general managers and one chief financial officer. Of the 319 employees, 274 are full time and 45 are part-time workers. Anhui Runji believes it is in compliance with local prevailing wage, contractor licensing and insurance regulations, and has good relations with its employees.

Presently, the Company is one of the largest cement producers and distributors in the north Changjiang region of Anhui, with a 12% market share within a 100 mile radius of its facility. The Company is the only producer of P.II52.5 cement (the highest quality cement) in the north Changjiang region of Anhui and Jiangsu Provinces, with 70% market share within a 100 miles radius of its facility. the Company¡¯s main market is in Hefei and Pukou (Nanjing), with total sales of 600,000 tons in the area, representing 60% of our total annual production of one million tons. An additional 30% of total annual production is sold in the cities surrounding Hefei and Pukou, with another 10% being sold in Liu¡¯an and Dingyuan in Anhui and Jiangsu.

At present, the Company has one cement production line and one cement clinker production line. The production capacity of each line amounts to 2,500 tons per day and one million tons per year. The Company plan to construct a third production line within two years, which will have a daily cement clinker production capacity of 5,000 tons or 1.5 million tons annually, respectively. Upon completion, our total cement production capacity will reach 3.6 million tons per year, and cement clinker production will reach 3 million tons per year, controlling 30% of the market share within a 100 miles radius of our production facility.

 

Extensive resources at hand

 Their limestone reserve contains 53% of calcium oxide which enables the Company to produce high quality cement. The Company has obtained a 30 year mining right for 87 million tons of limestone reserve, which can supply two cement clinker production lines with a daily output of 2,500 tons for 40 years.

 

They produce high quality cement

Their main cement varieties produced are ordinary silicate cement P.O52.5, P.O42.5, P.O32.5 and P.C32.5. P.II52.5 is a high grade, high strength cement that is extensively used for large scale infrastructure projects. The Company has a rigorous quality control system and received ISO9001 quality system certification and international accreditation in March 2006. In addition Runji has passed national GB/T 19001-2000 standard authentication.

 

Their production capacity

At present, the Company has one cement production line and one cement clinker production line. The production capacity of each line amounts to 2,500 tons per day and one million tons per year.

 

Mission and Vision

Their vision is to become a cement manufacturer that is competitive on the global stage. Their strategies for achieving this goal include:

Focus on rapid expansion of our facilities.
By 2011, Runji plans to complete three additional cement clinker production lines: one with daily production of 2500 tons, and two additional production lines with daily production of 5000 tons of cement clinkers.

Focus on energy conservation.
They are currently planning to build a waste heat-powered generator which will produce 40 kilowatts per hour. This will potentially save over 15 million RMB for one 2,500 ton production line, greatly improving our margins.

 Enhance their corporate management team; enterprise culture, and employee work force.

　

Products

A brief explanation of each type of cement and its uses follows:


PII52.5
have specialty in high strength and good adaptability. Mainly used in super high intensive concrete on huge project.


PO42.5
have specialty in high strength and fast harden. Mainly used in normal concrete project, such as high building, motorway etc.


PO32.5
have low heat of hydration and good durability. Mainly used in low intensive concrete project.


PC32.5
have low heat of hydration and high mineral content. Mainly used in low intensive concrete project.

 

Competitive Strengths


Leading Market Position ¨C One of the largest cement producers and distributors in the north of Changjiang region of Anhui, with 12% market share within a 100 miles radius of its facility.

High Quality Product ¨C The only producer of the highest grade PII52.5 cement in the region, with 70% market share. Products are ISO9001 certified and have 100% passing rate.

Reputable Brand Name ¨C ¡°Runji¡± brand was awarded the ¡°local famous brand¡±.

Advanced Dry Production Process ¨C Energy efficient and environmental friendly. Only 60% of the total output in the region is produced by dry process. Building a waste heat generator to become more energy efficient.

Environmentally Friendly Operations ¨C Pollution control exceeds the national standard. Received ¡°green building material¡± certification.

Abundant Supply of High Quality Raw Materials ¨C Obtained a 30 years mining right for 87 million tons of limestone reserve, which can supply two daily output of 2,500 tons cement clinkers production lines for 40 years.

Favorable Market Supply-Demand Condition ¨C Increase in fixed asset investment along with acceleration in eliminating old capacity drive the growth of cement demand. Long term cement price is on a upward trend.

Strong Financial Growth and Margin Expansion ¨C Revenue and Net Income are expected to grow at CAGR of 37.36% and 39.93% respectively between 2007 and 2010, while exhibiting strong margin expansion qoq and yoy.

Planning Move to AMEX or NASDAQ SM in 2009 ¨C The management plans to move to AMEX or NASDAQ SM in 2009 for better liquidity and platform.

 

Advanced Production Process

Utilize the advanced modern dry cement production process, which enables high quality production, consumes less energy and is more environmental friendly compared with the traditional wet production process.

Production equipments are partially imported from Germany. Also uses Siemens DCS (Distributed Computer Control System) auto control system for measuring ingredients and controlling production flow.

Lead to low costs and consistent high quality. Products have 100% passing rate.

 

Enviromental Freindly Production

Regulatory Environment

Cement is a polluting and heavy energy‐consumption industry.

Old capacity (wet production) consumes 2x more energy, emits 2x more waste gas and SO2 and releases 3x more dust than the new dry production.

The National Development and Reform Commission (NDRC) requires the elimination of 280 million tons of old capacities (wet production capacity) during the "11th Five Year" period, creating substantial growth opportunity for dry capacity.

 

Runji’s Solution

Runji has installed highly efficient dust collectors, noise reducing equipment and waste water treatment equipment that complies with the

most rigorous Chinese environmental regulations.

Runji is able to constrain emission at 30mg per cubic meter, much lower than the national average of 50mg per cubic meter.

Runji is currently constructing a waste heat powered generator to offset electric costs and reduce reliance on outside power sources.

 Total investment for the project is $10 million and is expected to save about $4.6 million per year in electricity costs after the completion of the project by January 2009, significantly improving margins.

 

Abundant, High Quality Raw Material Reserves

Limestone is the most basic ingredient in cement production.

Runji owns a 30 years mining right for 87 million tons of limestone reserve, which can supply two daily output of 2,500 tons cement production lines for 40 years – significantly reduce the risk of raw material supply disruption and price fluctuation.

In the process of obtaining mining right for mines reserve over 100 million tons of limestone, used for the 3rd production lines .

All mines are conveniently located just 300-500 meters from the production site – significantly reduce transportation cost.

It’s limestone reserve contains over 53% calcium oxide, enabling production of superior quality cement such as the high grade PII52.5 cement.

　

Management Team

Mr. Shouren Zhao, Director & Chief Executive Officer ¨C Mr. Zhao began his career at Zhejiang Zhuji Architecture and Construction Co., Ltd. in 1980, and was appointed as the vice general manager of the company and the chief officer in the Shanghai representative office in 1987. From 1992 to 1996, Mr. Zhao established Dajiangnan Cement Plant in Hainan province where he was the general manager. From 1997 to 2002, Mr. Zhao founded Jiangxi Hengtong Real Estate Development Co., Ltd. and Nanjing Jinbo Real Estate Development Co., Ltd., where he was general manager. Since 2003, Mr. Zhao has also established Nanjing Hongren Real Estate Development Co., Ltd. and Anhui Runji Cement Co., Ltd. Mr. Zhao holds a BA from Zhejiang Architecture Material College.

 

Ms. Xiangfei Zeng, Chief Financial Officer ¨CMs. Zeng has over 15 years of financial and accounting experience. Before joining Runji, Ms. Zeng had been the financial controller for China World Trade Corporation since November 2004. From 2002 to 2004, Ms. Zeng was the CFO of Fenet Software Co., Ltd. and from 1999 to 2002, Ms. Zeng worked as a financial analysis manager at Zhuhai Oplink Communication Inc. From 1993 to 1999, Mr. Zeng worked as an accountant and financial manager in a China listed company. Ms. Zeng holds a bachelor's degree in Economics from Sun Yat-Sen University and is a China Certified Accountant.

 

Mr. Xuanjun Yang, Director - Mr. Yang is a Senior Engineer with over 30 years of experience in construction, engineering and real estate development. From 1973 to 1980, Mr. Yang performed engineering work for Zhejiang Zhuji Wuxie Handicraft Community. From 1980 to 1993, he was the team leader of Construction Brigade in Zhuji Third Building Engineering Co., Ltd. From 1993 to 1997, Mr. Yang was the manager of Zhuji City Caota Supply and Marketing Cooperative Building Engineering Company. From 1997 to 2003, Mr. Yang was an investor in Jiangxi Hengtong Real Estate Development Co., Ltd. and Nanjing Jinbo Real Estate Development Co., Ltd. Since 2003, Mr. Zhao has been a founding investor Nanjing Hongren Real Estate Development Co., Ltd. and Anhui Province Runji Cement Co., Ltd.

 

Mr. Liming Bi, Director - From 1989 to 1992, Mr. Bi worked at Zhejiang Zhuji Cement Plant where he was the laboratory director and raw materials workshop director. In 1993, he joined Zhuji Bafang Cement Plant where he was in charge of cement craftwork design. In 1993 Mr. Bi joined Hainan Tongshen Dajiangnan Cement Plant where he was responsible for the laboratory and production. From 2002 to 2003, Mr. Bi held the position of technology manager in Zhejiang Zhaoshan Cement Plant and since 2003 has been the vice general manager in charge of production at Anhui Province Runji Cement Co., Ltd. Mr. Bi holds a BS from Shanghai University of Science & Technology.

 

Mr. Conrad Yip, Vice President - Mr. Yip has more than 15 years experience in Chinese and Hong Kong legal services, financial media, & corporate governance. He was a senior management of Asian Information Resources Holdings Limited, Hong Kong GEM-listed company in charge of venture capital businesses. He obtained a Master degree in Law in Peking University and a Bachelor of Science degree in the Chinese University of Hong Kong.

 

Mr. Rao Jiangfeng, Assistant to President - Mr. Rao has over 20 years of experience in the fields of financing consultant and business area. He was the Director & General Manager of China Fruit Incorporation before join us. Mr. Rao holds the Bachelor degree of Tongji University and Acquired MBA degree in Jiangxi University of Finance and Economics. He also holds the license of Senior Economist and CPA.

 

Corporate History

December 2003: Anhui Runji Cement Co., Ltd., China Runji Cement¡¯s wholly owned subsidiary was founded in Hanshan County, Anhui province, PRC with registered capital of RMB 60 million.

November 2005: Runji¡¯s first production line of cement clinkers is put into operation with daily output of 2,500 tons or one million tons of cement per year.

May 2007: The Company registered its ¡®Runji¡¯ product logo and the Company¡¯s management system passed national GB/T 19001-2000 and ISO 9001:2000 standard authentications.

September 2007: the Company reached a shareholding merger and acquisition agreement with Hong Kong Renji Cement Co., Ltd. (¡°Renji¡±), through which the Company became a wholly owned subsidiary of Hong Kong Renji. Hong Kong Renji is the wholly owned subsidiary of Renji Cement Investment Co., Ltd., a BVI company.

October 2007: Renji Cement reached a share exchange agreement with FitMedia, a Delaware company listed on the OTC bulletin board. According to the share exchange agreement, FitMedia issues 55,000,000 shares of common stock to the shareholder of Renji Cement for exchange 100% of the shares of Renji Cement. Pursuant to this, Runji became an indirect wholly owned subsidiary of FitMedia. Subsequently, FitMedia¡¯s name was changed to China Runji China, Inc. (OTCBB: CRJI).

August 2007: the Company started construction on its second cement production line with a daily production capacity of 2,500 tons, or one million tons per year. It is estimated that the second cement production line will be completed in August 2008 and put into operation in October 2008. At this time, Runji¡¯s annual cement production capacity will be over two million tons.

 

News

Tue, Jan 20, 2009

 

Tue, Jan 13, 2009

 

Monday, January 12, 2009

 

Monday, January 05, 2009

 

Thursday, December 04, 2008

 

Wednesday, September 17, 2008

 

Tuesday, July 15, 2008

 

Wednesday, June 11, 2008

 

Wednesday, May 21, 2008

 

Tuesday, May 06, 2008

 

Tuesday, April 15, 2008

 

 

  • CRJI.OB
  • news
  • 1 Day
  • 1 Month
  • 6 Month
  • 12 Month

China Runji Cement, Inc. -- (CRJI.OB)

Last Trade: 0.45
Trade Time: "3/9/2010" - "2:56pm"
Open: 0.45
High: 0.45
Ask: 0.57
Day's Range: 0.33 - 0.45
Volume: 5990
Change: 0.00
Low: 0.33
Bid: 0.295

China Runji Cement, Inc. -- (CRJI.OB)

Contact CRJI

www.Chinarunji.com
Address:
China Runji Cement, Inc.
304B
338 West 8th Avenue
Vancouver, BC V5Y 3X2
Canada
Email: svd@evianir.com
Phone: (604) 723-0954
Toll Free: 1-877-331-8777

Other Sources:

Sign Up for Our Free Stock Alerts
Enter mail: 
Subscribe | Unsubscribe
I have read and understand the Disclaimer


Market Wire Stocks
An organization specializing in market analysis and news assessment.

Microcap Awareness
A unique marketing firm that specializes in "Taking Your Company's Vision To The Maximum Level"