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| 8-K - 8-K FINANCING - Hongli Clean Energy Technologies Corp. | form8k.htm |
Exhibit
99.1
SinoCoking
Coal and Coke
Chemical
Industries, Inc.
SINOCOKING
(SCOK) CLOSES $7 MILLION PRIVATE PLACEMENT
Pingdingshan,
Henan Province, China – February 9, 2010 – SinoCoking Coal and Coke Chemical
Industries, Inc. (OTCBB symbol: SCOK) (the “Company” or “SinoCoking”) announced
today that it closed a $7 million private placement equity financing on February
5, 2010, involving 34 high net-worth investors. The private placement
was priced at $6.00 per unit, with each unit consisting of one share of common
stock, and a warrant for the purchase of 0.5 shares of common stock with an
exercise price of $12.00 per share.
SinoCoking
is a significant supplier of the vital commodities of thermal and metallurgical
coal and coke to industrial users such as power plants, steel mills, plant and
factory operators and manufacturers in China. SinoCoking is a
vertically-integrated processor that uses coal from both its own mines and that
of third-party mines to provide basic and value-added coal products to its
client base. SinoCoking currently holds mining rights for
approximately 2.5 million tons of coal from mines located in the Henan Province
in central China. SinoCoking began producing metallurgical coke in
2002, and since then has expanded its production to become an important supplier
to regional steel producers in central China. For the year ending
June 30, 2009, SinoCoking produced and sold 154,631 tons of coke, 55,360 tons of
washed coal, and 72,923 tons of raw coal, and generated $51 million in revenue
from sales consisting primarily of these products. During its 2009
fiscal year, SinoCoking had audited net income of approximately $17 million on a
GAAP basis.
In the
private placement, SinoCoking sold and issued $7,085,352 of its units at a
purchase price of USD $6.00 per unit. The investor warrants are
exercisable for a period of five years from the date of issuance. On
the closing date, the Company issued a total of 1,180,892 shares of common
stock, and warrants for the purchase of an additional 590,446 shares of common
stock.
“We are
pleased to announce this initial closing of our equity financing, which we
consider to be an important first step following our debut as a U.S. public
reporting company,” said Jinahua Lv, the CEO of SinoCoking. “The
proceeds of this financing will go directly towards funding our aggressive
expansion of production capacity in order to meet current demand from our
customers.”
The
securities in the private placement were issued as restricted securities exempt
from registration, and were not issued in connection with any registration
statement. The securities issued
are subject to applicable restrictions on resale pursuant to Regulation S
promulgated under the Securities Act of 1933.
FOR
FURTHER INFORMATION PLEASE CONTACT:
Sam
Wu
Chief
Financial Officer
SinoCoking
Coal and Coke Chemical Industries, Inc.
Email:
wuzan@vip.sina.com
Tel:
+86-3752882999
About
SinoCoking
SinoCoking
Coal and Coke Chemical Industries, Inc. (OTCBB: SCOK) is a vertically-integrated
coal and coke processor that uses coal from both its own mines and that of
third-party mines to produce basic and value-added coal products for steel
manufacturers, power generators, and various industrial
users. SinoCoking currently holds mining rights for approximately 2.5
million tons of coal from mines located in the Henan Province in central
China. SinoCoking has been producing metallurgical coke since 2002,
and acts as a key supplier to regional steel producers in central
China. SinoCoking, a Florida corporation, owns its assets and
conducts its operations through its subsidiaries, Top Favour Limited, a British
Virgin Islands holding company, Pingdingshan Hongyuan Energy Science and
Technology Development Co., Ltd. (“Hongyuan”), Henan Province Pingdingshan
Hongli Coal & Coke Co., Ltd. (“Hongli”), Baofeng Coking Factory, Baofeng
Hongchang Coal Co., Ltd. and Baofeng Hongguang Environment Protection
Electricity Generating Co., Ltd.
For
further information about SinoCoking, please refer to the Definitive Proxy
Statement of the Company (previously named Ableauctions.com, Inc.) filed on
Schedule 14A with the Securities and Exchange Commission on November 27,
2009.
This
press release contains forward-looking statements, particularly as related to,
among other things, the business plans of the Company, statements relating to
goals, plans and projections regarding the Company's financial position and
business strategy. The words or phrases “would be,” “will allow,” “intends to,”
“may result,” “are expected to,” “will continue,” “anticipates,” “expects,”
“estimate,” “project,” “indicate,” “could,” “potentially,” “should,” “believe,”
“think”, “considers” or similar expressions are intended to identify
“forward-looking statements.” These forward-looking statements fall
within the meaning of Section 27A of the Securities Act of 1933 and Section 21E
of the Securities Act of 1934 and are subject to the safe harbor created by
these sections. Actual results could differ materially from those projected in
the forward-looking statements as a result of a number of risks and
uncertainties. Such forward-looking statements are based on current
expectations, involve known and unknown risks, a reliance on third parties for
information, transactions or orders that may be cancelled, and other factors
that may cause our actual results, performance or achievements, or developments
in our industry, to differ materially from the anticipated results, performance
or achievements expressed or implied by such forward-looking statements. Factors
that could cause actual results to differ materially from anticipated results
include risks and uncertainties related to the fluctuation of global economic
conditions, the performance of management and our employees, our ability to
obtain financing, competition, general economic conditions and other factors
that are detailed in our periodic reports and on documents we file from time to
time with the Securities and Exchange Commission. Statements made
herein are as of the date of this press release and should not be relied upon as
of any subsequent date. The Company cautions readers not to place undue reliance
on such statements. The Company does not undertake, and the Company specifically
disclaims any obligation, to update any forward-looking statements to reflect
occurrences, developments, unanticipated events or circumstances after the date
of such statement. Actual results may differ materially from the Company's
expectations and estimates.