SHOUGUANG, China, June 04, 2018 (GLOBE NEWSWIRE) -- Gulf Resources, Inc. (Nasdaq: GURE ) ("Gulf Resources" or the "Company"), a leading manufacturer of bromine, crude salt and specialty chemical products in China, wishes to advise investors of the possible delay in opening its bromine factories because of the upcoming SCO (Shanghai Cooperation Organization) summit to be held in Qingdao, Shandong Province on June 9-10. We previously disclosed that we expected to complete all of the rectification and improvements of the bromine and crude salt factories and be ready for the government inspection, rating and evaluation by June 2018, and that we would resume operation for those factories when they have approval from the government. While the company has not yet received formal notification from any government agency, communications with other corporations and the media has indicated that government agencies are forcing some factories to close and delaying approval of others in order to maximize the cleanliness of the environment for this conference.
The SCO Summit will be one of the most important meetings in China in 2018. The SCO Summit includes member states: China, Russia, India, Pakistan, Kazakhstan, Tajikistan, Kyrgyzstan, and Uzbekistan; observer states: Afghanistan, Belarus, Iran, and Mongolia; and dialogue partners: Turkey, Sri Lanka, Azerbaijan, Armenia, Cambodia, and Nepal.
As a sign of its importance, President Xi Jinping will serve as the Chairman. President Vladimir Putin of Russia will attend. The heads of state of many other countries will also be in attendance.
The Chinese government has already announced special security arrangements that will impact factory production and cargo transportation. For example, it has banned the loading or shipping of “Dangerous Goods” through June 20.
China has frequently closed factories ahead of major events. For example, 255 factories were closed prior to the G 20 Summit in Shanghai in 2016. An even larger number of factories were closed prior to the Olympics.
As noted, the Company has not received formal notification of delays in re-opening its facilities. However, based upon the actions the government has taken in surrounding areas, it would not come as a surprise to the Company if there is a short delay in the reopening of its bromine factories.
The Company will continue to update investors as it learns more information.
About Gulf Resources, Inc.
Gulf Resources, Inc. operates through three wholly-owned subsidiaries, Shouguang City Haoyuan Chemical Company Limited ("SCHC"), Shouguang Yuxin Chemical Industry Co., Limited ("SYCI"), and Daying County Haoyuan Chemical Company Limited (“DCHC”). The company believes that it is one of the largest producers of bromine in China. Elemental Bromine is used to manufacture a wide variety of compounds utilized in industry and agriculture. Through SYCI, the company manufactures chemical products utilized in a variety of applications, including oil and gas field explorations and papermaking chemical agents, and materials for human and animal antibiotics. DCHC was established to further explore and develop natural gas and brine resources (including bromine and crude salt) in China. For more information, visit www.gulfresourcesinc.com.
Forward-Looking Statements
Certain statements in this news release contain forward-looking information about Gulf Resources and its subsidiaries business and products within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. The actual results may differ materially depending on a number of risk factors including, but not limited to, the general economic and business conditions in the PRC, future product development and production capabilities, shipments to end customers, market acceptance of new and existing products, additional competition from existing and new competitors for bromine and other oilfield and power production chemicals, changes in technology, the ability to make future bromine asset purchases, and various other factors beyond its control. All forward-looking statements are expressly qualified in their entirety by this Cautionary Statement and the risks factors detailed in the company's reports filed with the Securities and Exchange Commission. Gulf Resources undertakes no duty to revise or update any forward-looking statements to reflect events or circumstances after the date of this release.
CONTACT: Gulf Resources, Inc.
| Web: | http://www.gulfresourcesinc.com |
| Director of Investor Relations | |
| Helen Xu (Haiyan Xu) | |
| beishengrong@vip.163.com | |
