L & L Energy Inc announced that it has entered a strategic agreement with GuangShunYuan Group Mining Company to expand the Company's wholesale and logistics operations in China.

GSY is a large, privately owned, integrated coal supplier based in Guizhou Province. It operates 26 coal mines that have 7.5 million tonnes of coal mining capacity annually. GSY also has a wholesale network handling 1.6 million tonnes of coal annually as well as chain stores selling coal related machinery and equipment. The agreement allows L&L to access GSY's vast mining resources and assist in securing additional coal from GSY. In return, GSY can leverage L&Ls existing business relationship with Datang International, one of the largest utility companies in China.

Furthermore, L & L will work with GSY to develop a new coal washing, blending and wholesale facility on 33 acres of GSY land located near the ZhaZuo Railway Station, a key rail access point in Guizhou. GSY also operates a loading facility next to L & L's ShinPingBa loading station. The new strategic rail terminal, in addition to L & L facilities at ShinPingBa will boost L & L's capabilities to serve additional large scale customers.

Mr Dickson Lee chairman & CEO of L & L said that "We are delighted to reach this strategic partnership with GSY. By leveraging on GSY's vast mining assets, we have demonstrated our innovative ability to expand business effectively with less capital investment. Moving forward, we plan to develop JV with GSY to accelerate our revenue and profit growth."

Source - L & L Energy

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