Andatee Marine Fuel Services Achieves Breakthrough in Research on Proprietary Pour Point Depressant

Thursday, Mar 11, 2010

Andatee China Marine Fuel Services Corporation, the leading independent operator engaged in the production, storage, distribution, wholesale purchase and sale of blended marine fuel oil for cargo and fishing vessels in Northern China, today announced that it has successfully achieved breakthrough in research on the Company's proprietary pour point depressant LDY-103 ("PPD"), which will be used as a marine fuel additive to improve the fuel's performance in winter.

The R&D Department of the Company commenced its research and development efforts on LDY-103 in October 2008 with a range of small scale experiments. During the pilot production phase, the Company found that its proprietary PPD increases the performance of its marine fuel #3 and #4, especially during low temperature conditions. PPD LDY-103 has a shorter production cycle and cost structure compared to Andatee's previous PPD. In addition, the Company's PPD product is expected to reduce marine fuel production cost by RMB60-RMB70 ($8.80-$10.20), and to increase gross margin by 1.2% based on a market price of RMB5,000 ($735.30) per ton.

"We are very pleased with the pace of progress in the research of our proprietary PPD, which is currently applied to over 4,000 tons of marine fuel and meets all the required specifications and quality control measures," commented Mr. An Fengbin, Chairman, President and CEO of Andatee China Marine Fuel Services Corporation. "We are confident that the use of PPD as an additive for our marine fuel will increase the demand for our marine fuel and we believe we have a well-planned strategy to promote our product as reliable, superior quality and cost effective for small and medium-sized vessel owners, thus strengthening our brand recognition in the industry," concluded Mr. An.

About Andatee China Marine Fuel Services

Andatee China Marine Fuel Services Corporation is a leading independent operator engaged in the production, storage, distribution, wholesale purchase and sale of blended marine fuel oil for cargo and fishing vessels in Northern China. Headquartered in the City of Dalian, a key international shipping hub and an international logistics center in Northern China, Andatee maintains operations in Liaoning, Shandong and Zhejiang Provinces in the People's Republic of China.

Andatee China Marine Fuel Services provides customers with value-added benefits, including single-supplier convenience, competitive pricing, logistical support and fuel quality control. Its products are substitutes for diesel used throughout east China fishing industry. Backed by core facilities, such as storage tanks, marine fuel pumps, blending facilities and berths (the space allotted to a vessel at the wharf), its sales network covers major depots along the towns of Dandong, Shidao and Shipu along the east coast of China. Additional information about the Company is available at http://www.andatee.com/ .

Source: PR Newswire