The LOI was signed on December 3rd, 2013 in Guangzhou in the presence of the Honourable Teresa Wat, British Columbia’s Minister of International Trade and Minister Responsible for the Asia Pacific Strategy and Multiculturalism. The LOI provides for LIL and Xilin to explore options to cooperate in pursuing opportunities to commercialize LIL’s proprietary biorefining technology in China, and contemplates possible formation of a Joint Venture company as well as various investment options.
"We are delighted to have signed this LOI with Xilin who are well placed to help us develop the China market for our biorefining technology and its products," said Ross MacLachlan, CEO and Chairman of LEC. "We are hopeful that we can leverage the market knowledge and access to feedstock and financial resources of Xilin for our mutual benefit."
"We are pleased to be working with Lignol to explore ways to bring their technology to the China market," said Zeng Ai Guo, Chairman and General Manager of Xilin. "We believe that there is strong business potential for manufacturing biofuels and biochemicals from wood and agricultural residues in China and we look forward to reaching definitive agreements with Lignol to deploy their technology."
The LOI, which is non-binding on either party, was executed by LIL’s Chief Operating Officer, Michael Rushton, at a signing ceremony in Guangzhou, which also involved six other B.C. companies and their Chinese counterparts. Minister Wat stressed the importance of bilateral cooperation in business between B.C. and China in creating jobs and prosperity on both sides of the Pacific.
"As British Columbia continues to diversify our trade and investment partners, we are deepening our relationships with China and other growing economies across the Asia Pacific," Minister Wat said. "British Columbia is a world leader in clean technology solutions, and we congratulate Lignol Energy and Sichuan Xilin on this new agreement and look forward to seeing the positive results of their collaboration in the months and years to come."
