Grand Ocean is a pioneer in coal upgrading technology and the exclusive licensee of a patented technology (X-B™), which has been proven to be highly effective in increasing calorific value and lower moisture content of low-rank thermal coal through a low cost steam drying process. This technology has been nominated as one of the environmental projects of 2012’s State High-Technology Research and Development Program, namely the “863 Program” of China, and possess exemplary and constructive significance in facilitating and promoting environmental-friendly and efficient utilization of resources.

China is one of the largest coal producer and consumer in the world where coal remains as China’s dominate energy source. With the concerns of current energy consumption mix, environmental pollution concerns and national energy safety Clean Coal Technology (“CCT”) is a practical way to curb pollution issues in China and coal upgrading technology is one of the key aspects in CCT. The upgraded thermal coal is a substitute of high-rank coal. By leveraging its patented and scalable technologies to beneficiate coal mines and power stations, the Group aims to produce a high-valued saleable coal that is efficient and cleaner and at the same time improving profitability.

The Group will continue to develop and improve the technology as well as to innovate and invest in Research and Development by extending the X-B™ technology applications.

X-B™  Technology is able to

• Reduce the inherent moisture levels in the coal
• Increase the calorific value of the coal
• Retain the coal’s environmental properties
• Ability to alter the physical structure of the coal

 Economic Values

• Increasing commercial value of our coal to higher price level corresponding to calorific value
• Reducing the total moisture of our coal increases operating efficiency
• Become more environmental-friendly
• Able to recycle most of the water and reduce water consumption