Versarien has announced that it has entered into a Memorandum of Understanding with Jinan High-tech Financial Investment ("JHFI") in connection with the Company's ongoing plans to establish a manufacturing center in the Jinan Innovation Zone, Shandong Province, China.
The MOU covers the plans for Versarien and JHFI, together with other parties in China as may be agreed, to establish a joint venture for the manufacture and sale of the Company's Nanene, Graphinks and other related graphene products in Jinan. Subject to the satisfactory completion of negotiations it is envisaged that JHFI will provide funding for the venture in a structure to be agreed.
The MOU included the following statement: "JHFI specially organized experts to hold a demonstration meeting with regard to graphene project. Experts at the demonstration meeting consider that the graphene technology of Versarien has certain world leading position and can be introduced in China to strengthen technical co-operation between China and the UK".
Neill Ricketts, CEO of Versarien, commented: "We are very pleased to be making progress in establishing a Chinese graphene manufacturing base for Versarien in Jinan and I am very grateful for the significant support we are continuing to receive from both Chinese governmental and industrial parties. Before entering into this MOU, JHFI have undertaken significant analysis of our graphene products and we are delighted to note that they consider them to be world leading".
"It is not intended that this will be our sole base in China, as the Chinese opportunity is so large, but our planned venture in Jinan is intended to form the center of the "Qilu* Graphene Valley" and pave the way to Versarien establishing a world class base in the Asian region. We are continuing detailed discussions with a number of other parties in China and assessing opportunities in other countries across the world. It is important for us to have facilities close to manufacturing centers worldwide and we will continue to pursue this strategy. I look forward to providing further updates as matters progress."