Gulf Resources Announces the Receipt of Governmental Notification to Resume Production for Its Bromine Facilities
SHOUGUANG, China, Feb. 28, 2020 (GLOBE NEWSWIRE) — Gulf Resources, Inc. (Nasdaq: GURE) (“Gulf Resources” or the “Company”), a leading manufacturer of bromine, crude salt and specialty chemical products in China today announced that it has received a notification from the government of Shouguang City, pursuant to which the Company’s bromine facilities has been allowed to resume production.
On November 25, 2019, the government of Shuoguang City issued a notice ordering all bromine facilities in Shouguang City, including the Company’s bromine facilities, to temporarily stop production from December 16, 2019 to February 10, 2020. Subsequently, due to the coronavirus outbreak in china, the local government ordered those bromine facilities to postpone the commencement of production.The Company has received an approval dated on February 27, 2020 to resume its bromine production issued by Shouguang Comprehensive Coordination Group for Epidemic Prevention and Control.Mr. Liu Xiaobin, the CEO of Gulf Resources, stated, “the Company are starting to do the preparation work for bromine facilities No.1 & No.7, and these two factories are expected to restart production soon. The Company anticipates to make an announcement if there is any further development.”About Gulf Resources, Inc.Gulf Resources, Inc. operates through three wholly-owned subsidiaries, Shouguang City Haoyuan Chemical Company Limited (“SCHC”), Shouguang Yuxin Chemical Industry Co., Limited (“SYCI”), and Daying County Haoyuan Chemical Company Limited (“DCHC”). The company believes that it is one of the largest producers of bromine in China. Elemental Bromine is used to manufacture a wide variety of compounds utilized in industry and agriculture. Through SYCI, the Company manufactures chemical products utilized in a variety of applications, including oil and gas field explorations and papermaking chemical agents, and materials for human and animal antibiotics. DCHC was established to further explore and develop natural gas and brine resources (including bromine and crude salt) in China. For more information, visit www.gulfresourcesinc.com.Forward-Looking StatementsCertain statements in this news release contain forward-looking information about Gulf Resources and its subsidiaries business and products within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. The actual results may differ materially depending on a number of risk factors including, but not limited to, the general economic and business conditions in the PRC, future product development and production capabilities, shipments to end customers, market acceptance of new and existing products, additional competition from existing and new competitors for bromine and other oilfield and power production chemicals, changes in technology, the ability to make future bromine asset purchases, and various other factors beyond its control. All forward-looking statements are expressly qualified in their entirety by this Cautionary Statement and the risks factors detailed in the company’s reports filed with the Securities and Exchange Commission. Gulf Resources undertakes no duty to revise or update any forward-looking statements to reflect events or circumstances after the date of this release.CONTACT: Gulf Resources, Inc.