Sino Gas & Energy Holdings Limited
(ASX:SEH) says it has had very encouraging initial discussions with its potential new joint venture partner China New Energy Mining.
China New Energy looks set to join the JV through its US$220 million acquisition of MIE Holdings Corporation which holds a 51 per cent interest in Sino subsidiary Sino Gas Energy Limited.
Sino Gas says it’s had extensive discussions with China New Energy and they have a clear vision and understanding of the Ordos Basin assets and the work necessary to achieve their potential.
China New Energy also has strong financial backing and access to capital alongside well established relationships in China and is open to a seamless transition with the 2016 works program to remain on track.
Sino Gas reported a net loss of $17.84 million for the six months to the end of December 2015.
