NEW YORK and BEIJING, March 12 /PRNewswire-FirstCall/ -- China Advanced Construction Materials Group, Inc. ('China ACM') (OTC Bulletin Board: CADC), a leading provider of ready-mix concrete and related services in China, today announced that it was awarded a $2 million contract to provide concrete manufacturing services for a major section of the Guizhou-Guangzhou railway construction project. China ACM's concrete manufacturing services are a growing and high margin segment of the business, whereby the general contractors supply the raw materials and China ACM produces the ready-mix concrete.
The railway will run from Guiyang to Guangzhou and will cover approximately 857 kilometers. China ACM's portion of the project is scheduled to be completed in late-2010. The new line is designed to be a double-track electrified railway and will allow trains to travel at 200 kilometers per hour. The line is expected to have a daily capacity of 100 passenger trains and an annual capacity for goods transportation of 35 million tons.
Mr. Xianfu Han, Chairman and Chief Executive Officer, stated, 'China ACM is establishing a niche in supplying concrete services for the expansion of China's railway system. In addition to our traditional concrete services in and around Beijing, we have now been involved in numerous high speed railway projects all over the country and continue to bid for others. We believe that our environmentally-friendly methodology for producing ready-mix concrete, our portable concrete manufacturing plants that can be moved from location to location along the railway line and our reputation for quality are all factors in our success for winning this business. We look to further extend our geographic footprint within China as we bid for projects encompassing a wider radius outside Beijing in the months and years ahead. China's stimulus package that was implemented in November of 2008 is concentrated on the build out of China's infrastructure and we have already begun to benefit from this initiative.'
About China ACM
China ACM, founded in 2002 and based in Beijing, China, is a leading producer of advanced construction materials for large scale commercial, residential, and infrastructure developments.
