Sancon Resources Recovery and Close the Loop sign agreement

Sancon Resources Recovery, Inc., a rapidly growing environmental services and waste recycling company, has signed an agreement with the intention of forming a joint venture with Close the Loop Limited under which the parties will own a state-of-the-art, 6,000 meter squared facility which will recycle toner and inkjet cartridges with zero waste to landfill, and return the raw materials back to the original manufacturer for reuse in new printers and cartridges. China currently consumes over 100 million printer cartridges on an annual basis. Sancon will consolidate the results of the joint venture under GAAP. Close the Loop has successfully operated a similar facility in Australia.
 
After completing a feasibility study, the parties expect to construct the facility in Shanghai. The new facility expects to be completed prior to the end of the year. Sancon will manage the joint venture. In Australia, Close the Loop processes all-in-one toner cartridges, inkjets, toner bottles, drum units, fuser assemblies and other waste. It works closely with some of the top printer cartridge makers in the world, and counts IBM, HP, Epson, Brother, Cannon, Toshiba amongst its partners and clients. They are all committed to recycling and environmental preservation.
 
“We are excited to form this joint venture with Close the Loop to capitalize on a large unmet need in China, China consumes over 100 million units of printer consumables each year, and less than 1% is recycled properly,” said Jack Chen, Sancon’s Chief Executive Officer. “Close the Loop has developed the technology expertise in Australia to efficiently recycle large quantities of toner and inkjet cartridges, and with Sancon’s infrastructure and relationships in China we believe that the joint venture is well positioned to generate significant revenue.”
 
“We are pleased to partner with Sancon, a rapidly growing environmental company in China to capitalize on this large and growing market,” said Greg Turnidge, Close the Loop’s Chief Executive Officer. “We believe that there are significant opportunities in the Chinese market, and look forward to applying the technology that we have used so successfully in Australia to this new market.”
 
About Close the Loop
 
Close the Loop was founded in 2000 with the goals of recycling toner and inkjet cartridges with zero waste to landfill, and returning the raw materials back to the original manufacturer for reuse in new printers and cartridges. The name Close the Loop was chosen because the original idea was, and still is, to provide a service that creates closed the loop material cycles for printer imaging consumables.
 
About Sancon Resources Recovery, Inc.
 
Sancon Resources Recovery, Inc. is an environmental service and waste management company that operates recycling facilities in China and Australia. Sancon specializes in the collection and recovery of industrial and commercial solid wastes such as plastic, paper, cardboard, and glass. The recycled materials are made into raw materials and used by Sancon’s manufacturing customers in China to make a wide variety of new products including outdoor furniture, construction and building materials, road surface, and various new products. Sancon’s China operation is fully licensed by the Chinese government for waste management services, and is certified with ISO9001 and ISO14001 standards. For more information please visit: www.sanconinc.com