L&L Energy Clarifies and Reaffirms Ownership of Mines
SEATTLE, Sept. 25, 2013
SEATTLE, Sept. 25, 2013 /PRNewswire/ -- L & L Energy, Inc. (NASDAQ: "LLEN")
("L&L" or the "Company"), a U.S.-based company with a track record of
profitable energy (coal) operations in China, today reaffirmed its ownership
of the Luozhou and Lashu Mines and clarified previously released statements
that responded to allegations made by short-sellers.
In November 2012, L&L acquired a 95% equity stake in the Luozhou and Lashu
Mines. L&L accomplished this by purchasing 95% interests in two Union Energy
subsidiaries, Guizhou Union Energy Shun Da Inventory and Transport Corporation
and Guizhou Union Energy WuZhou Energy Development Corporation, which
previously owned 100% interest in both of the respective mines.
In a press release dated September 24, 2013 the Company stated that in the
Company's SEC Form 10-K for fiscal 2013, "the Company clearly states that it
acquired the mines by purchasing equity interests in Union Energy
subsidiaries." The release goes on to state that "the Company completed the
acquisition by obtaining a 95% equity interest in two entities, 'Guizhou Union
Energy Shun Da Inventory and Transport Corporation', the owner of LuoZhou Coal
Mine and 'Guizhou Union Energy WuZhou Energy Development Corporation', the
owner of LaShu Coal mine."
To clarify the statement quoted above the 10-K only discloses that the Company
did complete the acquisition by purchasing 95% interest in both the Luozhou
and Lashu mines from Union Energy through an equity ownership transfer
agreement. The additional disclosure of the names of the two Union Energy
subsidiaries were made to respond to short sellers questioning of L&L's
ownership of mines that do not bear L&L's name. Retaining the name of Union
Energy, our joint venture partner and a reputable and well-connected mining
group in the region, on our operating businesses in no way influences L&L's
For more information, please contact:
L&L Energy, Inc.
+1 (206) 264-8065
SOURCE L & L Energy, Inc.
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