Blue Star, China Glass form float JV

Blue Star Glass of Shaanxi province and China Glass Holdings Ltd. will form a float glass joint venture, Xianyang Blue Star Coated Glass. Blue Star Glass will CNY 60 million or 75% of the CNY 80 milli…

Blue Star Glass of Shaanxi province and China Glass Holdings Ltd. will form a float glass joint venture, Xianyang Blue Star Coated Glass. Blue Star Glass will CNY 60 million or 75% of the CNY 80 million registered capital while China Glass will contribute CNY 20 million. The joint venture will be the second float glass production line for China Glass. The production plant, requiring a total investment of CNY 240 million, is scheduled for completion in the 3Q of 2007. Xianyang Blue Star Coated Glass already has one float glass production line with a melting capacity of 350 tons a day. With the addition of the second production line, the melting volume will increase to 800 tons a day. In Shaanxi, the joint venture is able to access cheaper raw materials and coal.