In order to strengthen the expansion of 5T technology solutions and applications, it covers the whole life cycle of smart factories, and improves the comprehensive competitiveness in the automation, digitalization and intelligent construction of the whole life cycle of factories. On October 20, 2022, Zhejiang Zhongkong Technology Co., LTD. (hereinafter referred to as “Zhongkong Technology”) completed the acquisition of 20% equity interest in Zhongyi Wood Engineering Co., LTD. (hereinafter referred to as “Wood China”), which is held by Shanghai Zhongyi Petrochemical Engineering Technology Co., LTD.

This milestone cooperation is another major strategic initiative since the two sides signed a strategic cooperation agreement in early 2020, in order to jointly promote the intelligent development of China’s energy and process industries.

Wood China is the business execution platform of international engineering consulting company Wood in China, focusing on oil and gas, refining, petrochemical, chemical, coal chemical, new materials, mining, life science and environment and other fields. Provide one-stop international engineering service solutions covering the whole life cycle of assets, including engineering consulting, project management, engineering design, project delivery, commissioning, asset optimization, supply chain management and digitalization.

As a leading overall solution provider for process industry intelligent manufacturing in China, Zhongkong Technology adheres to independent innovation, continues to focus on industry pain points and hot spots, takes “5T technology”, “platform + industrial APP”, “5S store +S2B platform” as the three core strategic control points of technological innovation and business model innovation, and actively serves industry 3.0+ Industry 4.0. Products and solutions have been widely used in oil and gas, petrochemical, chemical, power, pharmaceutical, metallurgy, building materials, paper, new materials, new energy, food and other industries, covering more than 50 countries and regions around the world.

Wood has long maintained close cooperation with customers, including Sinopec, petrochina, National Energy, Sinochem Group, Shaanxi Coal Group, Yanchang Oil, BASF, Shell and many other well-known enterprises at home and abroad. In China, Wood is helping customers achieve energy transition, digitalization, carbon peaking and carbon neutrality. Wood’s digital and technology solutions leverage innovative technologies and concepts to build complete, accurate and efficient data assets for Chinese customers who are exploring digital transformation. All these have obvious synergies with the expansion and layout of the future strategy of central control technology.

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After the completion of this transaction, Wood China’s rich management experience will become an important support for the long-term healthy development of Zhongcong technology. With the continuous deepening of strategic cooperation, the two sides are also expected to continue to deepen cooperation in many fields and further expand synergy and complementary advantages.

Cui Shan, Chairman and President of Zhongcong Technology, said: “The strategic cooperation with Wood China is the result of the compatibility of the mission, vision and values of the two companies and the convergence of development strategies. China Control Technology highly recognizes Wood China’s steady growth trend and good market performance, advanced strategic layout, and excellent operational capabilities of the management team. Wood China has rich technology accumulation and implementation experience, and can achieve complementary and synergistic development with Zhongcon technology, and both parties will accelerate business growth and release greater value in a larger ecosystem. This time, we believe that the two companies can produce huge synergies in the global market, and jointly improve in the future to achieve the strategic development of 1+1>2. Zhongcong Technology will also consistently provide excellent service, and strive to become the most trusted partner for customers, and continue to create value for them.”

Mr. Zhang Guowei, Chairman of Wood China, said: “The partnership between Wood China and Sinotech is not only based on a high degree of overlap and complementarity in customer and service areas, but more importantly, Wood China’s international project management and delivery concepts, capabilities, and rich project experience accumulated over the years in the field of domestic energy and process industry engineering can be organically integrated with the process control system, products, service system and industrial automation intelligent overall solution, which ensures timely access to customers and provides more comprehensive and customized services. Promote the realization of customer asset construction and operation objectives of “energy saving, consumption reduction, cost reduction and efficiency improvement, green environmental protection”. I am confident that the signing of this strategic investment agreement will explore more possibilities to help China achieve sustainable development and drive a low-carbon future.”

This equity acquisition can effectively combine the advantages of both parties, and Wood China intends to cooperate to develop business markets such as engineering consulting, EPC general contracting, digital design and delivery, smart site, large-scale project management, smart factory planning, and digital transformation consulting. In the future, the two sides will work together to open up new industry patterns and new possibilities, and realize the common industrial dream.