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RAE Systems To Address Coal Mine Safety In China
December 19, 2006 |
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| Category: Labor
RAE Systems has entered into a joint venture with Liaoning Coal Industry Group for the purposes of engaging in the manufacturing and sales of safety equipment for the coal industry.
The joint venture company, RAE Coal Mine Safety Instruments (Fushun) Company will be owned 70% by RAE Systems and 30% by the Liaoning Group.
According to the China Administration of Work Safety and the 'China Labour Bulletin', China has more than three million people employed in the coal mining industry and has the highest per capita coal mine accident rate in the world. The company believes that many of these accidents can be prevented with the proper use of safety equipment and adherence to safety regulations.
This new joint venture will position RAE Systems as a leader in the coal mine and industrial safety market in China. The joint venture will manufacture and sell mine safety certified products including: fixed gas detection monitors, portable toxic and explosive gas detectors, lighting systems and respiratory protection equipment.
"China is expected to rely on coal for at least half of its energy resources over the next 50 years, and as part of its master plan the Chinese central government has set aside funds to improve coal mining safety," said Robert Chen, president and CEO of RAE Systems. "Our joint venture with the Liaoning Group will enable RAE Systems to leverage its existing resources to accelerate its growth in the China mine safety market."
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