ZHENJIANG, China, June 21,
2016 /PRNewswire/ -- Delta Technology Holdings Limited
(NASDAQ:DELT) announced today that the Company is dedicating
existing facility capacity to produce up to 500 tons per year of
prothioconazole, a wide spectrum triazoline-thione germicide
used to prevent and cure crop diseases. Prothioconazole
exhibits low toxicity, no teratogenicity, no mutagenicity, and no
toxicity to embryos and has been found to be safe for humans and
the environment. Bayer is currently the only company in the
world producing prothioconazole at scale with output of
approximately 3000 tons/year.
Delta already manufactures both 2-Chlorobenzyl chloride and
4-Chlorotoluene, two of the primary raw material components in
prothioconazole production. The company plans to manage production
within excess capacity in existing facilities, and expects sales of
prothioconazole to generate USD100
million in revenue at prevailing market prices with gross
margins reaching 40% at scale.
Delta has worked with Dr. Wang Xiaolong in developing its
prothioconazole capabilities. Dr. Wang is a former student of
K. Barry Sharpless (winner of the
2001 Nobel Prize in Chemistry), a former engineer of Pfizer
Pharmaceuticals, and post-doctoral mentor at Nanjing University of Traditional Chinese
Medicine. Under Dr. Wang's leadership, the company has completed
multiple bench and pilot tests and has successfully produced 100
kilograms of the compound, making it China's top prothioconazole manufacturer.
About Delta Technology Holdings Ltd.
Founded in 2007, Delta is a leading China-based fine and specialty chemical
company producing and distributing organic compound including
para-chlorotoluene ("PCT"), ortho-chlorotoluene ("OCT"), PCT/OCT
downstream products, unsaturated polyester resin ("UPR"), maleic
acid ("MA") and other by-product chemicals. The end application
markets of the Company's products include Automotive,
Pharmaceutical, Agrochemical, Dye & Pigments, Aerospace,
Ceramics, Coating-Printing, Clean Energy and Food Additives. Delta
has approximately 300 employees, 25% of whom are highly-qualified
experts and technical personnel. The Company serves more than 380
clients in various industries.
Safe Harbor Statement
This press release may contain forward-looking statements within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. These statements are subject to known and unknown risks,
uncertainties and other factors that may cause actual results,
performance or achievements to be materially different from any
future results, performance or achievements expressed or implied by
such forward-looking statements. Statements preceded or followed by
or that otherwise include the words "believes," "expects,"
"anticipates," "intends," "projects," "estimates," "plans," and
similar expressions or future or conditional verbs such as "will",
"should", "would", "may" and "could" are generally forward-looking
in nature and not historical facts. Forward-looking statements in
this release also include statements about business and economic
trends. Investors should also consider the areas of risk described
under the heading "Forward Looking Statements" and those factors
captioned as "Risk Factors" in DELT's periodic reports under the
Securities Exchange Act of 1934, as amended, or in connection with
any forward-looking statements that may be made by DELT.
CONTACT INFORMATION
Delta Technology Holdings Ltd.
Hongming Dong, Chief Financial
Officer
Phone: +86 511-8692-0003 (China)
Email: dhm@deltath.com
Delta Technology Holdings Ltd.
Brian Zhang, Investor Relations
Manager
Phone: +86 511-8696-5556 (China)
Email: zwy@deltath.com
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SOURCE Delta Technology Holdings Limited