On June 20, 2014, NanNan International Petroleum Engineering (Hong Kong) Co., LTD. (hereinafter referred to as "NanNan"), a subsidiary company of TSC Group Holdings, LTD. (hereinafter referred to as "TSC"), and Lanpec Technologies Limited (hereinafter referred to as “Lanpec”) signed a strategic cooperation agreement, for a period lasting ten years. Through this agreement, NanNan and Lanpec will mutually carry out integrated strategic cooperation for top drive drilling devices (hereinafter referred to as "top drive"), not limited to R&D, design, manufacturing, rental, and services. Top drive technology is one of the several major industry transformations to take place since rotary rig was first introduced. Since 1981, top drives have gradually become prevalently used in the petroleum drilling industry, world-wide. Currently, 60% of the land rigs and 95% of the offshore drilling rigs in use are equipped with top drives, world-wide. Shandong Cruiser Top Drive Equipment Co., Ltd. (hereinafter referred to as "Cruiser"), a subsidiary company of NanNan, is the largest top drive service organization in China. Cruiser has established long-term partnership with national oil companies such as CNPC, Sinopec and CNOOC. Moreover, Cruiser has cooperated on projects with international oil companies in more than 20 countries across 3 continents, with clients including ConocoPhillips and Shell. Lanpec is a high-tech company engaged in R&D, design and manufacturing of oil drilling machinery as well as oil refining equipment. Notably, Lanpec is a pioneer of the offshore and desert oil equipment industry in China, with its products sold to 31 provinces in China and more than 10 countries, across the world. Lanpec’s R&D and manufacturing capabilities are at a high industry level. Lanzhou Petroleum Machinery Research Institute, the predecessor of Lanpec, was previously responsible for the oil drilling machinery and oil refining equipment R&D in China. The strategic cooperation between the two parties will serve to combine Lanpec’s strong R&D, design and manufacturing capabilities with NanNan’s experience and technical advantages in top drive industry. Lanpec will be responsible for the design and manufacturing of new top drive products. Moreover, NanNan will provide technical guidance regarding the design and manufacturing stages as well as offer its global after-sales and technical services. China’s high-end equipment manufacturing industry has undergone rapid development in the past few years, receiving increased recognition, world-wide. Through increased global market demand for top drives coupled with China’s development within the oil industry, TSC and Lanpec’s cooperation will help to align the two companies to further solidify its place as one of the major players in the domestic top drive industry!