Shenke Industrial's stock price closed up 0.9% on Tuesday to close at 6.71 yuan.

As of the end of 2019, the book value of this batch of oil and gas was 94 million yuan.

However, Xinglong was in financial difficulties in 2020 and accepted judicial management, which led to Sembilan's announcement of termination of the storage agreement and applied for a court order to prohibit Huanyu Warehouse from relocating, discarding or disposing of this batch of inventory, while ensuring that this batch of inventory is stored separately from other petroleum and gas.

Sembcorp Cogen, a wholly-owned subsidiary of Sembcorp Industrial, reached a compensation agreement with Universal Terminal for the petroleum and gas stored in Huanyu storage, and Sembcorp will revoke the lawsuit against Huanyu.

Sembcorp Industries issued a statement after the market closed on Tuesday (May 27) saying that the two sides had reached a comprehensive and final agreement, but the content of the settlement was confidential. Semko Thermal Power Plant will revoke the lawsuit against Huanyu in accordance with the terms of the agreement.

Huanyu Warehousing is an affiliate of fuel trading company Hin Leong Trading. Semko Thermal Power Plant signed an agreement with Xinglong Trade in 2009 to purchase oil and gas from the other party and provide storage and management of oil and gas inventory services by the other party.