Keyuan Petrochemicals Inc. (fka KEYP)

[ZachBuffett]

Very interesting. Also from the press release today:

The PRC government enacted a regulation that provides consumption tax exemptions for domestically purchased heavy oil which is used for the manufacture of ethylene and aromatics products. In addition, the consumption tax paid for imported heavy oil is to be refunded if the heavy oil was used for ethylene and aromatics products manufacture. Given that all heavy oils purchased by the Company are, or are to be, used for the production of ethylene and aromatics products, the Company recognizes a consumption tax refund receivable when the consumption tax has been paid and the related heavy oils have been used for production. As of June 30, 2013 and December 31, 2012, the Company recorded an estimated consumption tax refund amounting to approximately $93.7 million and $51.3 million, respectively.

A refund of approximately $67.7 million was received by the Company in July 2013, and a refund of $34 million is expected to be approved and received in the second half of 2013.

67.7 million in July, pretty massive. This is trading so cheaply. This also makes them up to date on reporting.