02 Apr 2008
Everbright International Started Boxing Project and Jinan Upgrade Work
Waste Water Treatment Business Taking Shape in Shandong ProvinceChina Everbright International Limited ("Everbright International" or the "Company") has made progress with the Boxing and Jinan waste water treatment projects.
Waste Water Treatment Project in Boxing CountyEverbright International recently held a waste water treatment project handover and a supplemental agreement signing ceremony with the Boxing County Government, Shandong Province. The newly signed "Supplemental Agreement to the Concession Right Agreement and Waste Water Treatment Service Agreement" confirmed the upgrade work of Phase I of the project (with waste water treatment capacity of 30,000 tonnes per day) by way of TOT (transfer-operate-transfer) and undertaking of construction of Phase II of the project (with waste water treatment capacity of 30,000 tonnes per day) by way of BOT (build-operate-transfer). Everbright International will upgrade and construct the Boxing Project in compliance with Grade 1B discharge standard at an estimated total investment of between RMB70-80 million. After the completion of the upgrade work and construction work, the plant will be able to treat 60,000 tonnes of waste water a day and the waste water treatment service fee will be increased from RMB0.75 per tonne to RMB0.9 per tonne after the facilities are examined and confirmed to have met all requirements. Formal operation is expected to begin before end of September 2008. Pursuant to the relevant agreements, Everbright Water (Boxing) Limited, a wholly subsidiary of Everbright International, has commenced commercial operation on 26 March 2008 and started to charge waste water treatment fee.
Jinan Waste Water Treatment Upgrade Work ProjectEverbright International received formal notification from the Jinan Municipal Public Utilities Authority recently to kick off upgrade of technology for the waste water treatment plant no. 1 and 2 in Jinan City. Everbright International will lead the implementation, responsible for planning project items, construction and funding. The investment cost for the upgrade work is estimated at approximately RMB280 million. The Company has already begun preparation work and expects to complete the project by the end of 2008. By then, the quality of water from the plants will be raised to meet the Grade 1A discharge standard.
Everbright International acquired the two waste water treatment plants in Jinan City by way of TOT in 2006 and secured operation rights of the plants for 30 years. After the completion of the refurbishment work in 2007, their waste water treatment capacity had improved markedly. Currently, the total daily waste water treatment capacity of the two plants is closed to the original designed capacity of 420,000 tonnes. The project boasts good value as a model for waste water treatment operations in Shandong Province.
Mr. Chen Xiaoping, Chief Executive Officer of Everbright International concluded, "Everbright International is among just a few leading environmental protection business groups in China with the capability to construct or upgrade waste water treatment plants to Grade 1A discharge standard. We see our being entrusted with the two projects as evidence of local government's recognition of the waste water treatment business expertise of Everbright International. To capture the immense growth potential of the waste water treatment sector in China, we will continue to ride on market awareness of the ‘Everbright Environment' brand and draw from our past success in the area to expand the business segment and reinforce our leadership in the environmental protection industry."