31 Mar 2017
Everbright Water Wins Ji'nan Zhangqiu Urban-Rural Integration Water Supply ProjectSingapore, 31 March 2017 – China Everbright Water Limited ("Everbright Water" or the "Company", SGX: U9E) (中国光大水务有限公司), an environmental protection company focusing on integrated environmental water services, is pleased to announce that the Company has won the bid for the Ji'nan Zhangqiu Urban-Rural Integration Water Supply Project ("Zhangqiu Integration Water Supply Project" or the "Project") in Shandong Province, with a leading score in the overall bidding process. The Project commands a total investment of approximately RMB 3.1 billion.
The Project will be invested, constructed, operated and maintained by a project company to be jointly established by the Public Utility Bureau of Zhangqiu District, Ji'nan City (as authorised by the Zhangqiu District Government) and Everbright Water, with the Company holding an 80% equity stake in the project company. The Project will be operated on multiple models, including Management Contract ("MC"), Build-Operate-Transfer ("BOT") and Transfer-Operate-Transfer ("TOT"), with a concession period of 30 years (construction period included).
The project company will be responsible for a number of construction projects within the administrative areas of the Zhangqiu District, including water source expansion, upgrading and construction of booster pump stations, upgrading and construction of rural water supply facilities, construction of reservoirs and water plants, construction of pipeline networks and reusable water projects, among others. In the meantime, the project company will conduct asset integration and modern enterprise restructuring towards a number of facilities and companies within the district, including a tap-water company and four other companies, 17 water plants in towns and sub-districts, Xinglin Reservoir and Dazhan Reservoir that need water diversion and replenishment, Duozhuang pipeline network and pipelines. In addition, during the period of construction and operation, the project company is also granted the concession by the government to construct the relevant infrastructure, provide water supply services to the general public, as well as to operate and maintain the supporting facilities.
Mr. An Xuesong, Executive Director and CEO of Everbright Water, said, "Zhangqiu Integration Water Supply Project comprises different types of water projects, such as urban-rural water supply, reservoir construction, pipeline network construction, and water diversion and replenishment of reservoir. Following three waste water treatment projects in the Zhangqiu District, the Project represents a deeper and broader level of cooperation between the Company and the local government. It is also the Company's first urban-rural water supply project, which marks a significant milestone for the Company to further expand its business scope, enhance its integrated business strength, and reinforce the market position."
Mr. An Xuesong added, "Ji'nan City and the whole Shandong Province have been a strategic stronghold for Everbright Water. Backed by years of commitment in developing in this market, the Company has secured more than 30 water projects in the province, all of which are operating well. This is a testament to our team's cooperative rapport with the local residents and government departments, as well as their recognition and support of our efforts. Going forward, Everbright Water will continue striving towards building water projects of high standard, high quality and high efficiency, and exploring the market opportunities in the integrated environmental water services sector of the province, thereby making a sustainable contribution to the improvement of the province's water environment quality."