SIIC Environment Holdings announces progress on wastewater plants in 3 Chinese provinces

MAINBOARD-LISTED environmental services company SIIC Environment Holdings clinched an operation-and-management project in China's Zhejiang province in April, it said on Thursday.

The company added that wastewater treatment projects in two other provinces, Shandong and Heilongjiang, "have commenced commercial operation with satisfactory progress".

These projects are expected to contribute to the group's performance positively, said the board.

An indirect subsidiary of SIIC Environment Holdings inked an agreement on April 14 to run a wastewater treatment plant in the city of Cixi in Zhejiang for six months. The service fee for the project, which has a capacity of 40,000 tonnes a day, is 2.09 million yuan (S$417,456). 

Separately, a plant in Shandong's Weifang city, with a designed capacity of 60,000 tonnes a day, got retrospective approval to operate at a water tariff of 1.75 yuan a tonne.

The second phase of a plant in Fujin in Heilongjiang, was given retrospective approval to operate at a tariff of 2.45 yuan a tonne. Its designed capacity is 35,000 tonnes a day.

Meanwhile, indirect subsidiary Longjiang Environmental Protection Group Co - in which SIIC Environment Holdings has a roughly 58 per cent stake - has established a new unit to specialise in operation-and-management water projects.

Heilongjiang Bolan Water Co was set up with a registered capital of 20 million yuan.

The incorporation was funded by internal resources and is not expected to have any material impact on net tangible assets and earnings per share for the year to Dec 31, the board said.

Shares ended down by half a Singapore cent, or 2.38 per cent, at S$0.205, before the news.