SIIC Environment bags wastewater-treatment plant project

MAINBOARD-LISTED SIIC Environment Holdings announced on Wednesday that it has been awarded a project involving the expansion of a wastewater-treatment plant.

The water-treatment and environmental-protection company's indirectly owned subsidiaries, SIIC Environment Holdings (Weifang) Co and S.I. United Water Holdings, have signed a concessionary arrangement with the government of Zaozhuang City in Shandong province for a wastewater-treatment plant expansion project called the Yicheng Expansion Project.

The plant under the project has a daily capacity of 60,000 tonnes. The construction will be implemented into two phases, with a 30,000-tonne-a-day capacity in each phase. The concession period will last for 30 years and water tariff is priced at RMB1.92 (S$0.39) per tonne.

In addition, SIIC Environment received completed upgrading and approval to commence commercial operations of its seven wastewater-treatment plants in the provinces of Henan and Guangdong, which have a combined capacity of 380,000 tonnes.

All these wastewater-treatment projects "are expected to contribute to the group's performance positively going forward", the board said.

The company also announced in a separate bourse filing on Wednesday that its 58-per-cent indirectly-owned subsidiary, Heilongjiang Bolan Water Co, has incorporated a wholly-owned subsidiary in China. 

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The newly incorporated subsidiary, Nenjiang City Bolan Water Co, has a registered capital of RMB 1 million (S$205,040) and principally engages in wastewater-treatment and reclamation, technical consultation and services. 

Nenjiang Bolan Water was incorporated to provide operations and maintenance services for the waste-water treatment plants in Nenjiang City.

In addition, the company’s indirect wholly-owned subsidiary, Beihai Nanfang Water Co, which is incorporated in China, has been deregistered.

The incorporation and deregistration are not expected to have any material impact on the net tangible assets and earnings per share of the company for the financial year ending Dec 31, 2021.

SIIC Environment shares closed down by 0.1 Singapore cent, or 0.5 per cent, at 18.7 cents on Wednesday.