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2008 - 2009 - Pinsent Masons Water Yearbook 2012 - 2013

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CHINA<br />

PART 3(ii): COMPANY ANALYIS LOCAL/REGIONAL PLAYERS<br />

CHINA WATER AFFAIRS GROUP<br />

The China <strong>Water</strong> Affairs Group started operating water and sewage BOT contracts in 2002-03. The<br />

company provided 0.5million m 3 per day of water in 2006, serving 1.2million people. The CWAG now<br />

operates 20 operating units in China providing a total of 440,000m 3 per day of raw water and<br />

3.5million m 3 per day of potable water, serving approximately 6.0million people. Sewage treatment<br />

activities include an 80,000m 3 per day 25 year TOT contract in Huizhou, which started in July 2007.<br />

China <strong>Water</strong> Affairs Group, profit and loss account<br />

FY 31/03 (HKDmillion) 2004 2005 2006 2007 <strong>2008</strong><br />

<strong>Water</strong> provision 0.6 6.7 15.0 55.8 240.3<br />

<strong>Water</strong> installation 0.0 0.2 9.3 41.7 128.7<br />

Sewage treatment projects 0.0 6.0 9.1 0.0 26.8<br />

Turnover 33.2 48.5 52.9 140.3 772.5<br />

Pre-tax profit -99.3 -29.8 -20.3 151.7 655.1<br />

Net profit -99.3 -31.0 -25.0 102.9 520.0<br />

<strong>Water</strong> provision contracts<br />

Company City / Province Year Stake<br />

Jiangxi Wannian Silver Dragon <strong>Water</strong> Affairs Wannian, Jiangxi 2005 100%<br />

Xinyu <strong>Water</strong> Affairs Group Xinyu, Jiangxi 2005 60%<br />

Yanshan Silver Dragon <strong>Water</strong> Affairs Qianshan, Jiangxi N/A 100%<br />

Fenyi Silver Dragon <strong>Water</strong> Affairs Fenyi, Jiangxi N/A 60%<br />

Gaoan <strong>Water</strong> Affairs Gaoan, Jiangxi 2007 60%<br />

Jingzhou <strong>Water</strong> Supply Jingzhou, Hubei 2007 51%<br />

Jiangling Silver Dragon <strong>Water</strong> Affairs Jingling, Hubei N/A 100%<br />

Chongqing Yong Chuan Global Credit <strong>Water</strong> Yongchuan, Chongqing N/A 100%<br />

Henan Yinlong (Fugou) <strong>Water</strong> Supply Fugou, Henan N/A 100%<br />

Henan Yinlong (Xihua) <strong>Water</strong> Supply Xihua, Henan N/A 55%<br />

Zhoukou Silver Dragon <strong>Water</strong> Affairs Zhoukou, Henan 2006 70%<br />

Henan Luyi Silver Dragon <strong>Water</strong> Supply Luyi, Henan 2004 100%<br />

Guangdong Renhua Silver Dragon <strong>Water</strong> Renhua, Guangdong 2003 73%<br />

Huizhou Daya Bay Yiyuan Purified <strong>Water</strong> Daya Bay, Huizhou, Guangdong 2007 49%<br />

Guangdong Xinhui <strong>Water</strong> Affairs Xinhui, Guangdong 2006 50%<br />

Foundation Gang-Wu (Changzhou) <strong>Water</strong> Wujin, Jiangxu N/A 40%<br />

Hainan Xing Cheng Xiang <strong>Water</strong> Supply Haikou, Hainan N/A 56%<br />

Sewage treatment contracts<br />

Company City / Province Year Stake<br />

Fenyi China <strong>Water</strong> Environmental Prtn Fenyi, Jiangxi N/A 60%<br />

Jingzhou China <strong>Water</strong> Environmental Prtn Jingzhou, Hubei 2006 100%<br />

Huizhou Daya Bay Qingyuan Env Prtn Daya Bay, Huizhou, Guangdong 2007 49%<br />

Jiangxi operations contract<br />

In May <strong>2008</strong>, the CWAG entered into a preliminary agreement with Jiangxi Province Administrative<br />

Assets Group Company who has granted the Group first right of refusal to operate any of some 80<br />

sewage plants which to be completed in Jiangxi Province before September 2010 with a total daily<br />

processing capacity of 1.9million m 3 . This is equivalent to 8-9million people. Phase one will include<br />

45 sewage treatment plants to be completed before September <strong>2009</strong>. The estimated total investment<br />

for the construction of the sewage treatment plants, piping networks and related facilities is<br />

approximately CNY6billion, including CNY3billion for the sewage treatment works.<br />

Contact Details<br />

Name: China <strong>Water</strong> Affairs Group<br />

Address: Suite 6408, 64/F Central Plaza, 18 Harbour Road, Wan Chai, Hong Kong<br />

Web: www.chinawatergroup.com<br />

Duan Chuan Liang (Chairman)<br />

Du Lin Dong (CEO)<br />

Li Ji Sheng (Director)<br />

309<br />

<strong>Pinsent</strong> <strong>Masons</strong> <strong>Water</strong> <strong>Yearbook</strong> <strong>2008</strong>-<strong>2009</strong>

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