Chenggong Salcon Water Company

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In February of 2005, Chenggong Salcon Water Co. Ltd. (CSW) signed a 30-year concession contract with government of Chenggong County, Kunming City, for the implementation of a water supply project involving the rehabilitation, management and operation of the city’s water utility. The project involved taking over the operations and management of the existing 8,000 cubic meters per day water treatment plant, its distribution network and the responsibility for collecting water tariffs from users. The project also involved the construction of a water treatment plant with an initial capacity of 20,000 cubic meters per day and the capacity to be upgraded to 60,000 cubic meters per day as well as constructing a reticulation trunk main and sub-reticulation pipelines within the concession area. CSW was incorporated as the project company which was 60% owned by Salcon Yunan (HK) Pte. Ltd, a Salcon wholly owned subsidiary, and 40% by state-owned Chenggong County Water Supply Company. Salcon's total investment in this project is 240 million yuan (US$ 29.3 million). In June of 2005, Salcon received financial support from a local bank and took over operations of the existing network and began construction work on the new plant. http://www.mida.gov.my/beta/news/view_news.php?id=1822