Harbin Water Supply Project

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In November of 1994, Saur Water of the UK received a 30-year BOT contract to finance, build and operate a 225,000 cubic meters per day water supply plant in Harbin. The contract involved the sale of bulk water to the Harbin municipality serving 2.8 million customers. To implement the contract, Harbin Saur Water Supply company was created as the project company which was owned by Saur International (a subsidiary of Bouygues) (50%) and the state-owned Harbin Municipal Water Company (50%). In November 2004, Bouygues sold its water sector arm, Saur, to PAI Partners (a French private equity firm). The total cost of the plant was US$20 million and Saur invested US$10 million of that amount, 1/3 in kind and 2/3 in cash. The plant was completed on 25 December 1995 as sales started on January 1, 1996. The joint venture company had a turnover of US$6 million in 1996 and 5.49 million euros in 2000. Construction of the plant took less than 2 years and the Harbin Saur Water Supply Company was to operate the plant for the next 28 years. None None