Suqian Water and Wastewater Plants

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In March of 2005, China-based and Singapore-listed Bio-Treat Technology Ltd. announced that it had secured two 30-year BOT contracts for an 80,000 cubic meters per day capacity water treatment plant and a 60,000 cubic meters per day capacity wastewater treatment plant in Suqian city, Jiangsu province. The project was part of the PRC's massive National South-to-North Water Diversion Project. Suqian city had a total area of 8555 square-kilometers and a population of 5,150,000. Bio-Treat, a private Chinese company based out of Dongguan city in Guangdong Province, was to own 100% of the project. The company was to receive wholly-guaranteed regular recurring income payments from the local government of Suqian City for the operation of the plant. The total estimated cost of the project was RMB 178 million (US$21.5 million) which was to be supported by the internal resources raised through the company's October 2004 share placement on the Singapore stock exchange. The project was expected to commence on or around the end of May 2005 and be completed by September 2006.