Everbright International Secures Multiple Waste-to-energy Projects in Succession, Marking Strong Momentum for Market Expansion

31 January 2019, Hong Kong – China Everbright International Limited ("Everbright International" or the "Group") (HKSE: 00257) is pleased to announce that it has recently secured Hainan Dongfang Waste-to-energy Project ("Dongfang Project"), Zhejiang Shengzhou Waste-to-energy Project ("Shengzhou Project"), Shandong Pingdu Waste-to-energy Project ("Pingdu Project") Phase II and Ji'nan Leachate Treatment Project ("Ji'nan Leachate Project"). The Group has also signed a supplementary agreement to the concession agreement on Zhejiang Ninghai Waste-to-energy Project ("Ninghai Project") with the Housing and Urban-Rural Development Bureau of Ninghai County (寧海縣住房和城鄉建設局) in Ningbo City, Zhejiang Province. All of the five projects command approximately RMB2.112 billion in total.

Dongfang Project will be invested in and constructed on a BOT (Build-Operate-Transfer) model for a concession period of 30 years (construction period inclusive). With a total designed daily household waste processing capacity of 1,200 tonnes, the project will be constructed in two phases. Phase I of the project has a designed daily household waste processing capacity of 800 tonnes and commands an investment of approximately RMB520 million (including the investment of the shared facilities for phase II of the project). The project phase I will be equipped with two 400 tonnes/day grate furnaces that are self-developed by the Group and one set of 18 MW turbine power generator. The gas emissions will comply with The Letter of Hainan Ecology and Environment Bureau on Opinions regarding Pollutant Emission Standards of New and Expanded Household Waste-to-energy Projects (No.991 Letter on Environment, Hainan Province [2018]), with the level of online monitored gas emissions superior to the Euro 2010 Standard. The project phase I is expected to generate green electricity of approximately 110 million kWh annually.

Shengzhou Project will also be invested in and constructed on a BOT model for a concession period of 30 years (construction period inclusive). With a designed daily household waste processing capacity of 1,200 tonnes, the project will be constructed in two phases. Phase I of the project has a designed household waste processing capacity of 800 tonnes and commands an investment of approximately RMB570 million. It will be equipped with two 400 tonnes/day grate furnaces that are self-developed by the Group and one set of 18 MW turbine power generator. The gas emissions will fully comply with relevant national standards, with the daily average level of online monitored gas emissions superior to the Euro 2010 Standard. The project phase I is expected to generate green electricity of approximately 120 million kWh annually.

Pingdu Project Phase II will be invested in and constructed on a BOT model, and will be transferred to the local government together with Pingdu Project Phase I. With an investment of approximately RMB150 million, Pingdu Project Phase II has a designed daily household waste processing capacity of 300 tonnes. It will be equipped with one 300 tonnes/day grate furnace that is self-developed by the Group and one set of 6 MW turbine power generator. Its gas emissions will fully comply with relevant national standards, with the daily average level of online monitored gas emissions superior to the Euro 2010 Standard. After Pingdu Project Phase II completes construction, Pingdu Project will have a total designed daily waste processing capacity of 900 tonnes and is expected to generate green electricity of approximately 98 million kWh annually.

In addition, Everbright International has reached a supplementary concession agreement with the Housing and Urban-Rural Development Bureau of Ninghai County in Ningbo City, Zhejiang Province. According to the supplementary agreement, Ninghai Project's total designed daily waste processing capacity will increase from 1,050 tonnes to 1,500 tonnes. The project will be constructed in two phases on a BOT model, with a concession period of 28 years (construction period inclusive). With a designed daily household waste processing capacity increasing from 700 tonnes to 1,000 tonnes, the investment of Ninghai Project phase I increases to approximately RMB720 million. It will be equipped with two 500 tonnes/day grate furnaces that are self-developed by the Group and one set of 25MW turbine power generator. It is expected to provide over 133 million kWh of green electricity annually. The gas emissions will fully comply with relevant national standards, with the daily average level of online monitored gas emissions superior to the Euro 2010 Standard.

Separately, Ji'nan Leachate Project will be invested in and constructed on a BOO (Build-Operate-Own) model. With an investment of approximately RMB152 million, the project will be responsible for two areas of work, namely the leachate treatment and the concentrate treatment. The project has a designed daily leachate treatment capacity of 1,100 m³ (which will be adjusted to 800 m³ after 2021) for a concession period of seven years (construction period inclusive), and also a designed daily concentrate treatment capacity of 200 m³ for a concession period of three years (construction period inclusive). Ji'nan Leachate Project will adopt the "Pre-treatment + A/O Biochemical + Ultrafiltration + Softening + Two-stage DTRO + HPRO + RO" process and the "Pre-treatment with concentrate water + MVR (Mechanical Vapor Recompression)" process. The processes will help to realise the "Zero Discharge" of the leachate and concentrate treatment.

Mr. Wang Tianyi, CEO of Everbright International, said, "Everbright International set many record highs in 2018. In particular, it achieved many excellent results in market expansion, such as tapping into a municipality and making market breakthroughs in several provincial capital cities. The strong development momentum has further enhanced the Group's leading position in the environmental protection industry. Since 2019, Everbright International has already secured eight environmental protection projects, which undoubtedly best demonstrates the Group's strengths in professional expertise and brand influence. Everbright International will continue its steady growth momentum, as it is supported by opportunities arising from the market in which the development of enterprises are supported by relevant national policies and strong players are driving out the weak, required by the Group's vision of becoming a world-leading industry player, and also expected by its investors following the Group's HKD10 billion rights issue. In the meantime, while pursuing its business growth, Everbright International is committed to social responsibilities, bearing in mind its corporate mission of ‘Creating Better Investment Value and Undertaking More Social Responsibility'. It has set a goal of growing into a world-class ecological and environmental group with a diversified and comprehensive industrial chain."