Everbright Water Secures Three Environmental Protection Projects

Singapore and Hong Kong, 4 July 2019 – China Everbright Water Limited ("Everbright Water" or the "Company", stock codes: U9E.SG and 1857.HK) (中国光大水务有限公司), an environmental protection company focusing on water environment management, is pleased to announce that the Company has recently secured three projects, namely: Liaoning Dalian Pulandian Reusable Water Project, Inner Mongolia Tongliao Development Zone Waste Water Treatment Project ("Tongliao Project") Upgrading and Expansion, and Shandong Dezhou Lingcheng Waste Water Pipeline Network PPP Project ("Dezhou Pipeline Project") Expansion. These projects command a total investment of approximately RMB340 million.

Pulandian Reusable Water Project will be invested in, constructed and operated on a ROT (Rehabilitate-Operate-Transfer) model. With a designed daily reusable water supply capacity of 40,000 m³ and a concession period of 20 years, the project commands a total investment of approximately RMB105.7 million, which is comprised of the transfer price for the project amounting to approximately RMB84.57 million, and the upgrading work of the project amounting to approximately RMB21.13 million. Located within the plant area of Everbright Water’s Pulandian Waste Water Treatment Project ("Pulandian Waste Water Project") Phase I, Pulandian Reusable Water Project will comply with the national Grade 1A standard according to the Discharge Standard of Pollutants for Municipal Wastewater Treatment Plant (GB18918-2002) ("national Grade 1A standard") for its discharged water. Its discharged water will be used for water replenishment for rivers within the Pulandian District and for recycling and reuse by industrial. The sludge generated from Pulandian Reusable Water Project will be treated in the advanced sludge treatment unit of Pulandian Waste Water Project Phase I and the water content of sludge after dehydration process will be no higher than 60% of total sludge weight.

Tongliao Project Upgrading and Expansion will be invested in and constructed on a BOT (Build-Operate-Transfer) model, and commands an investment of approximately RMB169.4 million, with the concession period ending concurrently with that of Tongliao Project. After upgrading and expansion work is completed, the designed daily waste water treatment capacity of Tongliao Project will increase from 30,000 m³ to 50,000 m³, with discharged water complying with the national Grade 1A standard. The discharged water of the project will be used for water replenishment for rivers within the Tongliao Economic and Technological Development Zone.

With an investment of approximately RMB65 million, Dezhou Pipeline Project Expansion will be invested in and constructed on a BOT model, with the concession period ending concurrently with that of Dezhou Pipeline Project. The expansion work includes the development of approximately 10.24 kilometers of waste water pipeline network, which will primarily cover the old urban areas of the Lingcheng District, extending to the north of Dingdong Road, south of the Outer North Ring Road, east of Fuxing Street and west of Outer East Ring Road.

In the first half of the year, Everbright Water delivered a notable result in market expansion, with the water treatment capacity increasing by more than 900,000 m³. This has laid a solid foundation for the Company's next phase of development. In the future, Everbright Water will proactively explore opportunities for business development. In the meantime, it will make smooth progress for its projects that are in preparatory stage and under construction, and also ensure that its operating projects run stably and comply with relevant discharge standards. By these means, the Company will be able to provide excellent water environment management services to communities and residents where the Company’s projects are located, and also to continue supporting the local sustainable development."