Everbright International Secures Multiple Waste-to-energy Projects, Contributing Additional Daily Waste Processing Capacity of 4,500 Tonnes

Hong Kong, 21 May 2020 – China Everbright International Limited ("Everbright International" or "Company") (HKSE: 257) is pleased to announce that the Company has recently signed four waste-to-energy projects in succession, contributing additional daily waste processing capacity of 4,500 tonnes/day, with a total investment of approximately RMB2.815 billion. The new projects include: Zhangjiakou Waste-to-energy Project ("Zhangjiakou Project") Phase I in Hebei Province, Xinyang Waste-to-energy Project ("Xinyang Project") Phase I in Henan Province, Yongzhou Southern Waste-to-energy Project ("Yongzhou Southern Project") Phase I and Hengnan Waste-to-energy Project ("Hengnan Project") in Hunan Province.

Zhangjiakou Project Phase I, with an investment of approximately RMB1.16 billion, will be invested in and constructed based on a PPP (Public-Private Partnership) model for a concession period of 30 years. With a daily waste processing capacity of 1,800 tonnes, the project will be equipped with three 600 tonnes/day mechanical grate furnaces and a 36MW medium-temperature medium-pressure turbine power generator, and is expected to generate green electricity of approximately 212 million kWh 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. As ancillary infrastructure of the 2022 Winter Olympics, the project will be equipped with several household waste transportation facilities, which is expected to collect approximately 288,000 tonnes of waste annually. Currently, Zhangjiakou Project Phase I has been shortlisted in the Medium and Long-term Plan on the Household Waste-to-energy Sector in Hebei Province (2018-2030), and will follow relevant requirements to apply for the national renewable energy subsidies after it completes construction and commences operation. According to the project agreement, the project company’s eligibility for the renewable energy subsidies will be in correlation to the adjustment mechanism of waste treatment fee, in order to secure reasonable return.

Xinyang Project Phase I, with an investment of approximately RMB790 million, will be invested in and constructed based on a PPP model for a concession period of 30 years. With a designed daily waste processing capacity of 1,500 tonnes, the project will be equipped with two 750 tonnes/day mechanical grate furnaces and a 35MW turbine power generator, and is expected to generate green electricity of approximately 198 million kWh 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. Currently, Xinyang Project Phase I has been shortlisted in the Medium and Long-term Plan on Household Waste-to-energy Sector in Henan Province (2018-2030), and will follow relevant requirements to apply for the national renewable energy subsidies after it completes construction and commences operation. According to the project agreement, the project company’s eligibility for the renewable energy subsidies will be in correlation to the adjustment mechanism of waste treatment fee, in order to secure reasonable return.

Yongzhou Southern Project Phase I, with an investment of approximately RMB435 million, will be invested in and constructed based on a PPP model for a concession period of 30 years. With a designed daily waste processing capacity of 600 tonnes, the project will be equipped with two 300 tonnes/day mechanical grate furnaces and a 12MW turbine power generator, and is expected to generate green electricity of approximately 95.13 million kWh 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. Yongzhou Southern Project Phase I has been shortlisted in the Medium and Long-term Plan on Household Waste-to-energy Sector in Hunan Province (2019-2030), and will follow relevant requirements to apply for the national renewable energy subsidies after it completes construction and commences operation. According to the project agreement, the project company’s eligibility for the renewable energy subsidies will be in correlation to the adjustment mechanism of waste treatment fee, in order to secure reasonable return.

Hengnan Project, with an investment of approximately RMB430 million, will be invested in and constructed based on a PPP model for a concession period of 30 years. With a designed waste processing capacity of 600 tonnes, the project will be equipped with two 300 tonnes/day mechanical grate furnaces and a 12MW turbine power generator, and is expected to generate green electricity of approximately 92.70 million kWh 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. Hengnan Project has been shortlisted in the Medium and Long-term Plan on Household Waste-to-energy Sector in Hunan Province (2019-2030), and will follow relevant requirements to apply for the national renewable energy subsidies after it completes construction and commences operation. According to the project agreement, the project company’s eligibility for the renewable energy subsidies will be in correlation to the adjustment mechanism of waste treatment fee, in order to secure reasonable return.

Mr. Wang Tianyi, CEO of Everbright International, said, "Amid various challenges so far this year, such as the COVID-19 spread, fast-changing external environment and adjustments to the industry policies, Everbright International has been carrying out business development more steadily. Besides striving to expand asset-light businesses, the Company has been paying more attention to the waste-to-energy business, its traditional and advantageous business segment, in terms of project quality, profitability, particularly securing national subsidies and improvement of the fee adjustment mechanism. Amidst such a special period of time, Everbright International will proactively coordinate and promote epidemic control and business operation, and strive for smooth progress of projects in every stage, with an aim of facilitating the local ecological and environmental protection, as well as ecological conservation."