Everbright Water Secures Shen County Waste Water Treatment (Plant 3) and Ancillary Pipeline Network PPP Project in Liaocheng City, Shandong Province, Marking Further Breakthrough in Industrial Waste Water Treatment Business

Singapore and Hong Kong, 20 February 2023 - China Everbright Water Limited ("Everbright Water" or the "Company"; stock codes: U9E.SG and 1857.HK) (中國光大水務有限公司), an environmental protection company focusing on water environment management, is pleased to announce that the Company has today secured Shen County Waste Water Treatment (Plant 3) and Ancillary Pipeline Network PPP (Public-Private Partnership) Project ("Shen County Project") in Liaocheng City, Shandong Province, with an estimated investment of approximately RMB668 million.

Shen County Project will be invested in, constructed, operated and maintained by a project company, in which Everbright Water will hold a 98% equity interest, based on a BOT (Build-Operate-Transfer) model, for a cooperation period of 30 years (including construction periods). The project will be mainly responsible for providing industrial waste water treatment services to those enterprises located in the Western Shandong Economic Development Zone and to meet the future demand on waste water treatment service. The project will construct a new waste water treatment plant, pipeline networks with a total length of 38 km and a pumping station. Shen County Project will be constructed in two phases with a total designed daily waste water treatment capacity of 60,000 m³. Phase I of the project is designed to have a daily waste water treatment capacity of 40,000 m³, with a construction period of two years and an operation period of 28 years, while phase II of the project is designed to have a daily waste water treatment capacity of 20,000 m³, with a one-year construction period, starting from the eighth year of the cooperation period, and the operation period shall be 22 years. Key indicators of the discharged water from the project will comply with the Environmental Quality Standards for Surface Water (GB3838-2002) for Category Quasi-IV.

Shen County Project is a water plant and pipeline integration project, which has the largest industrial waste water treatment capacity and the highest discharge standard among those projects secured by Everbright Water to date. The project further enriches the Company's business layout in the water market of Shandong Province, enhances the Company's local service capabilities, and solidifies the Company's position in the local market. Securing the project is the remarkable result of the efforts made by the specialised teams which were formed by the Company since last year on doing research and exploring the industrial waste water business, which is encouraging. Everbright Water will make persistent efforts to consolidate its traditional business and tap the potential of its existing business. Meanwhile, it will continue to carry out relevant exploration and innovation work, as well as to expand new business areas, in a bid to steadily move towards its development vision of "Creating Value to Industries through Various Water-related Businesses".