China Everbright Water Secures Two New Projects in Jiangsu: Business Portfolio Optimisation and Yangtze River Delta Expansion

Key Highlights

• China Everbright Water Limited (U9E.SG, 1857.HK), a leading environmental conglomerate focused on integrated water environment management, has recently secured two significant water treatment projects in Jiangsu Province, China.
• The company acquired:
  • Phase III of the Huaian Huaiyin Dongcheng Wastewater Treatment Project
  • Phase II of the Jiangyin High-Tech Zone Wastewater Treatment Plant (EPC+O)
• These wins represent strategic deepening in the Yangtze River Delta and reinforce Everbright Water’s position as a major provider in the regional water environment sector.
• Both projects are expected to contribute positively to the company’s recurring income and enhance its market footprint.

Project Details

Huaian Huaiyin Dongcheng Wastewater Treatment Project (Phase III)

• Investment Amount: Approximately RMB 90 million.
• Business Model: Build-Operate-Transfer (BOT).
• Concession Period: Aligns with Phase I & II, ending July 2050.
• Design Capacity: 20,000 m³/day of municipal wastewater.
• Discharge Standard: Jiangsu Province Local Standard DB32/4440-2022, Class A.
• Phase I & II (acquired in 2019 & 2021) involved a total investment of RMB 306 million, with a total design capacity of 100,000 m³/day, adhering to GB18918-2002 Class A discharge standard.
• Strategic Importance: The new phase further solidifies Everbright Water’s role in regional wastewater treatment, strengthens its cooperation with Huaian city, and improves local water environment quality and ecological protection.

Jiangyin High-Tech Zone Wastewater Treatment Plant (Phase I, Second Stage, EPC+O)

• Plant Capacity: 30,000 m³/day of industrial wastewater, built in two stages of 15,000 m³/day each.
• Consortium Led by Everbright Water: Previously secured Phase I, Stage I in 2023; operational since H2 2024, providing stable industrial wastewater treatment for the local microelectronics industrial park.
• Scope of Work: The same consortium is responsible for design, procurement, construction, and operation of the second stage. Everbright Water manages operations (6-year period) and collects service fees; its subsidiary, Xuzhou Municipal Design Institute, undertakes design; other members handle procurement and construction.
• Strategic Value: On completion, the plant will significantly enhance the park’s capacity for industrial wastewater treatment, supporting industrial upgrading and the development of a national green industrial park.

Additional Business Developments

• In January, Everbright Water signed a contract for supplying linear valve equipment for the Anyang Municipal Sewage Treatment Center (Henan), facilitating local sewage treatment upgrades and smart plant transformation.
• In March, the company won a contract for the Jiangsu Yixing Economic and Technological Development Zone Industrial Wastewater Upgrading and Supporting Pipeline Network (Defluorination Process Package), supporting green upgrades for the local electronics industry.

Shareholder Considerations and Potential Price Sensitivity

• Steady Expansion in Core Regions: The successive acquisition of major projects in Jiangsu showcases Everbright Water’s ability to win competitive mandates in the Yangtze River Delta, a high-growth region with increasing environmental standards.
• Growing Recurring Revenue Base: New BOT and EPC+O projects typically provide stable, long-term revenue and cash flow, supporting valuation re-rating potential.
• Operational Synergies: The company’s experience and technical reserves in industrial wastewater treatment, especially for high-tech industries, position it strongly for future project wins and cross-selling opportunities.
• Business Model Diversification: Activities spanning equipment supply, process package contracts, and smart plant solutions indicate a broadening business portfolio.
• Environmental Policy Tailwinds: The focus on advanced discharge standards and green industrial park construction aligns well with China’s regulatory direction, adding long-term growth visibility.
• Investors should monitor the ramp-up pace of these projects and their impact on the company’s revenue and profit trajectory over the next few years.

Company Profile

China Everbright Water Limited is a leading integrated water environment provider, listed on the Main Boards of the Singapore Exchange and the Hong Kong Stock Exchange. It covers the full value chain including raw water protection, water supply, municipal and industrial wastewater treatment, water recycling, river basin management, and sludge treatment. The company is present in 13 provinces and cities in Mainland China, with overseas operations in Mauritius, Indonesia, Tanzania, Egypt, UAE, and Thailand. As of now, its designed water treatment and supply capacity totals over 7.6 million m³/day.

For further information, visit the company’s official site: http://www.ebwater.com.

Contact Information

• Media Enquiries: [email protected]
• Investor Relations: [email protected]

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own research or consult professional advisors before making investment decisions. The accuracy and completeness of the information are based on the company’s official disclosures; market conditions may change, affecting the relevance of the information.

View China Everbright Historical chart here