01/11/2010

BEWG AND AQUALYNG JOIN FORCES TO DEVELOP

Beijing Enterprises Water Group Limited (“BEWG”) has successfully subscribed 50% equity interest in Aqualyng China Limited (“Aqualyng China”), a company established by desalination leader Aqualyng Holding AS (“Aqualyng”), as part of its expansion plans into the Chinese water sales market. BEWG and Aqualyng will, as their first joint activity in China, construct a 50 000m3/day reverse osmosis desalination plant to serve the water needs of the Caofeidian Industrial Zone in China. The two companies will operate the plant during the 30-year term of the offtake agreement together with the Tangshan Caofeidian Infrastructure Construction Investment Co. Ltd (“IIC”).

Beginning 2010, Aqualyng China and IIC set up a joint venture company to construct and undertake the design, operation, ownership and maintenance of a 50,000 m3/day seawater desalination plant in the Caofeidian Industrial Zone. The project is the first phase of a 400,000 m3/day development. As part of the newly signed agreement between BEWG and Aqualyng, BEWG becomes a new strong shareholder in one of the largest water sales desalination plants under construction in China.

Mr. Hu Xiaoyong, CEO of BEWG, said, “This Project not only supplies water to the electric plants in the Caofeidian Industrial Zone and enterprises in the other industrial zones, but will also be the landmark to the Group’s development on the business of the large-scale seawater desalination.  Coupled with the Group’s extensive business network in China and Aqualyng’s professional experience, we continue to invest in seawater desalination projects in China or other regions.”

Mr. Brynjulf Lomsdalen, CEO of Aqualyng, said: “China is the prime focus market for our company moving forward, and with the ongoing construction of our first Chinese water sales project in Caofeidian, we have secured a strong platform for future growth in one of the most dynamic desalination markets globally. With BEWG as co-owner in Aqualyng China, we have further strengthened our foothold for future expansion in China. BEWG’s local experience and financial strength combined with Aqualyng’s technology and seawater desalination experience will create a strong partnership in the growing Chinese desalination market.”

Back to news listing