Tri-Tech Holding Wins $40 Million Joint Contract for China Treatment Plant
Drinking water treatment plant will bring water quality in compliance with new standards
Tri-Tech Holding Inc., a Chinese company that provides leading turn-key solutions in China for water resources, water and wastewater treatment, industrial safety and the pollution control market, announced that it won a joint bid for a major drinking water treatment plant with a daily capacity of 96,000 cu meters for the city of Ordos in the Inner Mongolia Autonomous Region.
The Ordos plant will apply both ultra-filtration and nanofiltration technologies, and is expected to be one of the largest drinking water treatment plants of this kind in China.
Tri-Tech jointly bid with Beijing Anguo Water Treatment Automation Engineering Technology Co. Ltd. (Anguo) and Fourth Construction Co. of Hebei Province to provide value engineering, procurement and construction general contractor services. Tri-Tech and Anguo will establish a joint venture project entity to serve as the general contractor. Tri-Tech will own 80% of the venture, and Anguo will own 20%. Fourth Construction will serve Tri-Tech and Anguo as the civil construction sub-contractor on the project.
The project will be implemented under a build-transfer contract. The total budget for Phase 1 of the project will be RMB270 million (approximately $40 million). Tri-Tech expects to recognize revenues of approximately $32 million for its role in the project, which will be completed by late 2011. After completion, the water treatment plant will be transferred to the Dongsheng District, Municipality of Ordos.
The plant will cover 150,000 sq meters and will provide a daily treatment capacity of 96,000 cu meters in Phase 1. Tri-Tech will use the traditional process of flocculation, sediment and conventional filtration for pre-treatment, and will ultra-filtration and nanofiltration technologies for advanced treatment. The source water will be groundwater. After treatment, the quality of water will meet the new national standards for drinking water set in 2006.
According to the bid plan, the joint venture will provide the primary pressure pump station, engineering optimization, construction, equipment procurement, installation and commissioning, operations personnel training, trial run and compilation of the operation and service manuals for the project. The contracts currently are being negotiated, and the establishment of the joint venture company for the project will be completed soon.
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