Mitsui & Co., Ltd. ("Mitsui", head office: Tokyo, CEO: Masami Iijima), through Galaxy NewSpring Pte. Ltd. ("Galaxy"), a joint venture company equally held by Mitsui and Hyflux Ltd. ("Hyflux") has entered into an agreement to operate two additional operational assets in China.
The operational assets are situated in two provinces, Shandong and Chongqing, where industrialization and urbanization are rapidly growing, and they will significantly contribute to the development of the regional community and environmental preservation. In addition, these operation assets include expansion plans and other potential enhancement projects in these provinces.
Galaxy will invest approximately six billion JPY for the two operational assets, and together with the existing assets held by Galaxy, the total investment is planned to be thirty-five billion JPY. The total designed capacity upon commencement of operation of all assets by Galaxy will be over 1,000,000m3/day. Galaxy has been improving local operation and management, and will operate these 2 operational assets along with the twenty-two water treatment plant operational assets, which Galaxy is currently operating in China.
Details of the two Operation Assets
Please scroll horizontally to look at table below.
|Chongqing||Hechuan||Wastewater Treatment||20,000m3/Day||30 years|
|Shandong||Xiajin||Water Treatment||50,000m3/Day||32 years||Expansion Plan*|
*The capacity of 2nd Phase Expansion is 50,000m3/day, collectively 100,000m3/day.
Along with its recent economic development, concerns of pollution and shortage of water resources in China have been rising, and with the Chinese government having set a policy to improve domestic water infrastructure as the most important policy, demand for water supply and sewage treatment facilities is expected to grow. Through Galaxy, we intend to capture China's water infrastructure demand, which is expected to grow rapidly, and expand its water business with new customers such as local government and industrial parks. Mitsui will contribute to the solution of global water issues as an independent water business developer.
This announcement contains forward-looking statements. These forward-looking statements are based on Mitsui's current assumptions, expectations and beliefs in light of the information currently available to it and involve known and unknown risks, uncertainties and other factors. Such risks, uncertainties and other factors may cause Mitsui's actual results, financial position or cash flows to be materially different from any future results, financial position or cash flows expressed or implied by these forward-looking statements. These risks, uncertainties and other factors referred to above include, but are not limited to, those contained in Mitsui's latest Annual Securities Report and Quarterly Securities Report, and Mitsui undertakes no obligation to publicly update or revise any forward-looking statements.
This announcement is published in order to publicly announce specific facts stated above, and does not constitute a solicitation of investments or any similar act inside or outside of Japan, regarding the shares, bonds or other securities issued by us.