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          Infrastructure projects in Hebei call for bids
          2010-07-23

          52. The Water Feed Pipelines Qilihe New District and Photovoltaic Industry Park, Xingtai City

          Ⅰ. Project Contents

          The construction of Qilihe New District and Photovoltaic Industry Park is recently the main project of the urban construction of Xingtai City. This project is located at the south of the city proper, and within the area on both sides of Qilihe New District. The construction mainly involves construction of water feed pipelines of 128 km, of which water feed pipelines to Qilihe New District and Photovoltaic Industry Park are respectively 79 km and 49 km long, with one booster pump station of 20,000 m3/d.

          Ⅱ. Investment Estimate and Financing

          This project involves a total investment of 25.26 million dollars, of which water feed pipelines to Qilihe New District and Photovoltaic Industry Park require an investment of 10.64 million dollars and 14.62 million dollars respectively. The funds will come from subsidies of the state and the local government or other financing modes.

          Ⅲ. Market Analysis

          This project is located at the south of the city proper. Qilihe New District has fine scenery, and a strong appeal for clusters of population and commerce, thus enjoying good prospects in water need. Photovoltaic Industry Park is a high-tech park, and needs water mainly for industrial use, thus able to consume a huge water volume and bring the project a high rate of return on investment.

          Ⅳ. Construction Conditions

          The land lot for the project was allocated for use of construction of the road network of Qilihe New District and Photovoltaic Industry Park by the local government, being for municipal public use by nature.

          Ⅴ.Benefit Analysis

          The project construction period is two years. The total costs of the project mainly consist of taxes, spending on raw materials purchased and fuels & power, expenses of depreciation and amortization of fixed assets, wages & fringe benefits, expenses of routine maintenance and overhaul, other expenses, interest, etc.. The payback period is 7.32 years; the profit-to-investment rate, 19.6%; the internal rate of return, 20.27%. Thus this project will have satisfactory financial results.

          Ⅵ.Chinese Enterprise's Profile

          Xingtai Water Industry Group Limited is a solely-state-owned company to conduct a unified operation and management of the water-related affairs within Xingtai City proper, founded by Xingtai City Government for straightening out the management system of city water feed and drain, making right distribution and use of water resources, and achieving an integration of water diversion, feed and drain. Starting operation on Dec. 27, 2007, it has total assets of 535 million yuan, more than 1000 employees including more than 300 specialized technical personnel, and five affiliates – Jinquan Water Feed Co., Ltd., Xingtai Sewage Treatment Plant, Jinyuan Reclaimed Water Development Co., Ltd., Jinyong Spring Water Development Co., Ltd., and Zhuzhuang Water Feed Co., Ltd.. It also has the duty of collecting the whole charges for sewage treatment, partial charges for water resources, Fund for South-to-North Water Diversion, local surcharge for city construction, etc. on behalf of the city government.

          Ⅶ.Cooperation Mode

          Joint venture, or others.

          Ⅷ.Liaison

          Contact persons: Fan Lijun Cao Maokang Xingtai Water Industry Group Limited Address: 86 South Gangtie Road, Xingtai City Tel:86-319-2621822 2136256 Fax:86-319-2627768 2136160 Email: xtsyflj@163.com

          53. The Sewage Treatment No.2 Plant, Xingtai City

          Ⅰ. Project Contents

          This project is launched timely according to requirements of Hebei Province's campaign of "Great Changes in Three Years" and the environmental protection department, and also is a key project planned by Xingtai City Government with a look-ahead perspective. This project is located at the east of Xingtai New & High-tech Industrial Development Zone, on the eastern side of Zhenxing Qi Road, and the southern bank of the Niuweihe River. The construction size is 120,000 m3/d. Advanced treatment size of the phase-1 construction is 50,000 m3/d.

          Ⅱ. Investment Estimate and Financing

          This project involves a total investment of 35.09 million dollars, of which the phase-1 investment is 14.62 million dollars. The funds will come from subsidies of the state and the local government or other financing modes.

          Ⅲ. Market Analysis

          This project after completion will generate an increase of 100,000 m3/d in the treatment capacity. As the project site is far away from the city proper, and has a low terrain, it will have less pollution to the city, a low cost of operation, and great financial results. It can improve the urban environment of Xingtai City, and benefit the urban development and the local residents' lives, thus having outstanding social results.

          Ⅳ. Construction Conditions

          With the urban continuous development and the constant improvement of the existing drain system, the sewage volume will greatly increase. More important, special funds of the state and the local government for projects of urban infrastructure and environment protection, as well as collection and increase of sewage treatment charges can financially ensure the project construction. The land lot for the project was allocated for municipal use by the local government, being for municipal public use by nature.

          Ⅴ.Benefit Analysis

          The project construction period is two years. The total costs of the project mainly consist of taxes, spending on raw materials purchased and fuels & power, expenses of depreciation and amortization of fixed assets, wages & fringe benefits, expenses of routine maintenance and overhaul, other expenses, interest, etc.. The payback period is 15.13 years; the profit-to-investment rate, 1.78%; the profit-to-investment rate, 5.2%; the internal rate of return, 3.68%. The financial analysis indicates that this project will have satisfactory financial results, and also have a certain anti-risk capability. In respect of social benefits, it will play a significant part in the local economic development, social progress and improvement of local residents' lives.

          Ⅵ.Chinese Enterprise's Profile

          Xingtai Water Industry Group Limited is a solely-state-owned company to conduct a unified operation and management of the water-related affairs within Xingtai City proper, founded by Xingtai City Government for straightening out the management system of city water feed and drain, making right distribution and use of water resources, and achieving an integration of water diversion, feed and drain. Starting operation on Dec. 27, 2007, it has total assets of 535 million yuan, more than 1000 employees including more than 300 specialized technical personnel, and five affiliates – Jinquan Water Feed Co., Ltd., Xingtai Sewage Treatment Plant, Jinyuan Reclaimed Water Development Co., Ltd., Jinyong Spring Water Development Co., Ltd., and Zhuzhuang Water Feed Co., Ltd.. It also has the duty of collecting the whole charges for sewage treatment, partial charges for water resources, Fund for South-to-North Water Diversion, local surcharge for city construction, etc. on behalf of the city government.

          Ⅶ.Cooperation Mode

          Joint venture, or others.

          Ⅷ.Liaison

          Contact persons: Fan Lijun Cao Maokang Xingtai Water Industry Group Limited Address: 86 South Gangtie Road, Xingtai City Tel:86-319-2621822, 2136256 Fax:86-319-2627768, 2136160 Email: xtsyflj@163.com

          54. The Infrastructure Construction of Huangsi Vocational Education Park Xingtai City

          Ⅰ. Project Contents

          Huangsi Vocational Education Park is a park as one of priorities in the construction plan of Xingtai City with an approval by Hebei Provincial Government. The operation of park infrastructure construction adopts an enterprise-run manner. The construction involves road networks of 10,000 m, facilities of water and power, landscaping, commercial facilities, etc..

          Ⅱ. Investment Estimate

          This project involves a total investment of 5.85 million dollars, of which 1.02 million dollars is for roads and auxiliary facilities, 1.17 million dollars for auxiliary facilities of water and power and landscaping, 2.92 million dollars for commercial facilities, and 730,000 dollars for others.

          Ⅲ. Market Analysis

          This project has good market prospects. At present, the base of relocation and nursing experiment drilling of 2-year Study Department to Xingtai Medical College is under construction, involves an investment of 52.63 million dollars, and covers an area of 800 mu, which will start the first enrolment of 5000 new students in Sep. 2010, and reach more than 10,000 new students in three years. Meanwhile, several vocational schools in Xingtai City plan relocation into the Park.

          Ⅳ. Construction Conditions

          The Park is located north of Sucun Village and east of Huangsi Village, and 12 km of Xingtai-Xiyang Highway. Covering an area of 8 km2 (12000 mu), it has an easy access to transport and adequate availability of power. Now a 40,000 tons/d waterworks involving an investment of 70 million yuan is under construction. The highest elevation of the Park is 163 m, the lowest elevation 110 m, the drop in the elevation 53 m, and the idle land gradient less than 10 degrees, belonging under Category-3 terrain of hilly land.

          Ⅴ.Benefit Analysis

          This project needs to establish a commercial company in order to operate the project in an enterprise-run manner. This project will yield an annual income of 11.7 million dollars, and profits & taxes of 2.92 million dollars.

          Ⅵ.Cooperation Mode

          Joint venture or sole venture.

          Ⅶ.Liaison

          Contact persons: Li Zhongfu Head of Huangsi Town, Xingtai County Tel:86-319-2817227 Fax:86-319-2817077 Email:wenqing8515@yahoo.cn





           
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