Microsoft Word - CEL Tianshui Announcement.doc



CITIC ENVIROTECH LTD

(Company Registration Number: 200306466G)

=============================================================== CITIC Envirotech Won RMB 400 Million EPC Contract to Construct a MBR Wastewater Treatment Plant in Gansu Province, China



The Board of Directors of CITIC Envirotech Ltd. ('CEL' or 'Company') is pleased to announce that on 20 October 2015, the Company was awarded a RMB 400 million (SGD 88 million) engineering, procurement, construction (EPC) contract to construct a 80,000 m3/day wastewater treatment plant (WWTP) in Tianshui City, Gansu Province, China.


Tianshui City, with population of about 3.5 million, is the second largest city in Gansu Province. The WWTP will use the Company's proprietary Membrane Bioreactor (MBR) technology to treat municipal wastewater. When completed, it will be the first large scale underground MBR in Western China.


MBR technology is very 'land-use efficient'. MBR WWTP typically only requires 20- 30% of the space occupied by conventional WWTP. Tianshui plant further reduces its land requirement by adopting an underground design. CEL is one of the pioneers in underground MBR. The Company's Jingxi underground MBR plant in Guangzhou, with treatment capacity of 100,000 m3/day, set industry milestone when it was completed in July 2010 as it only occupied 10% of the footprint of a conventional WWTP.


With higher value given to land-use efficiency, the Company is confident that MBR technology will become more widely adopted across China. As an integrated membrane- based water solutions provider with excellent track record, the Company is well poised to benefit from this trend.


The project will commence immediately and it is expected to be completed in 18 months. The project is not expected to have any material financial impact on the net tangible assets per share and earning per share of the group for the financial year ending 31 December 2015.


None of the Directors and controlling Shareholders has any interest, direct and indirect (other than through their shareholdings in the Company) in the project.


For and on behalf of the Board


Dr Lin Yucheng

Group CEO and Executive Director

20 October 2015

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