On December 9, Gelonghui reported that china hk power (00931.HK) announced that its holding subsidiary, Zhanjiang Huanfeng Energy Technology Co., Ltd., recently successfully acquired the project for centralized energy supply and distribution base in the Lingang Industrial Zone of Zhanjiang, and held an opening ceremony on December 6, 2024.

The group plans to invest no more than 0.8 billion yuan in this project within the Lingang Industrial Zone of the Xiashan District in Zhanjiang, constructing a biomass centralized heating energy station and supporting facilities, as well as laying distribution pipelines. Upon completion, the group will obtain exclusive indefinite operating rights for the project, providing unified industrial steam services to enterprises in the industrial zone and centralized supply and distribution of heat and electricity. The project will be developed in two phases, with planned investment amounts of 0.56 billion yuan and 240 million yuan for the first and second phases respectively, with green steam supply capacities reaching 1.3 million tons/year and 1 million tons/year upon reaching production.

The industrial zone is a provincial development zone established with approval from the National Development and Reform Commission, located in the southern part of Zhanjiang city, adjacent to the Xiashan Port area of Zhanjiang Port, with a planned area of 1,560 hectares. The main industries in the industrial zone are positioned as petrochemicals, machinery manufacturing, auto manufacturing, food processing, paper manufacturing, electronic news, and logistics. Major enterprises and multinational companies, including China National Petroleum Corporation, Sinopec, China National Offshore Oil Corporation, and Russia's Tatar Group, have invested heavily in construction projects such as oil storage tanks, Rbob gasoline power plants, refinery capacity expansions, high-grade asphalt, and liquid ammonia storage tanks within the industrial zone. This project has been included in Guangdong Province's key projects for energy development during the "14th Five-Year Plan" and is also a key construction project in Zhanjiang city. The project's operation aligns with national energy policies and local energy development plans, which helps improve energy efficiency and environmental conditions, achieving regional environmental protection goals.

The board of directors believes that the successful construction and operation of the project will serve as a good demonstration. Taking this opportunity, the company will further expand its integrated energy supply business for surrounding park enterprises, actively seeking more suitable new projects to accelerate the company's market layout and strategic implementation in the new energy field, thereby expanding the company's sources of revenue and profit, which aligns with the overall interests of the company and its shareholders.

This project was obtained by the group according to the approval of the Zhanjiang Xiashan Development and Reform Bureau [2024] No. 1 document. When the group determines the construction start time and officially begins investment and construction, the company will further announce detailed information about the business in accordance with the securities listing rules of the Stock Exchange of Hong Kong Limited.