Yongxing Project Overview and Xinyuan Project Investment Highlights slide image

Yongxing Project Overview and Xinyuan Project Investment Highlights

Shantou Project- Phase 1 already in Operation and expected ramp up rapidly Equity Investments Phase 1 Shantou Project-Phase 1 RMB 167 million Phase 2 is under construction, and is expected to be completed in 2021 Phase 2 RMB 133 million Capacity Designed steam capacity (t/h) Annualized steam supply capacity (GJ) Phase 1 3×150 (=450) 5.7 million (1) Phase 1+ Phase 2 3×150+2×260 (=970) 19.0 million (2) Notes: (1) With 2 boilers operational and 1 boiler as backup capacity to ensure constant steam supply to customers; (2) With 4 boilers operational and 1 boiler as backup capacity to ensure constant steam supply to customers Location: Shantou Textile Circular Economy Industrial Park managed by Chaonan Textile, Printing and Dyeing Comprehensive Environmental Treatment Center Project Highlights Strong fundamentals: Exclusive steam supplier with 38.5 years concession. Ready-made, resilient customer base:~128 qualified printing & dyeing companies relocating into the park in phases. ■ Large potential: Textile and garment dyeing industry is a pillar industry in Shantou which contributed -30% of the local GDP in 2017. Shantou is a major national producer of garments and has an established industry cluster. Anticipated strong contributions of long-term, recurring and high-quality income and cashflows, with attractive double-digit IRR. Urgent need to deal with river pollution: Shantou Project is one of the key water pollution control and alleviation measures put in place to clean up heavily-polluted Lianjiang River. 23
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