SINGAPORE - United Envirotech (UEL) today signed an agreement with Beijing Drainage Equipment Co, a wholly owned subsidiary of Beijing Drainage Group Co (BDG), to set up a joint venture in Beijing.
The joint venture, which has a total paid up capital of 48 million yuan (S$9.6 million) will invest 120 million yuan to set up a new state of art manufacturing facility with an initial capacity of assembling two million square metres of membrane fibers into membrane modules.
Memstar, UEL's wholly owned subsidiary, will sell membrane fibers produced in its Singapore plant to the joint venture.
BDG is a China state-owned-enterprise (SOE) established 40 years ago with the approval from Beijing Municipal Government.
"Beijing Drainage Group is a top wastewater treatment SOE in China. It is the leading water player in Beijing. The market for upgrading of Beijing's water and wastewater treatment plants is estimated to be worth 20 billion yuan," said UEL chairman and chief executive Lin Yucheng.