CHINA is to shelve plans of raising funds for the Three Gorges project in stockmarkets after studies indicated lukewarm response from investors.
Lu Youmei, president of China Yangtze Three Gorges Project Development Corporation made the disclosure to the South China Morning Post .
Reports last month said the corporation would seek a listing in the Hong Kong stockmarket for 49 per cent of Gezhouba Hydroelectric Dam - a dam at Yichang, downstream from the Three Gorges, considered part of the project.
The money raised would be used to build the Three Gorges Dam, which would take 17 years to complete and cost 95.4 billion yuan (HK$87.29 billion).
Stocks of the Three Gorges projects would be issued abroad as a fund-raising effort, the report said.
But Mr Lu said plans of listing Gezhouba and Three Gorges Dam were likely to be abandoned because feasibility studies done by financial institutions such as Morgan Stanley and Merrill Lynch had predicted unenthusiastic response.
'Gezhouba which is already completed could pay dividends using its own electricity revenue,' Mr Lu said.
