New | Xinyi Glass to invest in China wind farms under diversification plan
Glass manufacturer signs local government deal to operate three wind farms on mainland
Xinyi Glass Holdings is diversifying into wind energy with plans to invest in three wind farms on the mainland, the Hong Kong-listed firm said on Friday.
Xinyi’s wholly owned subsidiary Xinyi Energy Smart (Wuhu) on Thursday signed an agreement with the local government in Jinzhai county, Lu’An city, Anhui province, where Xinyi Energy will invest in and operate three wind farms generating up to 300 megawatts of electricity for the county, the glass manufacturer said in a statement to the stock exchange.
The local government will help Xinyi Energy to obtaining government approvals and land use rights with a total area of 50,000 square metres for the wind farms.
“This business diversification strategy to the renewable energy sector will be beneficial to the future business development of the company and the shareholders of the company.” Xinyi Glass said. “The wind farm project represents an extension of the environmental-friendly and energy-saving business of the company to the renewable energy business.”
Xinyi Glass said it would draw on its experience in electricity generation in the production process using renewable energy, such as residual heat and solar energy.
In its 2014 interim report, Xinyi chairman Lee Yin Yee said the Chinese glass market was in a volatile and unfavourable condition.
