New World Development and its European partner, Suez Lyonnaise des Eaux, have won a 30-year build-operate-transfer concession to build a 125 million yuan (about HK$115 million) water treatment plant in Lianjiang, Guangdong.
The franchise, signed between Sino-French Water Development and Lianjiang Water Supply, is the fifth to be awarded to the New World-Suez group in China.
The firm has similar concessions in Tanzhou, Guangdong; Nanchang, Jiangzi; Shenyang, Liaoning; and Chongqing, Sichuan.
Jerome Monod, chairman of the Suez Lyonnaise des Eaux supervisory board, said he was delighted with the new contract and hoped it would pave the way for further projects with New World.
The company looked forward to a 'long and fruitful relationship' with China, where it hoped to further strengthen its presence.
The new plant, with a production capacity of 100,000 cubic metres of water a day, will be built by Degremont, a group subsidiary.
Construction will take 18 months and will include raw and treated water distribution pipelines.