POWER, water and bridges are among the major mainland infrastructure projects for which Cathay International will pay millions to take controlling interests, according to a company official.
Collectively its subsidiaries have committed more than US$270 million to buy into existing projects to upgrade water and power plants, as well as toll bridges and tunnels in Shandong and Guangzhou.
A preliminary joint-venture agreement last year with Shengli Petroleum, worth $500 million, will be followed by a joint venture to upgrade power systems in Shandong.
To date, the group has injected several million dollars to build up two existing 200 megawatt (mW) coal fired plants.
It also plans to build another two 300 mW plants for a total investment of US$62.5 million. Total output of 1,000 mW will be consumed by the Shengli oilfield, the second largest in China.
As well, it has committed $136 million for a 60 per cent stake in a planned joint venture with the Guangzhou Water Co.
The private company, Cathay International Investment, will upgrade four operating water treatment plants, which supply 73 per cent of the city's water, or 2.2 million cubic metres a day.