The firm hopes to raise US$500 million in Hong Kong as it sets up a wholly owned 2 x 600MW generator in Anhui
China Power International is signing a US$640 million deal next week to build a wholly owned 2 x 600-megawatt coal-fired power plant in Anhui, according to top provincial officials.
The firm, which is applying for a Hong Kong listing to raise about US$500 million, is an overseas arm of China Power Investment Group, one of the big five power-generating groups created from the break-up of State Power Corp in December 2002. It is controlled by Li Xiaolin, daughter of former premier Li Peng.
China Power operates five plants in Henan, Jiangsu, Anhui and Liaoning provinces with a total generating capacity of 2,632MW.
Anhui vice-governor Wen Haiying yesterday said projects by China Power and Hong Kong's CLP Holdings were among the largest of 66 investment deals worth US$2.97 billion that would be signed at a provincial trade fair in Hong Kong next week.
Ms Wen said CLP would invest US$390 million for a 50 per cent stake in a 4 x 600MW coal-fired power plant in the province. Domestic partner Huinan Coal Mining would hold the remainder.
The director of Anhui's bureau of commerce Wang Fuhong said the venture, which would combine CLP's electricity generation and distribution expertise with Huinan Coal's fuel supply, would be CLP's first investment in the province.
