WATER treatment specialist Hyflux Ltd has secured new projects worth about 237 million yuan (S$47.8 million) in China.

Its fully-owned subsidiary Newspring Utility has been given a 28-year concession in Xiajin, Shandong Province, to design, construct, operate and maintain a 50,000 cubic metre per day potable water-treatment plant. The estimated project value is 102 million yuan and the plant is expected to be completed by the end of next year.

Newspring has been granted the first right to negotiate for extending the concession upon its expiry.

Over in Shuangjie, a town in Beichen District in Tianjin City, the district has granted Newspring a 30-year concession to design, construct, build, operate and maintain a 50,000 cubic metre per day waste water-treatment plant that has a water recycling capability to produce up to 30,000 cubic metres per day of recycled water.

The estimated project value is 135 million yuan and the project is slated for completion by early 2009. Again, Newspring has the first right to negotiate for the extension of the concession agreement upon its expiry.

With the latest two projects, the group has now under operation and construction 22 municipal projects in China. 'These projects will be funded by Hyflux Group from its existing resources and are not expected to have a material financial impact for the current financial year,' Hyflux said.

Hyflux's first-quarter earnings plunged 87 per cent to $1.4 million, as a lag time between the signing and execution of industrial projects contributed to a 60 per cent fall in revenue to $13.4 million.