Kaidi Holding to Invest $2.48 Billion for Biomass Energy Projects in Jiangxi Province

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Researched by Industrial Info Resources (Sugar Land, Texas)--Wuhan Kaidi Holding Investment Company Limited (Wuhan, Hubei), the holding company of Wuhan Kaidi Electric Power Company Limited (Wuhan) (SHE:000939), signed a strategic cooperation agreement involving the biomass energy industry with the Forest Department of Jiangxi province on January 5, 2009.

In the 10 years between now and 2018, Wuhan Kaidi Holding will invest $2.48 billion to build 30 biomass-fueled power plants of 25 megawatts each, 10 biomass oil refineries with capacities of about 1,000 barrels per day, 10 organic fertilizer plants with 100,000 metric tons of annual production capacity, as well as facilities to produce and process agricultural and biomass materials.

"Biomass energy is a kind of renewable energy, and has been used as one of the important substitutes for petroleum products in many countries around the world," said Yilong Chen, Chairman of Wuhan Kaidi Holding. Jiangxi is a province rich in forest resources. In addition to the $2.48 billion of investment proposed at present, the actual investment would be further expanded to about $4.38 billion during implementation of the projects. Hence, an emerging industry would be established in Jiangxi.

Wuhan Kaidi Holding is one of the major green energy developers in China. Prior to the signing of the agreement with Jiangxi province, the company signed similar agreements with local governments in central China, including those of the Hubei, Hunan and Anhui provinces.

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