Jiangsu United Water Technology (SH:603291) Shang Hai Zheng Quan Bao·2026-01-08 19:16Core Viewpoint - Jiangsu United Water Technology Co., Ltd. has won a bid for a long-term operation and maintenance project for sewage treatment plants in Saudi Arabia, marking a significant step in the company's international expansion strategy [1][8]. Project Overview - Project Name: Long-term O&M (LTOM) Contracts for Sewage Treatment Plants Package 10 (North Cluster) [1] - Project Scope: The project involves the operation and maintenance of 9 sewage treatment plants with a total capacity of 337,800 cubic meters per day, including restoration, efficiency enhancement, and sludge treatment facilities [1][2]. - Project Duration: The cooperation period is 15 years, including a 3-year non-stop restoration phase [3]. - Total Estimated Investment: Approximately 203 million Saudi Riyals, equivalent to about 378 million RMB [3][10]. Project Financials - Revenue Mechanism: The project revenue will consist of capacity income, output income, and standby income, ensuring coverage of capital and operational costs [3]. - Funding Sources: The project will be financed through self-funding and bank financing [3]. Joint Venture Details - Joint Venture Members: The consortium includes Prosus Energy LLC and Armada Holding Company, with Jiangsu United Water as the leading entity responsible for project operations and financing [6]. - Responsibilities: Jiangsu United Water will handle project surveying, design, and part of the construction, while Armada Holding will manage construction and local business communications, and Prosus Energy will act as a financial investor [6]. Market Context - Demand Drivers: The sewage treatment demand in Saudi Arabia is rapidly increasing due to population growth and urbanization, while current treatment capacity is insufficient, leading to environmental pollution [7]. - Strategic Importance: The project aligns with Saudi Arabia's Vision 2030 and National Water Strategy, which prioritize water security and infrastructure investment [7]. Company Impact - Competitive Strength: The successful bid demonstrates the company's capability to compete internationally and manage complex projects, enhancing its position in the Middle Eastern water market [8]. - Future Prospects: The project is expected to positively impact the company's operational performance and lay a foundation for further expansion into South Asia and Southeast Asia [8].