Keppel Integrated Engineering (KIE), the environmental technology and engineering division of Keppel Corporation Ltd, has secured a S$13.5 million contract from Tianjin Taihuan Recycling Resources Utilization Co. Ltd to provide technologies and services for its waste-to-energy (WTE) plant.

KIE will supply, install and commission its air-cooled grate and nitrogen oxide removal using SNCR (Selective Non Catalytic Reaction) technology to convert acidic nitrogen oxide components into harmless nitrogen. The Tianjin Taihuan plant will be the first plant in China to be installed with SNCR technology, enabling the nitrogen oxide emission level to be even lower than already stringent European standards.

Located in Guanzhuang, Tianjin, the WTE plant will be able to treat 1000 tonnes of municipal solid waste a day to generate 20 MW of green energy when it is completed in end 2008.

Mr Chua Chee Wui, Chief Executive Officer of KIE, said “This contract is a vote of confidence from our valued customer that we deliver cost-effective and robust environmental solutions to meet their needs.

“It also reaffirms our position as the market leader for imported waste-to-energy solutions in China where we have 60% of the market.”

Separately, KIE has also signed a Memorandum of Understanding (MOU) on strategic partnership and investment with Tianjin Teda Environmental Protection Co., Ltd.

Under the terms of the MOU, KIE and Tianjin Teda Environmental Protection Co., Ltd will jointly develop and invest in the environmental protection market in China.

Added Mr Chua, “This MOU with Tianjin Teda Environmental Protection Co., Ltd is part of our continuous effort to grow our presence in China by establishing strategic partnerships with like-minded partners and provide state-of-the-art environmental solutions that are tailored to the needs of our customers.”

KIE has established a track record of quality solutions and innovative products in China. To date, it is involved in the development of waste-to-energy plants in Guangzhou, Shenzhen, Suzhou, Changshu and Jiangyin.

The aforementioned contract is not expected to have any significant impact on the net tangible assets and earnings per share of Keppel Corporation Limited for the financial year ending 31 December 2006.

Background information

Keppel Integrated Engineering (KIE)
KIE is the environmental technology and engineering division of Keppel Corporation Ltd, a leading company in Singapore, which is listed on the Singapore Exchange Securities Trading Limited. KIE provides technology and fulfillment services for the treatment of municipal solid waste, hazardous and medical waste, wastewater and sludge treatment, potable water, desalination and home filtration systems.

Tianjin Teda Environmental Protection Co., Ltd
Tianjin Teda Environmental Protection Co., Ltd is a conglomerate listed in China. Among its diverse range of businesses is its investment and management of environmental projects, with the objectives of achieving sustainable utilization of natural resources and the development of the environmental protection industry.

Tianjin Economic and Technological Development Area (TEDA)
Established in 1984, TEDA is one of China’s first national-level development areas. With a fully developed market mechanism backed by a sound legal system, transparent policy framework and supportive government, TEDA seeks to attract more investments and hi-tech companies. Presently, the major industries in TEDA are electronics, biomedical, machinery manufacturing, and food & beverage.

For further information, please contact

Teo Chang Ching
Senior Executive
Group Corporate Communications
Tel: (65) 64136426
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