Bio-Treat Technology says it has signed a water supply, wastewater treatment and recycled water contract with the Henan Province San Men Xia Industrial Zone Consultative Committee with a contract value of RMB500 million ($98.7 million).

The investment in the first phase of the project is estimated to be no less than RMB80 million. The funds required for these BOT projects will be financed through internal cash flow and domestic banks borrowing.

The Henan Province San Men Xia Industrial Zone is located at the intersection of the Henan, Xia Xi, Shanxi provinces and is located in the heavy industrial area of Henan province. The San Men Xia Industrial Zone is rich in natural resources such as gold, silica and coal.

The San Men Xia Industrial Zone water treatment plant has a total treatment capacity of 200,000 tonnes per day, a wastewater treatment capacity of 150,000 tonnes per day and a recycled water treatment capacity of 100,000 tonnes per day.

The company is currently undergoing feasibility studies in the San Men Xia Industrial Zone and it is expected that work on the water treatment plant will commence in the first quarter of 2011.