China Power International Development Limited (02380) has announced that on April 30, 2026, its indirectly held, non-wholly owned subsidiary, Yuanda Engineering Company, entered into an Engineering, Procurement, and Construction (EPC) contract with Hechuan Power Generation for the construction of a flue gas desulfurization system at the Hechuan Project. Under the terms of the agreement, Yuanda Engineering will be responsible for system design, equipment procurement, construction, installation, and the provision of other technical support services for the desulfurization system. The total contract value is RMB 117.8 million, approximately equivalent to HKD 134 million.

This initiative aligns with the increasingly stringent national environmental standards for coal-fired power plants. Yuanda Engineering will leverage its specialized expertise in providing desulfurization engineering services to assist its client in meeting mandatory regulatory requirements. The company believes that this EPC contract will strengthen Yuanda Engineering's position in the environmental protection sector and is consistent with the group's strategic objective of transitioning towards becoming a green and low-carbon energy provider.

The contract price is in line with prevailing market rates charged by other companies for similar desulfurization system construction services. The board of directors considers that both the contract value and its associated terms are no less favorable than those the group could obtain from an independent third party.