(Yicai Global) June 14 -- Chinese power generation company Hubei Energy Group Co. (SZE:000883) will build a gas turbine power plant project and supporting facilities in Hubei's provincial capital, Wuhan, with a total investment of about CNY4 billion (USD588 million).
The project, covering an area of about 86,700 square meters, will be located in Wuhan Linkonggang Economic & Technological Development Zone. Construction is expected to start within six months of local government approval. It is planned to put into operation within two years. The project will provide power to the enterprises in the development zone, Hubei Energy said in a statement.
The economic and technological development zone is located at the intersection of the Yangtze River and the Han River, the left tributary of the Yangtze. It is a transportation hub in Central China and one of the three national level development zones in Wuhan. The development zone aims to attract a total investment of CNY36.1 billion (USD531 million) in 2017, Cao Yujiang, director of administrative committee of the development zone, was quoted by Changjiang Daily as saying.
Hubei Energy said that the project will provide energy security for the development zone, and will also help the company develop its gas turbine business. The project will use natural gas as energy source as it is more energy-saving and environmentally friendly. After completion, it can reduce 332,000 tons of coal consumption per year, which will also cut he emission of nitrogen oxides and sulfides.