(Yicai) Sept. 18 -- Nerin Engineering’s shares rose after the leading Chinese provider of non-ferrous metal engineering services said it signed a USD498 million turnkey contract to build a copper tailings treatment plant for Zambia's Konkola Copper Mines.

Nerin [SHA: 603257] closed 2.2 percent higher at CNY72 (USD10.75) per share in Shanghai today, after jumping by as much as 4.4 percent at the market open.

The new plant will be built in Chingola, a major copper-mining city located in the Copperbelt Province of north-central Zambia, and will have the capacity to process 70,000 tons of copper tailings a year, the Nanchang-based company announced late yesterday.

The plant will recover copper and other valuable metals from KCM's stockpiles of copper tailings while improving resource efficiency, Nerin said.

Under the engineering, procurement, and construction contract, Nerin will handle project design and equipment procurement, construction, installation, and debugging, as well as provide technical support and employee training, it noted, without disclosing when construction will start or how long it will take.

KCM will pay for the project according to agreed milestones and other arrangements, Nerin said.

The Chingola facility will help Nerin gain experience in high-end overseas projects and localized operations, enhance its international EPC capabilities, and boost its global brand influence, the firm said, adding that it is also expected to have a positive impact on Nerin's earnings.

Nerin provides domestic and foreign non-ferrous metal customers with full-chain technical solutions and end-to-end services, including mining, beneficiation, smelting, and processing.

The company’s overseas revenue topped CNY502.9 million (USD75.1 million) in the first half of this year, accounting for 73 percent of its total income, according to its latest financial report. It signed five engineering services deals in the period, including for mining, processing, and tailings treatment.

Editor: Martin Kadiev