(Yicai Global) Aug. 30 -- A consortium formed by Chinese building material supplier Xinjiang Guotong Pipeline Co. [SHE:02205] and construction contractor CCCC Tunnel Engineering Co. has successfully bid for a tourist village construction project in Inner Mongolia, and the total investment is estimated to be USD185 million (CNY1.22 billion).

 The consortium has won the tender for a tourist village project at Lake Hasuhai, Inner Mongolia, the public company said in a statement yesterday. The village will be built on a 933,300 square-meter site with total investment of USD185 million, and a cooperation period of 15 years, of which three are allocated to construction, and 12 for project operation.

 The village construction mainly involves building infrastructure facilities, including grassland ecological restoration, greening and landscaping and a performance theme park.

 Guotong Pipeline and CCC Tunnel Engineering will set up a joint venture with the local government, per the statement. The total capital of the new company will be contributed by Guotong Pipeline (48.125 percent), CCCC Tunnel Engineering (20.625 percent) and the local government (31.25 percent).

 The government will offer USD310.9 million in financial subsidies for the project during the cooperation period, Guotong Pipeline stated. The total investment is equivalent to 203.2 percent of its operating income last year, and the deal will have a positive impact on its earnings.