Houpu Clean Energy Gains on USD2.3 Billion Hydrogen Energy Plant, HQ Plans
Tang Shihua
DATE:  Apr 21 2021
/ SOURCE:  Yicai
Houpu Clean Energy Gains on USD2.3 Billion Hydrogen Energy Plant, HQ Plans Houpu Clean Energy Gains on USD2.3 Billion Hydrogen Energy Plant, HQ Plans

(Yicai Global) April 21 -- Shares of Houpu Clean Energy jumped after the Chinese maker of gas refueling gear said it will invest a total of CNY15 billion (USD2.3 billion) to build a hydrogen energy plant and a new headquarters in its home city of Chengdu.

Houpu Clean Energy [SHE:300471] ended 6.7 percent higher today at CNY11.99 (USD1.85), after earlier surging as much as 16.6 percent. The benchmark Shenzhen Component Index added 0.4 percent.

Houpu Clean Energy plans to invest CNY10 billion in the capital of southwestern Sichuan province to build an industrial park for hydrogen energy equipment and four manufacturing projects for such equipment, according to the agreement it inked with the local government yesterday, its statement said. But it gave no further details about the industrial park.

Houpu Clean Energy also plans to invest CNY5 billion in property development projects for commercial, or both commercial and residential use, per the agreement.

The first phase of the project is expected to be completed within 24 months, and the goal is to attract more than 20 companies in the new energy sector and the new economic industrial chain of the southwestern region within five years after completion and operation.

Clean Energy Fund

To support building of the projects, Houpu will set up a CNY500 million clean energy industry fund. An investment platform company affiliated to a district government in Chengdu will inject CNY200 million into the fund.

In addition, state-backed firms in the district will also be encouraged to participate in equity investment in specific projects, with investment totaling CNY200 million, the statement said.

The two parties also plan to jointly promote the construction of hydrogen energy demonstration projects, including hydrogen bus lines, and supporting hydrogen refueling stations, a water electrolysis hydrogen production demonstration plant, and a hydrogen energy heavy truck logistics project, the statement said.

But no specific deals have been signed for implementing these demonstration projects.

Houpe is a clean energy solution service provider, and its products include liquefied natural gas and hydrogen energy equipment and core components. It finished the construction of its first hydrogen refueling station last November, in time for the Beijing Winter Olympic Games next year.

Editor: Peter Thomas

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Keywords:   Houpu Clean Energy,Hydrogen Energy Plant