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World Bank Loan for Thermal Power Expansion Project

An American company-led consortium Monday contracted to build the second-phase expansion project for a key thermal power plant in central China's Hunan province.

The consortium consists of American Babcock & Wilcox, Beijing Babcock & Wilcox and the China Machinery Import and Export Company, which won the contract for the boiler section of the expansion of Leiyang Power Plant with a bid of US$75 million.

With a total investment of 2.85 billion yuan (US$343 million), the project will use a World Bank loan of US$200 million.

The expansion, a key project in the drive to develop the province's electricity capacity, involves installation of two generators of 300,000 kw capacity each. The construction will start before the end of this year and the first of the two generators will go into operation in 2003.

Babcock & Wilcox is an America-based power equipment manufacturer, which led the bid winning group.

(People's Daily 06/11/2001)

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