Hyflux awarded $43.8m seawater desalination plant contract

A unit of Singapore-listed water firm Hyflux has been awarded a S$43.8 million contract by the TP Utilities, a unit of power company Tuas Power, to undertake the engineering,
procurement and construction (“EPC”) works for stage one of the Tembusu Seawater
Desalination Plant.

The Desalination Plant is part of Tuas Power’s Tembusu Multi-Utilities Complex on Jurong
Island. The complex also includes a cogeneration plant that will, upon completion, use a
Biomass and Clean Coal (BMCC) mix to supply 1,000 tonnes per hour of steam and 160 megawatts (MW) of electricity to its customers.

The Desalination Plant, which will be developed in stages, will have a designed capacity to produce approximately 182,000m3 (40 MiGD) of high grade industrial water per day to be supplied to the petrochemical factories that will be situated in the Tembusu area of Jurong Island.

Work on stage one is scheduled to start immediately by Hyflux unit Hydrochem and is expected to be completed in approximately 20 months.

Singapore’s first large-scale desalination plant, SingSpring Desalination Plant, which Hyflux developed on a Private-Public-Partnership (PPP) arrangement and completed in 2005, was designed to produce 136,000m3 of water per day.

President and Chief Executive Officer of Tuas Power, Mr. Lim Kong Puay, commented:
“Hyflux is a reputed and experienced developer of desalination plants in Asia, so we are happy
to work with Hyflux to ensure the successful completion of stage one of our Seawater
Desalination Plant.”

Hyflux’s Group CEO Ms Olivia Lum said: “We are pleased to be given this opportunity to work
with Tuas Power. This is another springboard for Hyflux to participate in the increasing demand
for large scale desalination of seawater from our customers in the commercial space of power,
petrochemical and other basic resources worldwide.”

The contract for the first stage of the Desalination Plant is not expected to have a material
impact on the net tangible assets or earnings per share of Hyflux for the financial year ending 31
December 2010.

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