On June 8th, an Engineering, Procurement and Construction (“EPC”) agreement has been successfully signed in CNEEC for the development of a combined cycle natural gas fueled heat and power plant project in the city of Loznica, Serbia. Mr. Markovic, representative of the employer and Mr. Nan Yunting, representative of No. 6 Engineering Department cosigned the EPC contract, witnessed by Mr. Liao Shengsong, Vice President of CNEEC.

　　Loznica CHP project is to build two natural gas units. Originally, there are four coal-fired units. It will be upgraded and rehabilitated into two natural gas CHP units, with a total installed capacity of 240MW.

　　The total amount of the EPC contract is €231 million and the total project duration is 33 months. The project is located in Loznica industrial area, 220 kilometers west of Belgrade.

　　Land for the project is occupied by the employer. The main fuel is natural gas. Combined cycle unit is applied in this project. In addition to generating power for grid access, both heating and gas are supplied as two energy outputs. The gas turbine is proposed to be GE- 6F03 model. Other turbines, boilers and so forth will be supplied by domestic manufacturers.

　　The project will have positive effects including: boost to local economy, improvement for the proportion of clean energy in Serbia, and adjustment of power grid to increase the grid security level. Also, the project is backed up by the Ministry of Energy of Serbia, Chinese Embassy to Serbia, Sinosure, CDB and CCCME.