Type of Project: Chemical Industry

Name of Project:

Project of Enlarging the Production of Lactic Acid Series Products

Project Content: It is planned to enlarge the existing production line with capacity up to 3,400 t/y of lactic acid, calcium lactate and other products.

Construction Condition: The project, being encouraged by the state industry policy, produces high value-added products by deep processing of grain. The products have a very good prospect of market.

Investment & Composition: Total investment amounts to US$ 2.4 million, of which, fixed assets account for US$ 1.75 million, and working capital for US$ 0.65 million. The sponsor invests up to US$ 0.4 million and the partner for US$ 2 million.

Economic Benefit Evaluation: Investment profit rate is 31.4%, and investment payoff term of 3.2 years.

Project Status: The project has been approved by the provincial Planning Committee.

Mode of Cooperation: Joint venture, solely foreign-invested venture or being loaned by foreign government loan.

Introduction to Sponsor: The sponsor, Hubei Minzu Chemical Co. Ltd, was established in 1996, mainly produces lactic acid and its products which are very popular over the market.