China XD Plastics, which produces modified plastics for automotive applications, proclaimed that it has received approval from its board of directors for the construction plan and budget proposed by its subsidiary, Harbin Xinda Macromolecule Material, for its new production facilities.
China XD Plastics’ directors have also approved the construction project partnership deal. As per the deal, Harbin Xinda plans to appoint Harbin Shengtong to construct a research and development center and five plants on a 50-acre land at the South Harbin Industrial Park.
The total investment estimated for the project is nearly RMB435 million that includes RMB94.99 million for land acquisition and a construction project, which is being developed by Harbin Shengtong. The total building area is 104,180 m2. The expected completion date for the project is December 30, 2011.
Harbin Shengtong plans to fund the project in which Harbin Xinda will help Harbin Shengtong. Once the project is completed, Harbin Shengtong will have the rights over the land use. The building title will be handed over to Harbin Xinda after it inspects the entire project.
Harbin Shengtong will receive RMB10 million from Harbin Xinda as management fees for the construction project. In order to reduce the construction period and eliminate the duplication of the necessary construction registration fees, Harbin Xinda plans to use the necessary approvals already received by Harbin Shengtong along with the supervision unit, professional construction workers and the project management team.
Source: http://www.chinaxd.net