MEDIA RELEASE

SINGAPORE COMPANIES SHOW GROWING INTEREST IN LIAONING’S EDUCATION, ENVIRONMENTAL SERVICES AND REAL ESTATE SECTORS

Minister Tharman Shanmugaratnam will witness four project signings in Liaoning during a business mission to the province from 31 May – 3 June 2007.

MR No.: 047/07 Shenyang, Liaoning Province, Friday, 1 June 2007

1. With its GDP of US$120.22 billion1 ranked among the top 10 provinces in China, Liaoning is one of the fastest growing provinces in northeast China gaining the attention of Singapore businessmen. Now in Liaoning with a business mission organised by International Enterprise (IE) Singapore, Mr Tharman Shanmugaratnam, Minister for Education and Second Minister for Finance, will be witnessing the following project signings over the next few days: - i) Signing ceremony for SembCorp Utilities Xihe industrial water supply network project – Shenyang, 1 June 2007 ii) Signing ceremony for Vocational and Technical Education (VTE) project between Institute of Technical Education (ITE) Education Services Pte Ltd and CEH International Pte Ltd – Shenyang, 1 June 2007 iii) Letter of Intent (LOI) signing ceremony for SembCorp Utilities power generation project in Changxing Island – Dalian, 2 June 2007

(Please refer to Annex 1 for the project signing details)

1 Source: Liaoning Bureau of Foreign Trade & Economic Cooperation.

Page 1 of 9 Media Release 1 Jun 07

2. Apart from the plaque unveiling ceremony for Enviro-Energy (S) Pte Ltd’s boiler project in Huludao, which took place yesterday (31 May 2007), Minister Tharman will also officiate at the following opening and groundbreaking ceremonies: i) Official opening ceremony of UOB Shenyang Branch – Shenyang, 1 June 2007 ii) Groundbreaking ceremony for Brothers Holdings’ Singapore City @ Shenyang, Changbai – Shenyang, 2 June 2007 iii) Groundbreaking ceremony for IMC commercial building project at Dalian Free Trade Zone – Dalian, 3 June 2007 iv) Groundbreaking ceremony for Grand Central –Dalian, 3 June 2007 v) Opening ceremony of Rotary Engineering Ltd’s “Rotary.Dalian Jiaotong University, Dalian Overseas Training And Test Centre” – Dalian, 3 June 2007

(Please refer to Annex 2 for details on the above)

3. At the Singapore-Liaoning Economic and Trade Council’s (SLETC) third meeting held in Shenyang in June 2006, environmental services, logistics, infrastructure development and education were identified as key areas of collaboration between Singapore and Liaoning. The above projects reflect the high level of interest that Singapore companies have in Liaoning as well as the vast opportunities available in these services sectors. Singapore companies have the competitive advantage as they are well equipped to provide niche offerings in these areas. The SLETC is co-chaired by Minister Tharman and Liaoning Governor Zhang Wenyue, with IE Singapore as the Singapore secretariat for the council.

4. Said Minister Tharman, “The northeast region has been generating a significant amount of business interest, especially with the Northeast Revitalisation Plan identified as one of the key economic drivers by the Central Government in their 11th Five Year Plan. The various cities in Liaoning are looking for partnerships in their economic development and Singapore companies have capabilities that fit the missing pieces in this puzzle nicely, such as in environmental services, industrial park and commercial developments, and VTE.”

5. Yesterday, Minister Tharman visited the cities of Huludao and Jinzhou, and will be proceeding to Shenyang, Dalian and Changxing Island from 1 – 3 June 2007. The trip serves to foster closer economic ties between Singapore and Liaoning. In Shenyang today, he will call on Liaoning Party Secretary Li Keqiang, Liaoning Governor Zhang Wenyue, Liaoning Vice Governor Li Wancai and Shenyang Party

Page 2 of 9

Media Release 1 Jun 07

Secretary Chen Zhenggao. Minister Tharman is accompanied by a business delegation of 29 representatives from 21 Singapore-based companies, as well as officials from IE Singapore and SCE.

Updates on Liaoning’s “5 points, 1 line” (五点一线) development strategy

6. This is the first time that IE Singapore is organising a mission to Huludao and Jinzhou. Liaoxi Jinzhou Bay Coastal Economic Zone, one of the “5 points” in Liaoning’s “5 points, 1 line” (五点一线) development strategy2, covers the Jinzhou Xihai Industrial Zone and the Huludao Beigang Industrial Zone. Minister Tharman and the business delegation visited these two industrial zones yesterday to get a better understanding of the developments and business potential when the two zones are completed. The Liaoxi Jinzhou Bay Coastal Economic Zone, while contributing to the revitalisation of the northeast region, will also create many opportunities for Singapore companies involved in logistics, master planning consultancy services, environmental engineering and more.

7. Currently, the Jinzhou Xihai Industrial Zone has a planned development area of 22.76 square kilometres, comprising the Xihai International Industrial Park and Baima Comprehensive Industrial Park. The Jinzhou Port is also expected to play a pivotal role in the development of the Industrial Zone. Also undergoing development, the Huludao Beigang Industrial Zone will cover 21.87 square kilometres comprising five sections – i) a ship building park; ii) a port and logistics park (storage); iii) a comprehensive industrial park; iv) business and living quarters; v) a light industry park. In addition, the Huludao Port is currently being constructed and will commence operations in July, along with the establishment of a logistics park.

8. Changxing Island is also part of the “5 points” in this strategy. The development of the island has been identified by the SLETC as a long term project. With the support of the SLETC, the SCE has to date coordinated two runs of a training programme on urban management and economic development for the Dalian and Changxing Island officials in March and April this year, training a total of 36 senior officials.

2 The “5 points” refer to Dalian Changxing Island, Yingkou city, Jinzhou Bay (comprising Jinzhou west coast industrial base and Huludao Port Development), Dandong city and Dalian Zhuanghe district, while the “one coastal belt” represents the 1,443 kilometres coastal highway that will link these five nodes.

Page 3 of 9

Media Release 1 Jun 07

Bilateral trade and investment

Huludao 9. In 2006, the total bilateral trade between Singapore and Huludao reached US$63.02 million. In the same year, exports to Singapore reached US$22.62 million. Singapore was Huludao’s seventh largest trading partner in 2006. As of end 2006, Singapore’s cumulative actual investments in Huludao registered US$52.59 million, making her the fifth largest cumulative foreign investor in Huludao. (Source: Liaoning Provincial Bureau of Foreign Trade & Economic Cooperation)

Jinzhou 10. The total bilateral trade between Singapore and Jinzhou amounted to US$50.05 million in 2006. In the same year, exports to Singapore reached US$50.01 million while imports from Singapore reached US$0.04 million. Singapore was Jinzhou’s fifth largest trading partner in 2006. In 2006, Singapore’s actual investment in Jinzhou reached US$11.35 million, bringing the cumulative actual investment to US$34.58 million as at end 2006. Singapore is the third largest foreign investor in Jinzhou in 2006, and the fifth largest cumulative foreign investor. (Source: Jinzhou Foreign Trade & Economic Cooperation Bureau

Shenyang 11. The total bilateral trade between Singapore and Shenyang increased 25.7% to US$69.87 million in 2006. In the same year, exports to Singapore reached US$59.78 million while imports from Singapore reached US$10.09 million. In 2006, Singapore’s actual investment in Shenyang amounted to US$81.29 million, bringing the cumulative actual investment to US$505 million as at end 2006. Singapore was the seventh largest foreign investor in Shenyang in 2006. (Source: Liaoning Provincial Government)

Dalian 12. The total bilateral trade between Singapore and Dalian increased 65.6% to US$1.17 billion in 2006. Top trading products include petroleum, communication equipment and accessories and computer accessories. In 2006, Singapore was the fifth largest foreign investor in Dalian. In the same year, Singapore’s actual investment in Dalian registered an 87.5% increase to reach US$162 million, bringing the cumulative actual FDI to US$665 million as at end 20063. Singapore

3 Source: Liaoning Provincial Government

Page 4 of 9

Media Release 1 Jun 07

currently has a total of 242 projects in Dalian, with investments generally concentrated in infrastructure services, education, transport and logistics sectors. (Source: Liaoning Provincial Government)

Annex 1: Details on project signing Annex 2: Details on opening and groundbreaking ceremonies Annex 3: Chinese terms ---End--- Note to Editor Please use ‘IE Singapore’ or ‘IE’ if an acronym for ‘International Enterprise Singapore’ is required. In addition, unless otherwise stated, the use of statistics cited in our media releases, website or Statlink, should be attributed to IE Singapore.

Issued by IE Singapore on behalf of SLETC. For media enquiries, please contact: In Liaoning: In Singapore: Ms CHENG Kiat Loon Ms Liane ONG Assistant Manager Ag Assistant Director Corporate Communications Group Corporate Communications Group Mobile: + 65 9799 0904 DID: + 65 6433 4939 Email: [email protected] Mobile: + 65 9233 9931 Email: [email protected] ______

About International Enterprise Singapore International Enterprise (IE) Singapore is an agency under the Ministry of Trade and Industry spearheading the development of Singapore’s external economic wing.

Our mission is to promote the overseas growth of Singapore-based enterprises and international trade. With a global network in over 30 locations and our “3C” framework of assistance – Connections, Competency, Capital, we offer services to help enterprises export, develop business capabilities, find overseas partners and enter new markets. At the same time, we work to position Singapore as a base for foreign businesses to expand into the region in partnership with Singapore-based companies.

Please visit www.iesingapore.com for more information.

About the Singapore-Liaoning Economic and Trade Council The Singapore-Liaoning Economic and Trade Council (SLETC) aims to promote trade and economic exchange and co-operation between Singapore and the Liaoning province of China. It is co-chaired by Singapore’s Minister for Education and Second Minister for Finance, Tharman Shanmugaratnam and Liaoning Governor, Zhang Wenyue. The launch of the Council was witnessed by PM Goh Chok Tong and Chinese Premier Wen Jiabao in Beijing in November 2003.

The SLETC serves as the main platform through which Singapore supports the PRC government in the revitalisation of its old industrial bases in Northeast China. IE Singapore is the Singapore Secretariat of the SLETC in Singapore.

Page 5 of 9

Media Release 1 Jun 07

ANNEX 1

PROJECT SIGNING DETAILS

1) Signing ceremony for SembCorp Utilities Xihe industrial water supply network project – Shenyang, 1 June 2007

SembCorp Utilities will form a 50:50 joint venture with Shenyang Xihe State-owned Assets Operation Company to acquire, expand and operate an existing industrial water supply network in Shenyang Xihe Economic Development Area (SXEDA) for a total investment cost of RMB 75.3 million covering nine square kilometres.

Under the agreement, the joint venture will have 50 years’ concession right to supply industrial water through the network to customers in SXEDA, a new economic development area with a total planned area of 356 sq km. The joint venture will also have exclusive rights to develop new industrial water facilities as well as provide wastewater treatment to the economic development area.

(Please see SembCorp Utilities’ media release to be issued on 1 June 2007)

2) Signing ceremony for Vocational and Technical Education (VTE) project between Institute of Technical Education (ITE) Education Services Pte Ltd and CEH International Pte Ltd – Shenyang, 1 June 2007

ITE's Nitec International in Automotive Technology (Light Vehicles) will be offered for the first time in Shenyang, China, from September 2007 onwards. The two-year course will be conducted at the Shenyang Vocational and Technical Training Institute (SVTTI) and the Shenyang Institute of Transport Technology, as part of a licensing agreement between ITE Education Services Pte Ltd and CEH International Pte Ltd. ITE Education Services and CEH International will endorse the agreement on Friday, 1 June 2007, in Shenyang.

SVTTI is a Vocational Training Institute under the Education Bureau of Liaoning province in Shenyang with about 7,000 students.

This project has come to fruition after the SLETC meeting cum mission in June 2006 with assistance from CEH International.

(Please see ITE’s media release issued on 29 May 2007, embargoed until 1 June 2007)

3) Letter of Intent (LOI) signing ceremony for Sembcorp Utilities power generation project in Changxing Island – Dalian, 2 June 2007

Preliminary discussions for this project are ongoing.

Page 6 of 9

Media Release 1 Jun 07

ANNEX 2

OPENING AND GROUNDBREAKING CEREMONIES’ DETAILS

1) Plaque unveiling ceremony for Enviro-Energy (S) Pte Ltd boiler project – Huludao, 31 May 2007

Enviro-Energy (S) Pte Ltd has acquired a boiler plant (热力厂) in the Huludao Beigang Industrial Zone in February 2007. It will have the exclusive rights to supply industrial stream and heat (for warming) to the designated Comprehensive Industrial Park, which covers an area of 10.5 sq km.

The initial acquisition includes three operational 35 tonne/hr capacity boilers, which sit on a site of approximately two hectares. The company has plans to increase the capacity of this boiler plant within the next 12 months, and to build a second boiler plant in the next year. The estimated total investment is RMB100 million.

2) Official opening ceremony of UOB Shenyang Branch – Shenyang, 1 June 2007

United Overseas Bank (UOB) is the first Singapore bank to open a branch in Northeast China. UOB Shenyang Branch, the eighth and latest addition to its branch network in China, commenced business on 25 January 2007. With the official opening of UOB Shenyang Branch, UOB marks another milestone in the expansion of its business in China.

UOB Shenyang Branch is a full-service branch that offers a comprehensive range of foreign currency banking services to foreigners, foreign enterprises and joint ventures, as well as local individuals and enterprises in China. These banking services include deposits, loans, project and trade financing, guarantees and bills discounting, and foreign currency exchange. With local incorporation, the Branch will be able to offer RMB business, subject to regulatory approval.

In April 2007, UOB obtained approval to begin preparatory work for conversion to a local corporation. It is expected to operate as a local corporation by the fourth quarter of 2007, subject to Chinese authorities’ inspection and approval.

(Please see UOB’s media release to be issued on 1 June 2007)

3) Groundbreaking ceremony for Brothers Holdings’ Singapore City @ Shenyang, Changbai – Shenyang, 2 June 2007

Singapore City @ Shenyang is ideally located in the Changbai Region, which is in the southern part of the Heping District of Shenyang, along the south bank of the Hunhe River. The Changbai Region promises great potential as it is earmarked for development as the future hub of the southern Hunhe Zone, in terms of commerce, business, tourism and residential living.

Clinched in end 2006, the project site covers a land area of more than 472,000 sq m and is at close proximity to the airport (10km), railway station (5 km) and main shopping belt (4.5 km).

The township is conceptualised to be a place where a Singapore lifestyle can be experienced in Shenyang. Engineering and architectural designs are imported from Singapore to create an exterior environment similar to Singapore. When completed, the entire township is expected to yield more than 10,000 homes. It is modelled after Singapore, with mid-to-high end residential developments, good class garden villas, exclusive country club, posh retail malls, modern educational institutes and convenient

Page 7 of 9

Media Release 1 Jun 07

facilities. The township will be developed in 6 phases over 8 years with Phase 1 expecting to be launched in 2007.

4) Groundbreaking ceremony for IMC commercial building project at Dalian Free Trade Zone – Dalian, 3 June 2007

IMC signed an official cooperation agreement with Dalian Free Trade Zone Administration Committee in November 2006 to cooperate in developing and constructing the Dalian Free Trade Zone Central Commerce and Trade Area, including the International Maritime Centre Building. This is the first key project in the free trade zone since the establishment of Dalian Dayaowan Free Trade Port Area.

According to the cooperation agreement signed officially by both parties, Singapore IMC Group will first invest about US$50 million in the Dalian Free Trade Zone for the Free Trade Zone Central Commerce and Trade Area and the International Maritime Centre Building project. The Building is located in the section near the port in the Central Commerce and Trade Area to serve as the primary administrative and commercial building of the Dalian Free Trade Zone.

5) Groundbreaking ceremony for Grand Central – Dalian, 3 June 2007

Grand Central is a 105,500 sq meter development consisting of a Grade A office tower of 34,800 square meters, a 5-Star serviced apartment block of 29,900 square meters and a high end international lifestyle mall of 40,800 square meters. Located at the prime throughfare of Dalian’s Development Area or DDA, the Grand Central is well connected via light rail and roads, and is situated at the heart of the financial services and upmarket hotel district. It comes equipped with modern facilities and is targeted at the high end office, retail and serviced apartment markets.

Grand Central is currently being developed by SPA Dalian, a development arm of the SPA (Serge Pun and Associates) Group. Yoma Strategic Holdings Ltd., a company listed on the Singapore Exchange Limited (SGX) has recently put in a bid to acquire a majority stake in Grand Central. Both the SPA Group and Yoma Strategic Holdings Ltd. are helmed by Mr Serge Pun.

6) Opening ceremony of Rotary Engineering Ltd’s “Rotary.Dalian Jiaotong University, Dalian Overseas Training And Test Centre” – Dalian, 3 June 2007

Minister Tharman will officiate at the opening of the Rotary.Dalian Jiaotong University, Dalian Overseas Training And Test Centre, an event that launches Rotary Engineering Ltd’s Global Work Force (GWF) initiative. This is a programme undertaken by home- grown Rotary to develop a ready and skilled workforce in order to fuel its growth on a global scale.

The GWF initiative is a collaboration with Dalian Jiaotong University that enables Rotary Engineering to provide employment to suitable candidates from the university’s cohort of undergraduates going into their final year. These undergraduates in Rotary’s employ will be channelled into training programmes customised by Rotary Engineering to equip them with specific skills for projects in various parts of the world.

Rotary Engineering will work with ITE to bring in expertise in curriculum design and VTE school workshop design to assist the setting up of VTE centres in Dalian.

Mainboard-listed Rotary Engineering is a leading provider of engineering, procurement, construction and maintenance services supporting in the oil-and-gas and petrochemical industries.

(Please see Rotary Engineering’s and ITE’s media releases to be issued on 3 June 2007)

Page 8 of 9

Media Release 1 Jun 07

ANNEX 3

CHINESE TERMS

Mr Tharman Shanmugaratnam 尚達曼先生 Minister for Education & Second Minister for 新加坡教育部兼财政部第二部长 Finance

Co-Chairman 联合主席 Singapore-Liaoning Economic & Trade Council 新加坡-辽宁经济与贸易理事会 Mr Zhang Wenyue 张文岳先生 Liaoning Governor 辽宁省省长

Co-Chairman Singapore-Liaoning Economic & Trade Council 联合主席 新加坡-辽宁经济与贸易理事会 Singapore-Liaoning Economic & Trade Council 新加坡-辽宁经济与贸易理事会 International Enterprise (IE) Singapore 新加坡国际企业发展局 （简称：企发局） Singapore Cooperation Enterprise 新加坡公共事务对外合作局 Liaoxi Jinzhou Bay Coastal Economic Zone 辽西锦州湾沿海经济区 Jinzhou Xihai Industrial Zone 锦州西海工业区 Huludao Beigang Industrial Zone 葫芦岛北港工业区 SembCorp Utilities 胜科公用事业 CEH Group 志英行国际有限公司 Institute of Technical Education (ITE) 工艺教育咨询服务有限公司 Education Services Pte Ltd Shenyang Vocational and Technical Training 沈阳职业技术学院 Institute (SVTTI) Enviro-Energy (S) Pte Ltd 新加坡环保能源私人有限公司 United Overseas Bank 大华银行 Brothers Holdings 兄弟控股）有限公司“新加坡城” Singapore City @ Shenyang, Changbai Yoma Strategic Holdings 祐玛战略控股有限公司 Rotary Engineering Ltd 罗德里工程有限公司 Rotary.Dalian Jiaotong University, Dalian 罗德里大连交通大学大连国际培训中心 Overseas Training And Test Centre

Page 9 of 9