(Thestandard, Oct 25, 2005) - CLP Holdings (0002), a Hong Kong- based power supplier planning to expand its overseas operations, said Tuesday its January-September revenue rose 18.8 percent from a year earlier on strong electricity sales to mainland China.
The utility proposed a third-quarter dividend of HK$0.50 a share, compared with HK$0.48 in the same period last year.

CLP, the larger of the territory's two power suppliers, said revenue for the nine months totaled HK$33.38 billion, up from HK$28.09 billion a year earlier.

Based on a Dow Jones Newswires calculation, the company's third- quarter revenue rose 2 percent to HK$11.97 billion from HK$11.73 billion. The blue-chip company did not disclose profit figures in a brief statement filed with the Hong Kong stock exchange.

Analysts said strong demand for electricity in the mainland and CLP's growing presence overseas, particularly in Australia, helped boost revenue and will continue to do so for the next few years.

The company said in a separate statement its third-quarter electricity sales to Guangdong province rose 55.5 percent year on year, outweighing a mild 2.2 percent growth of sales in Hong Kong.

In the first nine months, sales to the mainland accounted for 14 percent of CLP's total electricity sales, while most of the remainder came from Hong Kong, it said. The utility has expanded its overseas operations in recent years to offset slow electricity sales growth in its home town. It has kept its tariffs in Hong Kong unchanged since 1998 despite rising coal costs.

CLP provides electricity to Kowloon, the New Territories, and Guangdong province, which has high power demand. It also has power plants and energy assets in Australia, Taiwan, India and Thailand.

CLP and Japan's Mitsubishi Corporation have teamed up to pursue a bid to acquire Atlanta-based energy company Mirant Corporation's power assets in the Philippines, which are valued at US$3 billion.

People familiar with the situation said Monday CLP's consortium is one of seven contenders shortlisted for the assets. Final bids are due November 17, they said.

The assets on sale include a 1,218-MW coal-fired power plant, a 735-MW coal-fired power plant, and a 20 percent interest in a 1,200-MW natural gas-fired power plant.

CLP has also showed interest in buying Australia's state-owned Sun Retail's electricity and liquefied petroleum gas network in Queensland in a deal which could more than double its base of electricity customers in the country.

Sun Retail provides electricity to 1.2 million customers, and LPG to 53,000 customers in Queensland.

Source:Thestandard
tag:China energy power