1. Background

Jieshou-Fuyang-Benbu Expressway is an east-west arterial highway in the northwestern part of Anhui Province. Joining Hefei-Xuzhou Expressway which is still under construction in the east and Luohe (Henan Province)-Jieshou Expressway in the west, it is still another artery from the central and western part of China to the east coastal areas. The completion of this project will further improve the distribution of arterial highway network of not only Anhui Province but also the whole east China and help to promote the economic growth in these areas.

2. Content and Scale

(1) Content of the project: Constructing four-lane-expressway in plain and slightly hilly land. The designed driving speed is 100 kilometers per hour.

(2) Scale of the project: 190 kilometers in length.

(3) Term of construction: Completed before 2005.

3 Investment Estimation

Total investment: US $484 million. Some of the capital will come from domestic loans as well as subsidy from the Ministry of Communications, and the rest will be raised by Anhui Province.

4 Economic and Social Benefit Analysis

It is estimated that the long-range volume of traffic will be 35604 vehicles per day. The payoff period of the investment is 14 years and the total ready net capital is 3689.42 million yuan. This project has, at the same time, satisfactory social benefit.

5. Construction Progress of the Project

The construction of its first phase (50 kilometers) has already begun in October, 1998. It will be open to traffic at the end of 2000. The construction of the second phase (48 kilometers) has begun in June, 2000. The third phase is expected to be constructed in 2001.

6. Mode of Cooperation

The two parties can set up a joint venture company or a cooperative enterprise.

7. Brief Introduction of the Undertaking Unit

Anhui Huanyu Highway Construction and Development Center, subordinated to the Highway Administrative Bureau of Anhui Province, is a state-owned enterprise involving funds raising, financing, investment, construction, management, consultation and the development of corresponding industries. The already invested projects include Hefei-Lu'an-Yeji Highway and Guohe Bridge, etc. These projects are completed in succession and good social as well as economical benefits are gained.

Legal person representative: He Guang

Address: 11F, Huayi Mansion, 95 Shouchun Road, Hefei City, Anhui Province

P.C.: 230001

Tel: 0551-2624727

Fax: 0551-2648327