- Completion: Fuel Analysis and Feasibility Study - Total Power
Capacity: 100MW = 4 X 25MW - Agriculture Waste to Energy BEIJING
and LAS VEGAS, May 21 /Xinhua-PRNewswire-FirstCall/ -- China
Holdings, Inc. (OTC:CHHL) (BULLETIN BOARD: CHHL) , a global
diversified asset holdings company, and its subsidiaries that
engage in multiple China-focused business activities including
energy, renewable energy, resources, utilities, finance, real
estate, and pharmaceuticals, today announced the development on
TaiHu and Ongniute Biomass Power Plants/projects as follows: China
Holdings and its wholly owned subsidiary: China Power, Inc. ('the
Company') have completed: -- The fuel analysis for its TaiHu
Biomass Power Plant/Project (50MW) -- The fuel analysis for its
Ongniute Biomass Power Plant/Project (50MW) -- The feasibility
study for its TaiHu Biomass Power Plant/Project (50MW) The Company
also confirms that its projects, operations and development were
not adversely affected by the recent earthquake in Sichuan province
of China. The Company has deep sympathy for those affected by this
recent tragic event in China. We pray for those people who have
died as a result of this tragic occurrence. We do our best to
assist those who are impacted by such destructive forces. Summary
of Feasibility Study - TAIHU BIOMASS POWER PLANT The Company's
TaiHu biomass waste to energy power plant/project (2x25=50MW),
located in Anhui Province, PR China, uses biomass waste from
agriculture and forestry, like rice straw, bush and quitch as fuels
for electricity power generation. To implement the China national
renewable energy policy, using biomass waste to produce power
generation, making rational use of agricultural waste and forestry
waste resources, and developing local rich biomass energy,
environmental protection and the promotion of local economic
development, the Company took a wide survey of resources,
construction conditions and investment environment and selected to
build a biomass waste to energy plant with the scale of 50 MW
capacity in Taihu County. At the same time, the local government
actively supports the project from construction sites, fuel supply,
water supply, and other preferential policies. Biomass Waste Fuel
Supply in Taihu Taihu County, rich in biomass resources, is the
commodity grain base county in China. Taihu County has rice
cultivation area of 33,700 hectares, with an annual output of
255,000 tons of rice straw, cotton cultivation area of 3,300
hectares, with an annual output of 156,000 tons of cotton stalk,
wheat cultivation area of 5,700 hectares, with an annual output of
26,000 tons of wheat straw, and rapeseed cultivation area of 13,700
hectares, with an annual output of 306,000 tons of rapeseed stalk.
Taihu County has forestry land area of 105,600 hectares, with the
annual forest waste of the bushes of fruit trees and shrubs of
about 570,000 tons, and, of quitch, about 400,000 tons. The total
biomass waste material is over 1.7 millions tons. The Company's
TaiHu biomass waste to energy power plant/project's capacity is
planed as 50 MW using agricultural waste and forestry waste as
plant fuels. The average heat value of agricultural waste and
forestry waste is 13064 kJ/kg. The project will install four
CAPS-II/310MT gasification systems. Each system will dispose of 310
tons per day of agricultural and forestry waste. Each system will
be running at full capacity for 7920 hours per year. The total
annual fuel consumption of the project is 409,200 tons of
agricultural and forestry waste. The Company will also lease 13,000
hectares of land as the fuel supply reserve base of the power
plant. To ensure this agricultural waste and forestry waste supply
to the power plant, the Company will set up 8 satellites collection
stations to collect and store agricultural waste and forestry waste
and keep the power plant safely in continuous operation.
'Controlled Air Pyrolysis System' (CAPS) CAPS is the Company's
biomass waste power generation system that employs two cycles to
improve overall efficiency. CAPS is a modular system with two
chambers for the controlled air pyrolysis/gasification process; a
primary chamber for gasifying and a secondary chamber for
oxidizing. The enhanced capability to control the conditions within
these two chambers is the basis for the excellent performance of
CAPS compared to traditional combustion systems. This result in the
complete disposal of solid biomass waste coupled with substantially
less pollution. Overall, CAPS further takes the process of biomass
power generation to new heights of efficiency by the level of
design of the chambers, their dimensions and the level of
fine-tuning of the entire biomass waste pyrolysis process. The
advantages of the Company's CAPS system include: 1. Efficiency -
The CAPS plant achieves around 86% efficiency, through the
fine-tuning of the combustion cycle to suit the type of straw or
biomass being burnt. This compares to around 60% for traditional
systems. 2. Utilization - The CAPS plant will require less
maintenance and last longer as a result of operating at lower
temperatures than the traditional systems, i.e. a CAPS plant
operates at between 600 and 900 degrees Celsius whilst traditional
combustion systems operate at between 1100 and 1200 degrees
Celsius. There is also less fly ash with CAPS due to the enhanced
control of the process. This means that a CAPS plant can run
continuously for around 8000 hours (around 11 months) whereas the
traditional IGCC Plant can only provide around 9 months of
continuous operation. 3. Other advantages of CAPS- a) Requires only
a relatively small construction area compared to traditional power
plants. b) Clean emissions (zero secondary pollution). c) High
automation TiaHu Biomass Energy Project's Potential Profitability
Government Policy Supports The Central Chinese Government,
provincial and local municipal governments have enacted new
legislation and brought in new regulations for both the effective
disposal of agricultural and forestry waste and the efficient use
of renewable energy resources, such as crop straw and bush. Under
the recently introduced legislation and regulations, State owned
electricity grids now must purchase all electricity produced by
renewable energy projects. The purchase price is also 0.25 RMB/yuan
higher than the normal electricity sale price for coal-fired power
plants. This new legislation and the new regulations have therefore
made it both possible and profitable for private investment in the
biomass waste to energy projects. In general, a build, own and
operate (BOO) model will be implemented for biomass waste to energy
projects. The municipal government will allow China Holdings/China
Power to build, own and operate the facility for over 30 years,
with additional renewable terms/years. Below are details of the
characteristics of the China Holdings/China Power's TaiHu biomass
waste to energy plant/project: 1. Size: 1240 tons-per-day 2. Annual
waste disposed: 409,200 tons 3. Construction period: 24 months 4.
Operating period: 30 years 5. Power Capacity: 50 MW 6. Annual
electricity produced: 411,050,000 kW-hrs 7. Annual electricity
sold: 361,680,000 kW-hrs 8. Total Project Investment: 610,790,000
RMB 9. Electricity sell Price: 0.61 RMB/kW-hr 10. Fuel Delivery
Price: 150-300 RMB per ton Summary China Holdings/China Power,
Inc., with its technical expertise, its business experience and
connections in China, is well-positioned in the biomass waste to
energy market in China. The five biomass waste to energy projects
have agreements in place with the local authorities, are viable and
profitable. These five projects will handle only 2 million tons of
biomass waste annually compared to the 650 million tons of biomass
waste produced annually in China. The biomass waste to energy
market in China is therefore only in its infancy. Highlights of the
Biomass Waste To Energy Projects -- 5 Biomass Waste To Energy
Plants in China, which are expected to begin operations in 2010 --
Features - Renewable Energy - PRC governmental support -
Environmentally 'Clean' & ecologically 'friendly' - Alternative
Energy for PRC - no oil, no coal, not hydro, not nuclear -
Experienced Management The Company is developing its Renewable
Energy Projects & Pipeline in Biomass Energy Power Generation
Plants & Hydropower Plants in hopes of reaching a total
Potential Power Capacity of 3200 MW by the year 2013 via Merger
& Acquisitions (M&A), Joint-Venture Partnerships with
Biomass Energy Plants/Projects & Hydropower Plants and
companies, governments in China, or/and worldwide. The Company's
Advanced Renewable Energy Strategy & Plan in Hydropower Plants
and Biomass Energy Power Generation Plants will have technical,
social, and environmental benefits and provide investment and
business opportunities in the cost-competitive Biomass
Energy/hydropower capacity energy supply in China as well as around
the world, which will increase the Company's worldwide
shareholders' value in the long term. The Company's objective is to
achieve long-term capital appreciation through investment in
companies and other entities with significant assets, investments,
production activities, trading or other business interests in
China, or/and worldwide, or/and which derive a significant part of
their revenue from China, or/and worldwide. For the Company's
profile, please feel free to visit our website:
http://www.chinaholding.net/ . About China Holdings, Inc. China
Holdings, Inc. (OTC:CHHL) (BULLETIN BOARD: CHHL) , is a diversified
global assets holding company. The Company and its subsidiaries
engage in multiple China-focused business activities including
energy, renewable energy, resources, utilities, finance, real
estate and pharmaceuticals. Its objective is to achieve long-term
capital appreciation through investment in companies and other
entities with significant assets, investments, production
activities, trading or other business interests in China, or/and
worldwide, or/and which derive a significant part of their revenue
from China, or/and worldwide. The Company has three wholly-owned
subsidiaries: (i) China Power, Inc., (ii) China Minerals Holdings,
Inc.; (iii) China Health Holdings, Inc. For the Company's profile,
please feel free to via website: http://www.chinaholding.net/ .
About China Power, Inc. China Power Inc., a wholly owned subsidiary
of China Holdings, Inc., is a global energy & renewable energy
holding corporation which focuses on Merger & Acquisition,
Joint-Venture Partnership, Investment, Research & Development,
Construction and Operation of energy, renewable energy, and
environment protection projects in China and worldwide. The Company
is developing its Renewable Energy Projects & Pipeline in
Biomass Energy Projects & Hydropower Plants to reach the Total
Potential Power Capacity 3200 MW by the year 2013. The Company's
Advanced Renewable Energy Strategy & Plan in Hydropower Plants
and Biomass Energy Projects will have technical, social, and
environmental benefits and provide investment and business
activities in the cost- competitive biomass energy and hydropower
capacity energy supply in China and worldwide, and also increase
its worldwide shareholders' values in the long term. Biomass Energy
in China China's energy development has serious resource
constraints. Its current energy resources are primarily from
diminishing domestic fossil fuels, but it is becoming increasingly
dependant on expensive imported fuels, ecologically disastrous
hydroelectricity and vulnerable and expensive nuclear energy.
Therefore, one of the most urgent problems the Chinese Government
faces is to build a safe, economic, clean and sustainable energy
supply system, whilst solving the energy supply bottlenecks.
Consequently the Chinese Government is encouraging the use of
alternative energy production with both incentives and privileges.
One of the solutions is to develop Biomass energy. China is rich in
agricultural and forestry waste materials such as straw, bush and
quitch. By year 2012, the total biomass generating capacity is
expected to reach 300 million kilowatts and 1600 million kilowatts
by 2020. Many areas have good conditions for developing biomass
energy production. The government recognizes this and is aiming to
establish biomass power plants not only in major grain-producing
areas but also transform small coal-fired thermal power units into
Biomass burning. The Chinese Government encourages investment in
the field of renewable energy by providing support in the following
areas: 1. Law: The Renewable Energy Law was passed by the People's
Congress of China on February 28, 2005 and came into force on
January 1, 2006. 2. Tax Benefits: To encourage the construction of
renewable energy projects, the Chinese Central Government has
introduced a series of tax exemptions, incentives and tax holiday
privileges. 3. Electricity Price: To ensure the construction and
development of renewable energy projects, the National Reform and
Development Committee has set the standard electricity price for
renewable energy 0.25Yuan/KWH higher than the local average grid
connection price. This is approximately 40% higher than the local
average. Additionally, there is a supervision system to ensure full
purchase and payment of all renewable energy produced. 4. Carbon
Credits: The Chinese Government allows qualifying joint venture
plants to trade Clean Development Mechanism (CDM) credits. These
can be traded in advance of Plant construction at around US$ 10-15/
ton or at a much higher value if traded after construction is
completed. Biomass Waste as a Clean Renewable Energy Straw is the
main by-product from the harvesting of the agricultural crop. In
the past, straw, bush and quitch was used as a household cooking
fuel. However, in recent years, as China's agricultural economy has
developed and farmers' incomes have increased, the usage of straw,
bush and quitch has decreased sharply. Farmers now prefer to use
fuels, such as coal and gas, which are easier to use, have higher
energy content, and require less space for storage. An increasing
amount of straw, bush and quitch is now burnt in the open in many
regions in China. The burnt portion can be as much as 80% of the
straw, bush and quitch produced and causes serious environmental
problems. Instead of open burning, straw, bush and quitch can be
used to generate electricity in an environmentally friendly manner.
By 2010, China will have between 350 million tons to 370 million
tons of unused straw. If this huge amount of straw is used for
power generation, it would represent an additional 450 billion KwH
of electricity. Biomass waste to energy is therefore a very
sustainable and environmentally friendly potential energy source in
China. Smoke emissions from agriculture waste open-burning and
forest fires badly affect air quality. Collecting agriculture from
farmers can avoid biomass burning in site, which caused not only
smoke and pollutants but also risk highway transportation and air
transit. Removing forestry waste like accumulated dead wood and
bush, dry quitch, foliage and grass from forested areas can reduce
forest fire risk. The biomass waste to energy plant will offer a
rewarding application with effective and clean combustion compared
to straw open-burning in site or forest fire, and will
significantly reduce and eliminate smoke emitted from open burning
in site and forest fires. Forward-looking Statements To the extent
that statements in the press release are not strictly historical,
including statements as to revenue projections, projections of
results of specific activities or investments, business strategy,
outlook, objectives, future milestones, plans, intentions, goals,
future financial conditions, future collaboration agreements,
economic performance and trends, the success of the Company's
development, events conditioned on stockholder or other approval,
or otherwise as to future events, such statements are forward-
looking, all forward-looking statements, whether written or oral,
and whether made by or on behalf of the Company, are expressly
qualified by the cautionary statements and any other cautionary
statements, which may accompany the forward-looking statements, and
are made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995, Section 27A of the
Securities Act of 1933 and Section 21E of the Securities Exchange
Act of 1934. Forward-looking information is inherently subject to
risks and uncertainties, and actual results could differ materially
from those currently anticipated due to a number of factors, which
include, but are not limited to, risk factors inherent in doing
business. Forward-looking statements may be identified by terms
such as "may," "will," "should," "could," "expects," "plans,"
"intends," "anticipates," "believes," "estimates," "predicts,"
"forecasts," "potential," or "continue," or similar terms or the
negative of these terms. Although we believe that the expectations
reflected in the forward-looking statements are reasonable, we
cannot guarantee future results, levels of activity, performance or
achievements. The Company has no obligation to update these
forward-looking statements. Other important factors that could
cause actual results to differ materially include the following:
business conditions and the amount of growth in the Company's
industry and general economy; government policies, competitive
factors; ability to attract and retain personnel; the price of the
Company's stock; and the risk factors set forth from time to time
in the Company's SEC reports, including but not limited to its
annual report on Form 10-KSB; its quarterly reports on Forms
10-QSB; and any reports on Form 8-K. In addition, the Company
disclaims any obligation to update or correct any forward-looking
statements in all of the Company's press releases to reflect events
or circumstances after the date hereof. For worldwide investor and
media inquiries, please contact: China Holdings Inc. (Las Vegas and
Beijing) Julianna Lu, Chief Executive Officer Tel:
+86-1370-133-1287; +86-10-6586-4770 Fax: +86-10-6586-4790 Email: ;
Web: http://www.chinaholding.net/; http://www.chinaholdings.org/
Wall Street Reporter, Inc. (New York) Jack Marks, CEO &
Publisher Tel: +1-212-363-2600 x260 Web:
http://www.wallstreetreporter.com/ DATASOURCE: China Holdings, Inc.
CONTACT: Julianna Lu, Chief Executive Officer of China Holdings,
Inc. at +86-1370-133-1287 or +86-10-6586-4770, or fax
+86-10-6586-4790, or or ; or Jack Marks, CEO & Publisher of
Wall Street Reporter, Inc. (New York) at +1-212-363-2600 x260 Web
site: http://www.chinaholding.net/
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