(Yicai Global) April 14 -- Goldwind Science & Technology’s shares gained after the Chinese wind turbine maker said it is preparing to build an offshore wind power industrial cluster as well as a marine engineering equipment manufacturing and service center at a cost of about CNY18.8 billion (USD2.9 billion).

After jumping as much as 5.6 percent in Hong Kong today, Goldwind [HKG: 2208] ended 4.8 percent higher at HKD12.26 (USD1.56). In Shenzhen, the company’s stock [SHE: 002202] rose 1.7 percent to CNY12.64 (USD1.98), giving up some of an earlier 3.8 percent gain.

Both projects will be located in Wenzhou in China’s southeastern Zhejiang province and involve fixed-asset investment of CNY16.2 billion (USD2.5 billion) and CNY2.6 billion, respectively, Wulumuqi-based Goldwind said yesterday, citing the cooperation agreement with the Wenzhou government.

The first phase of the offshore wind energy industrial hub, costing CNY5.2 billion, will consist of a research and development center for deep-water floating wind power technologies as well as an offshore wind turbine manufacturing base, a plant to produce ancillary equipment and a demonstration area for zero emissions applications.

Floating offshore technologies are key to developing wind power generation on the high seas, it said. Wenzhou is rich in offshore wind power resources, and it also has a deepwater port, with outstanding industrial infrastructure and abundant skilled talent.

Planned investment in the second phase is expected to be as high as CNY11 billion, with CNY3 billion coming from third-party investors. The goal will be to build an operating and maintenance center for the area’s offshore wind farms, along with a centralized transmission infrastructure to transfer power to the grid.

The outside investors will be attracted to the industry park to build plants that will produce parts for wind power equipment, Goldwind said.

The marine engineering equipment industrial cluster project will have a deepwater offshore wind power energy management platform and various ancillary equipment manufacturing projects, the firm said.

Construction is expected to begin in three months once land use rights are acquired, and is expected to be completed in about a year. Once in operation, Wenzhou will become Goldwind’s southern China regional headquarters, it added.

Editor: Kim Taylor