Australian company, Clean TeQ Holdings Ltd (ASX:CLQ)
, has signed a deal with Jinzhong Hoyo Municipal Urban Investment & Construction Co Ltd (Hoyo) to form a joint venture in China.
The purpose of this 50/50 JV is to build and operate a water treatment plant in China’s Shanxi Province, making use of Clean TeQ’s Continuous Ionic Filtration technology. Both parties will make equity contributions of US$600,000 to the JV.
The Hoyo Group is a Chinese conglomerate active in a number of industries such as pipeline construction and waste water treatment plants.
Clean TeQ says the potential market for its technology is very large because China has a severe water scarcity problem, with almost a quarter of its population drinking contaminated water everyday.