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Zhejiang Construction Subsidiary Wins HK$3.1bn Contract for Hong Kong Sandy Ridge Data Park Project

By: IDCNOVARegion: East Asia
Zhejiang Provincial Construction Investment Group Co., Ltd. announced on October 8 that its subsidiary, Huaying Smart Construction Co., Ltd., has received a letter of acceptance for the general contracting works of the Runze (Hong Kong) Sandy Ridge Data Park project, marking a significant step in the development of one of Hong Kong's most strategically important data infrastructure undertakings.

The contract is valued at approximately HK$3.1 billion, equivalent to roughly RMB 2.678 billion, with a total construction period of 570 calendar days. The project underscores the growing momentum behind Hong Kong's push to establish itself as a regional data hub, particularly in the Sandy Ridge area, which has been earmarked by the Hong Kong government as a dedicated site for advanced data infrastructure development. As of the announcement date, no formal contract has been signed, and the specific scope and implementation of the project will be subject to the terms of the definitive agreement.

The company confirmed that neither it nor Huaying Smart Construction has any affiliated relationship with the project owner. It also cautioned that the advancement of the project is subject to various factors, introducing a degree of timing uncertainty.

In a separate disclosure, the company announced that another subsidiary, Zhejiang Industrial Equipment Installation Group Co., Ltd., recently signed a contract for the mechanical and electrical installation works (Package One) of the Hassi Messaoud refinery project in Algeria. The contract is valued at approximately US$215 million, equivalent to about RMB 1.465 billion, with the final amount subject to actual settlement.

The general contracting consortium for the Algerian project comprises Tecnicas Reunidas S.A. of Spain and Sinopec Guangzhou Engineering Co., forming a joint venture known as UTE TR-SE HASSI MESSAOUD PROJECT. Construction is tentatively scheduled to commence in December 2026, with mechanical completion targeted for January 2030. Zhejiang Installation signed the mechanical and electrical works contract directly with the general contracting consortium, responsible for the supply of materials and on-site construction. The company, Zhejiang Installation, and the project owner and consortium have no affiliated relationships.

The company stated that the award and performance of these projects will have a positive impact on its operating results without affecting its operational independence. It also noted that the execution of the Algeria contract may be subject to uncertainties including safety production risks, engineering changes, environmental factors, and other force majeure events.