Wote Decarb (IFC-49309)

Regions
  • East Asia and Pacific
Geographic location where the impacts of the investment may be experienced.
Countries
  • China
Geographic location where the impacts of the investment may be experienced.
Specific Location
Qinhuangdao, Hebei province
Whenever identified, the area within countries where the impacts of the investment may be experienced. Exact locations of projects may not be identified fully or at all in project documents. Please review updated project documents and community-led assessments.
Financial Institutions
  • International Finance Corporation (IFC)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Proposed
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
B
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Jun 21, 2024
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
Zhengzhou Wote Energy-efficiency Technology Co., Ltd.
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Energy
  • Industry and Trade
  • Mining
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 60.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Loan Amount (USD)
$ 60.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Project Cost (USD)
$ 80.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Bank Documents
Primary Source

Original disclosure @ IFC website

Updated in EWS Jun 27, 2024

Disclosed by Bank May 21, 2024

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

As stated on the project disclosure page, the proposed IFC investment is to provide Wote an RMB-denominated loan of up to US$60 million for (1) financing the acquisition of an operational 70MW Baigong Phase 1 waste heat to electricity (WHE) project; and (2) construction of an 80 MW Baigong Phase 2 WHE project in Qinhuangdao, Hebei province, a frontier region in China.

The project is located within an existing steel processing facility premise in an industrial area and 500m from the nearest community. The generated electricity will be consumed by the steel processing facility, hence transmission line will not be required.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

As stated by the IFC, the rest 25% [will be] funded by the Company, together with a minority shareholder.

Private Actors Description
A Private Actor is a non-governmental body or entity that is the borrower or client of a development project, which can include corporations, private equity and banks. This describes the private actors and their roles in relation to the project, when private actor information is disclosed or has been further researched.

As stated by the IFC, Zhengzhou Wote Energy-efficiency Technology Co., Ltd (Wote or the Company) is a private sector enterprise in China, focusing on providing energy efficiency and waste treatment solutions to the steel sector. 

Founded in 2007, Wote provides integrated energy efficiency and waste treatment solutions to traditional steel industry primarily across the following two business lines: 1) slag recycling and utilization, and 2) waste heat to electricity generation from blast furnace gas and converter gas. Wote is headquartered in Zhengzhou, Henan province, a frontier region in China.

Wote’s largest shareholder is Mr. LI Xun, the founder, who together with his family collectively owns 58.34 percent equity interest. Henan Zhanxin Industrial Investment Fund owns 7.17 percent shares of Wote. Five Employee Stock Option Plans collectively own 6.3 percent in the Company. Three Hongta related funds including Hongta Innovation Investment Co., Ltd., Shenzhen Hongta High-tech Venture Capital Enterprise (Limited Partnership) and Zhuhai Hongchuang Hezhi Investment Partnership (Limited Partnership) collectively own 6.27 percent in the Company. The rest of Wote’s shares are held by various institutional and individual investors with each owning less than 3 percent.

Private Actor 1 Private Actor 1 Role Private Actor 1 Sector Relation Private Actor 2 Private Actor 2 Role Private Actor 2 Sector
- - - - Zhengzhou Wote Energy-efficiency Technology Co., Ltd Client Energy

Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

General IFC Inquiries - IFC Communications:

Address: 2121 Pennsylvania Avenue, NW, Washington DC 20433
Telephone: +1 202-473-3800
Fax: +1 202-974-4384

Client - Zhengzhou Wote Energy-efficiency Technology Co., Ltd.:

YU Huayong - CFO
Phone: +86-371-60136657
Email: yuhuayong@zzwote.com
Address: 12th Floor, Block B, Kailin IFC, Xinyi Road, Jinshui Road, Zhengzhou, Henan Province, China
Website: http://www.zzwote.com/ 

ACCESS TO INFORMATION

You can submit a request for information disclosure at: https://disclosures.ifc.org/#/inquiries

If you believe that your request for information from IFC has been unreasonably denied, or that this Policy has been interpreted incorrectly, you can submit a complaint at the link above to IFC's Access to Information Policy Advisor, who reports directly to IFC's Executive Vice President.

ACCOUNTABILITY MECHANISM OF IFC/MIGA

The Compliance Advisor Ombudsman (CAO) is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an IFC or MIGA- financed project. If you submit a complaint to the CAO, they may assist you in resolving a dispute with the company and/or investigate to assess whether the IFC is following its own policies and procedures for preventing harm to people or the environment. If you want to submit a complaint electronically, you can email the CAO at CAO@worldbankgroup.org You can learn more about the CAO and how to file a complaint at http://www.cao-ombudsman.org

How it works

How it works