SEMBCORP TO DEVELOP A NEW INTEGRATED WASTEWATER TREATMENT FACILITY IN JURONG ISLAND’S TEMBUSU DISTRICT

- Key customer for wastewater treatment in Tembusu secured


- New facility will more than double Sembcorp’s wastewater treatment capacity on Jurong Island

SINGAPORE, June 29, 2010 – Sembcorp is pleased to announce that its utilities business has secured its first wastewater treatment customer in the new Tembusu district of Singapore’s Jurong Island petrochemical cluster. Sembcorp will provide industrial wastewater treatment services to German specialty chemicals company LANXESS’ butyl rubber facility from a new integrated industrial wastewater treatment plant to be located in Tembusu. Expected to be completed by the second quarter of 2012 at an investment cost of approximately $40 million, the new facility will more than double Sembcorp’s current industrial wastewater treatment capacity on Jurong Island, and will be sufficient to serve LANXESS as well as further customers. The facility is expected to have an initial total capacity of 9,600 cubic metres per day to serve its customers.

Commented Sembcorp Group President & CEO Mr Tang Kin Fei, “This new contract from LANXESS is yet another vote of confidence in Sembcorp as a global leader in the provision of industrial wastewater treatment solutions to serve the specialised needs of chemical and petrochemical customers.

"With Sembcorp’s expertise and strong track record of over a decade on Jurong Island, we look forward to supporting LANXESS and other customers with our effective solutions. With this new facility, Sembcorp is well-positioned to meet growing customer needs on Jurong Island.”

Sembcorp is a well-established provider of third party outsourced utilities in the Sakra and Seraya districts of Jurong Island. The company has supplied a full range of energy, water and on-site logistics and services to chemical and petrochemical manufacturers on the island for over a decade, and has the technical and operational expertise to treat multiple streams of high concentration and complex industrial wastewater.

The contract is not expected to have a material impact on the earnings per share and net tangible assets per share of Sembcorp Industries for the current financial year.