China Starch to launch production and power projects

China Starch Holdings Limited (HKEX: 3838) announced the launch of a new cornstarch production project and a thermal power project via its indirect subsidiary, DGC. The cornstarch project, involving the demolition and reconstruction of existing facilities in Linqing City, PRC, aims to increase annual cornstarch production capacity from 1 million tonnes to 1.55 million tonnes with an estimated investment of RMB620 million funded by internal resources, with operations expected to begin in June 2026. Concurrently, the company will construct thermal power facilities beside existing plants, covering 91,416 mu, with an estimated RMB428.7 million investment and funded by internal resources and bank borrowings, which will feature a dual boiler system for steam and electricity. The thermal power project is designed to enhance energy supply stability and operational efficiency and expected to be operational end of 2026. The company said the launch of the projects is for the interests of the Company and its shareholders.