Investee Company update

RNS Number:7884X
London Asia Chinese Private Equity
05 June 2007


5 June 2007


London Asia Chinese Private Equity Fund Limited
("LACPEF" or "the Fund")


Water investee company update


LACPEF, the China focused investment fund, is pleased to provide an update to
investors on the progress of it's remaining two Singapore listed businesses,
following the recent successful disposal of the Fund's stake in Devotion Energy.


Asia Water Technologies ("AWT")


AWT, the Chinese water treatment company, has acquired a wastewater treatment
plant in Wuhan, China, for #1 million.  The plant, acquired on a
Build-Operate-Transfer (BOT) basis on a 20 year licence (which commenced in
2004), currently treats 60,000 tonnes per day, but has capacity for double that.
The acquisition is in line with AWT's strategy of increasing the number of
facilities it owns to generate a growing stream of recurring income.


Last week the Fund received a dividend of #130,000 from its holding in AWT.



United Envirotech ("UE")



UE has secured an additional two engineering contracts, worth #2.6 million, from
China National Petroleum Corporation and China Petrochemical Corporation. These
latest agreements bring the total project value announced by the Company in the
last four months to #14 million, more than the total revenue for the 15 months
ended 31 March 2007.



The new contracts highlight UEL's position as a leader in its field, and will
use the Company's MBR technology to treat and recycle the waste water from the
petrochemical plants.



Simon Littlewood, Director of the Fund, said: "Both businesses are benefiting
from the strong growth in China's water market. With China having only 4% of the
world's water resources, but 20% of the world's population, water is a key issue
in China, and what little water there is needs to be well managed, creating a
good market for AWT, which focuses on municipal water treatment and supply, and
UE, which focuses on the industrial sector."



For further information please visit www.londonasiafunds.com or contact:


John West/Andrew Dunn         Simon Littlewood           Hugh Field
Tavistock Communications      London Asia Capital plc    Collins Stewart Limited
Tel: [phone]            Tel [phone]          Tel: [phone]



About United Envirotech Ltd

Singapore Main Board listed UE, specializing in water treatment and reclamation
using advanced membrane technology, provides environmental engineering solutions
to a wide range of customers in the chemical, petrochemical, pharmaceutical, and
wastewater treatment industries. The Group's track record includes building what
it believes to be the largest industrial  "Newater" plant in China that uses its
Continuous Membrane Filtration ("CMF") and Reverse Osmosis ("RO") technology, as
well as what it believes to be one of the largest industrial wastewater
treatment plants in Asia, in terms of treatment capacity, using its Membrane
Bioreactor ("MBR") technology.



About Asia Water Technology Ltd.


AWT provides total engineering solutions for water purification and wastewater
treatment systems. Its business is primarily conducted through its subsidiary in
China, which owns its own patented core technologies and works closely with
leading technology partners in the international and local water treatment
arena. For more information on the company, please visit: www.asiawatertech.com.


                      This information is provided by RNS
            The company news service from the London Stock Exchange
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