en.Wedoany.com Reported - On the evening of April 16, the Shanghai Stock Exchange in China issued a regulatory letter to Jinko Power Technology Co., Ltd. regarding matters related to the signing of an investment agreement, involving the listed company, its directors, and senior management personnel. The reason for the action is Jinko Technology's signing of an "Investment Agreement" with the Zhongwei Municipal People's Government of China, reaching a cooperation intention for a 1GW computing power center project in Zhongwei, Ningxia. The project has a planned total investment of approximately 245 billion yuan.
According to an announcement disclosed by Jinko Technology on the same day, the company recently signed an "Investment Agreement" with the Zhongwei Municipal People's Government of China. The project is located in the Xuanhe area of the Zhongwei Data Center Cluster in China, covering approximately 800 mu of industrial land. It plans to deploy about 50,000 racks, to be constructed in three phases. The first phase plans an investment of about 100 billion yuan with an IT power capacity of 400 megawatts; the second phase plans an investment of about 60 billion yuan with an IT power capacity of 300 megawatts; and the third phase plans an investment of about 85 billion yuan with an IT power capacity of 300 megawatts. The future revenue of the project will mainly come from rack rental income.
The announcement clarifies Jinko Technology's role as the investment entity. The company will lead the preliminary project approvals, land acquisition, fundraising, and overall coordination, and plans to introduce strategic partners with relevant experience to jointly invest and participate. Jinko Technology's main business is the investment, construction, and operation of new energy power stations. The company will be primarily responsible for the infrastructure construction and subsequent operation of this project and is not involved in the supply of core components such as servers, chips, and switches.
The agreement is characterized as a framework and intention agreement. The final construction scale, total investment, and implementation plan of the project need to be determined after obtaining national approval and further negotiation among the parties. Jinko Technology stated in the announcement that the project still requires national approval, land acquisition, and the introduction of partners as preconditions, and the final plan is subject to significant adjustments or termination.
The project aims to build a "new energy + computing power" computing-electricity collaborative ecosystem, promoting Jinko Technology's transformation into a green computing power and comprehensive energy service provider. According to the commitments made by the Zhongwei Municipal People's Government of China in the agreement, Party A will include this project as a key investment attraction project in Zhongwei City and a key construction project of the Zhongwei Data Center Cluster. It will assist Party B in handling energy assessment approvals, land, planning, construction, energy conservation, environmental impact assessment, and other related procedures. It will also strive to secure photovoltaic project quotas and power access resources, assist Party B in applying for national "East Data West Computing" related demonstration projects, and support participation in pilot projects in innovative fields such as zero-carbon parks and computing-electricity collaboration.
Jinko Technology disclosed risks multiple times in the announcement. The investment amount of approximately 245 billion yuan is significantly higher than the company's current book cash balance. According to the company's Q3 2025 report, as of the end of the third quarter of 2025, the company's cash and cash equivalents balance was 4.862 billion yuan, and monetary funds were 5.394 billion yuan. The company stated that if the project proceeds, it may need to increase debt financing significantly, leading to a higher asset-liability ratio and increased financial expenses, posing substantial fundraising pressure.
Zhongwei City in China, as one of the eight hub nodes of the national "East Data West Computing" project, is the first "dual-node" city in the country to be simultaneously approved as a national new internet exchange center and a national hub node of the integrated national computing power network. According to information from the Communications Administration of Ningxia Hui Autonomous Region in China, Zhongwei City already has three projects selected for the 2026 Urban "Millisecond Computing" special initiative. In 2025, Zhongwei's computing power scale reached 130,000 P, ranking fifth nationally in the computing power sub-index.
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