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Yangjiang Xinhuan Water Purification Co., Ltd. was established in 2019 as a group-controlled enterprise with a total investment of 100 million yuan and a registered capital of 20 million yuan. It adopts the PPP model to invest, build, and operate the second phase of the Yangjiang Chengnan Sewage Treatment Plant for 22 years. The expansion of the second phase has a daily water treatment capacity of 40,000 tons, and the upgraded daily water treatment capacity is 60,000 tons.

The PPP project for the expansion and upgrading of the Yangjiang Chengnan Sewage Treatment Plant (Phase II) is located on the west side of Jinping Road, Jiangcheng District, Yangjiang City. The treatment process adopts the "A/A/O micro-aeration oxidation ditch", and the upgrading project adopts the "high-efficiency magnetic coagulation sedimentation tank" process. The project site covers an area of approximately 8,400 square meters. The construction scale of the second-phase expansion project is 40,000 tons per day, and the design scale of the upgrading project is 60,000 tons per day. The overall cooperation period of the project is 22 years, including 1 year of construction and 21 years of operation. The first-phase upgrading project was officially operated on October 1, 2019, and the second-phase upgrading and expansion project was officially operated on June 1, 2020. The service scope covers the Chaopaishan area, the south side of Dongyue Park, the Lingdong South Community along Dongmen South Road and Erhuan South Road, the Yuzhou South Community along Fukang Road and Dongmen South Road, the Lingdong Community along Jianglang Avenue and Xinjiang East Road, and the Binhai New District south of Xinjiang East Road and Nanpu Avenue. In 2020, the planned service population is about 150,000 people.