The project, located in the Fujian province of China, is valued at RMB279.0m ($44.3m) with any potential the buyer also expected to be saddled with its debt.
Sale of the Yuheng hydroelectric power project is expected to close in 2013.
China Hydroelectric board chairman Amit Gupta remarked that the sale reaffirms the value of the company’s fundamental asset value in addition to enabling China Hydroelectric to solve its current liquidity situation.
"In addition to this transaction, the Company continues to pursue other avenues to address its remaining liquidity needs in order to provide sufficient time for the new board to work with management on a comprehensive, long-term financing solution," Gupta said.
