Connected Transaction

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part of the contents of this announcement.

                              DATANG INTERNATIONAL POWER GENERATION CO., LTD 
 (a sino-foreign joint stock limited company incorporated in the People's Republic of China)
                                      (Stock Code: 00991)

                                            ANNOUNCEMENT
                                        CONNECTED TRANSACTION

CAPACITY AND EFFICIENCY ENHANCEMENT AND MODIFICATION CONTRACT

Pursuant to the "Resolution on the Increase in the Tendering Amount of Datang International and its
Subsidiaries for Technological Transformation Projects" as considered and approved by the fifteenth
meeting of the eighth session of the Board on 30 October 2014 (the details of which were set out in
the overseas regulatory announcement of the Company dated 30 October 2014), the public tender for the
technological transformation work on desulfurisation and capacity and efficiency enhancement for generation
units No. 1 and 8 of Zhangjiakou Power Plant was conducted. According to the result of the tender, on 10
December 2014, Zhangjiakou Power Plant and Datang Technology Industry Company, a wholly-owned subsidiary of
CDC, entered into the Capacity and Efficiency Enhancement and Modification Contract, with the aggregate contract
amount of approximately RMB198 million.


LISTING RULES IMPLICATIONS

As at the date of this announcement, CDC is the controlling Shareholder of the Company, which together with its
subsidiaries holds 34.71% of the issued share capital of the Company. Pursuant to Chapter 14A of the Listing
Rules, since Datang Technology Industry Company, a wholly-owned subsidiary of CDC, is a connected person of
the Company, the transaction under the Capacity and Efficiency Enhancement and Modification Contract constitutes
a connected transaction of the Company.

As one or more of the applicable percentage ratios (as defined under Rule 14.07 of the Listing Rules) in respect
of the aggregated transaction amount under the "Capacity and Efficiency Enhancement and Modification Contract",
the "General EPC Contract for Transformation Project for the Electric Dust Wipers of Boilers No. 1 and 4 of 300MW
Power Generating Units No. 1 and 4 of Zhangjiakou Power Plant" and the "General EPC Contract for Transformation
Project for the Electric Dust Wipers of Boilers No. 3 and 7 of 300MW Power Generating Units No. 3 and 7 of
Zhangjiakou Power Plant" is more than 0.1% but less than 5%, the Capacity and Efficiency Enhancement and Modification
Contract and the transaction thereunder are subject to the reporting and announcement requirements under Chapter 14A
of the Listing Rules but do not require the approval by the independent Shareholders of the Company.


CAPACITY AND EFFICIENCY ENHANCEMENT AND MODIFICATION CONTRACT 

Pursuant to the "Resolution on the Increase in the Tendering Amount of Datang International and its Subsidiaries
for Technological Transformation Projects" as considered and approved by the fifteenth meeting of the eighth session
of the Board on 30 October 2014 (the details of which were set out in the overseas regulatory announcement of the
Company dated 30 October 2014), the public tender for the technological transformation work on desulfurisation
and capacity and efficiency enhancement for Zhangjiakou Power Plant units No. 1 and 8 was conducted. According
to the result of the tender, on 10 December 2014, Zhangjiakou Power Plant and Datang Technology Industry Company,
a wholly-owned subsidiary of CDC, entered into the Capacity and Efficiency Enhancement and Modification Contract,
with the aggregate contract amount of approximately RMB198 million.

Date of contract

10 December 2014

Parties

1. Zhangjiakou Power Plant; and

2. Datang Technology Industry Company.

Major terms of the contract


1. Subject matter: Zhangjiakou Power Plant agreed to appoint Datang Technology Industry Company to carry out
   the technological transformation project on the capacity and efficiency enhancement of the flue gas 
   desulfurisation system of unit No. 1 and 8 of Zhangjiakou Power Plant.

2. Scope of the contract: Datang Technology Industry Company agreed to provide services including the design,
   optimisation, supply, construction, supervision, debugging, testing, provision of on-site services, preparation 
   of tender materials of all equipment and materials , the supply and installation of absorber tower and 
   anti-corrosive flue pipes, the supply of anti-corrosive pipes, tanks and cans, and the supply and construction 
   of anti-corrosive materials.

3. Contract price and breakdown:
                                
                                        Breakdown of the total contract price
    
 Total contract                           Total                  Total                  Total
    price        Total facilities   consideration for      consideration for     consideration for
   (RMB'000)          costs         construction work      installation work     technical services
                     (RMB'000)           (RMB'000)              (RMB'000)             (RMB'000)    

    198,000          76,781.2           29,753.889             70,739.744             20,725.167

4. Settlement and payment: Within two weeks from the effective date of the contract, Datang Technology Industry
   Company shall submit a financial receipt with an amount equivalent to 100% of the total contract price to
   Zhangjiakou Power Plant. Within two weeks upon verification, Zhangjiakou Power Plant shall pay 90% of the
   total contract price, i.e., RMB178,200,000 to Datang Technology Industry Company as the project fee by way
   of cash transfer. The remaining project fee of 10% of the total contract price i.e., RMB19,800,000 shall be
   regarded as warranty for quality that shall be paid by way of cash transfer after the end of the warranty period.

5. Warranty period: One-year warranty period starting from the day of passing the performance test. One-year
   warranty period for each power generating unit.

6. The Capacity and Efficiency Enhancement and Modification Contract shall become effective when it is duly
   signed by the legal representative or the proxy (with written authorisation by the legal representative) of
   the parties with their respective company seals affixed thereto.
 
REASONS FOR AND BENEFITS OF ENTERING INTO THE CAPACITY AND EFFICIENCY ENHANCEMENT AND MODIFICATION CONTRACT

According to the annual technological transformation plan of the Company, the Company invited public tender for
the project on the capacity and efficiency enhancement and modification for the power generating units of its
power plants. After carrying out relevant evaluation procedures and considering various factors, including the
fee quotation, technical experiences, professional qualification, business reputation, project management skills,
consideration amount and other relevant factors of all the tenderers, Datang Technology Industry Company, a
professional company, was selected as the tender winner for the project on the capacity and efficiency enhancement
and modification for the generation units of Zhangjiakou Power Plant.

Datang Technology Industry Company possesses sufficient qualification with rich expertise in carrying out the capacity
and efficiency enhancement and modification for the power generating units. The Company considers that Datang 
Technology Industry Company will be capable to ensure the capacity and efficiency enhancement and modification
to be carried out smoothly.

The Company and Zhangjiakou Power Plant agreed to appoint Datang Technology Industry Company to carry out the capacity
and efficiency enhancement and modification, mainly for the purposes of ensuring the on-schedule completion of the
capacity and efficiency enhancement and modification of the Zhangjiakou Power Plant, to fully ride on its professional
advantage, as well as to control cost to a certain extent through large scale purchasing of facilities.

The Directors (including independent non-executive Directors) are of the view that the transactions under the Capacity
and Efficiency Enhancement and Modification Contract were determined by way of public tender; the relevant terms are
fair and reasonable and conducted on normal commercial terms and are in the interests of the Company and its
shareholders as a whole.

BOARD'S APPROVAL

None of the Directors has material interest in the transactions under the Capacity and Efficiency Enhancement and
Modification Contract. Connected Directors, including Chen Jinhang, 
Hu Shengmu and Liang Yongpan, have abstained from voting for this resolution at the relevant Board meeting pursuant
to the listing rules of the Shanghai Stock Exchange.
 
INFORMATION RELATING TO THE PARTIES OF THE CONTRACT


1. The Company is principally engaged in the construction and operation of power plants, the sale of electricity
   and thermal power, the repair and maintenance of power equipment and power related technical services, with
   its main service areas being in the PRC.

2. Zhangjiakou Power Plant is a power plant owned by the Company. It currently has eight 300MW coal-fired
   generation units (2,400MW in total) and the assets of compatible desulfurisation facilities. The power generated
   mainly supplies the Beijing-Tianjin-Tangshan power grid.

3. CDC was established on 9 March 2003 with registered capital of RMB18,009 million and is principally engaged in
   the development, investment, construction, operation and management of power energy, organisation of power (thermal)
   production and sales; manufacturing, repair and maintenance of power equipment; power technology development and
   consultation; power engineering, contracting and consultation of environmental power engineering; development of
   new energy as well as development and production of power related coal resources.

4. Datang Technology Industry Company is a wholly-owned subsidiary of CDC with a registered capital of RMB550 million.
   The company is the major platform for the development of the technology business segment of CDC and is responsible
   for the implementation of the development strategy and plan for the technology business of CDC.
 
LISTING RULES IMPLICATIONS

As at the date of this announcement, CDC is the controlling Shareholder of the Company, which together with its
subsidiaries holds 34.71% of the issued share capital of the Company. Pursuant to Chapter 14A of the Listing Rules,
since Datang Technology Industry Company, a wholly-owned subsidiary of CDC, is a connected person of the Company,
the transaction under the Capacity and Efficiency Enhancement and Modification Contract constitutes a connected
transaction of the Company.

As one or more of the applicable percentage ratios (as defined under Rule 14.07 of the Listing Rules) in respect of
the aggregated transaction amount under the "Capacity and Efficiency Enhancement and Modification Contract", the
"General EPC Contract for Transformation Project for the Electric Dust Wipers of Boilers No. 1 and 4 of 300MW Power
Generating Units No. 1 and 4 of Zhangjiakou Power Plant" and the "General EPC Contract for Transformation Project for
the Electric Dust Wipers of Boilers No. 3 and 7 of 300MW Power Generating Units No. 3 and 7 of Zhangjiakou Power Plant"
is more than 0.1% but less than 5%, the Capacity and Efficiency Enhancement and Modification Contract and the 
transactions thereunder are subject to the reporting and announcement requirements under Chapter 14A of the Listing
Rules but do not require the approval by the independent Shareholders of the Company.

DEFINITIONS

In this announcement, unless the context otherwise requires, the following expressions have the following meanings:

"Board"                           the board of Directors

"Capacity and Efficiency          the "Contract on Desulphurisation and Capacity and Efficiency Enhancement and  
Enhancement and Modification      Modification of Zhangjiakou Power Plant Units No. 1 and 8" entered into by 
Contract"                         Zhangjiakou Power Plant and Datang Technology Industry Company on 10 December 2014

"CDC"                             China Datang Corporation, a State-owned enterprise established under the laws 
                                  of the PRC and is the controlling Shareholder of the Company which, together with 
                                  its subsidiaries, own approximately 34.71% of the issued share capital of the Company
                                  as at the date of this announcement

"Company"                         Datang International Power Generation Co., Ltd., a sino-foreign joint stock limited 
                                  company incorporated in the PRC on 13 December 1994, whose H Shares are listed on 
                                  the Hong Kong Stock Exchange and the London Stock Exchange and whose A Shares are 
                                  listed on the Shanghai Stock Exchange

"connected person"                has the meaning ascribed to it under the Listing Rules

"connected transaction"           has the meaning ascribed to it under the Listing Rules

"Datang Engineering Company"      China Datang Technologies and Engineering Co., Ltd., a subsidiary of Datang 
                                  Technology Industry Company Limited, a wholly-owned subsidiary of CDC 

"Datang Technology Industry       Datang Technology Industry Company Limited, a wholly-owned subsidiary of CDC.
Company"                          For more information, please refer to the section headed "INFORMATION OF THE PARTIES"

"Director(s)"                     the director(s) of the Company

"General EPC Contract for         the general EPC contract for transformation project for the electric dust wipers of 
Transformation Project for the    boilers No. 1 and 4 of 300MW power generating units No. 1 and 4 of Zhangjiakou Power
Electric Dust Wipers of Boilers   Plant entered into between entered into between Zhangjiakou Power Plant and Datang 
No.1 and 4 of 300MW Power         Engineering Company  on 20 March 2014, details of which were set out in the connected 
Generating Units No. 1 and 4      transaction announcement of the Company dated 27 August 2014
of Zhangjiakou Power Plant"   


"General EPC Contract for         the general EPC contract for transformation project for the electric dust wipers of 
Transformation Project for        boilers  No. 3 and 7 of 300MW Power Generating Units No. 3 and 7 of Zhangjiakou Power 
the Electric Dust Wipers of       Plant entered into between Zhangjiakou Power Plant and Datang Engineering Company  
Boilers No. 3 and 7 of 300MW      in April 2014,details of which were set out in the connected transaction announcement  
Power Generating Units No. 3      of the Company dated 27 August 2014
and 7 of Zhangjiakou Power 
Plant"    

"Listing Rules"                   the Rules Governing the Listing of Securities on the Stock Exchange

"PRC"                             the People's Republic of China

"RMB"                             Renminbi, the lawful currency of the PRC

"Stock Exchange"                  The Stock Exchange of Hong Kong Limited

"Zhangjiakou Power Plant"         Datang International Power Generation Company Limited Zhangjiakou Power Plant, a 
                                  power plant owned and directly managed by the Company. For more information, please 
                                  refer to the section headed "INFORMATION OF THE PARTIES"

"%"                               percent



                                                                                            By Order of the Board
                                                                                                  Zhou Gang
                                                                                           Secretary to the Board

Beijing, the PRC, 10 December 2014

As at the date of this announcement, the Directors of the Company are: 

Chen Jinhang, Hu Shengmu, Wu Jing, Liang Yongpan, Zhou Gang, 
Cao Xin, Cai Shuwen, Liu Haixia, Guan Tiangang, Yang Wenchun, 
Dong Heyi*, Ye Yansheng*, Zhao Jie*, Jiang Guohua*, Feng Genfu*

* Independent non-executive Directors