DEG based in Germany, a leading development finance institution in Europe, Tuesday signed an agreement with a subsidiary of China Recycling Energy Group (CREG) in Xi'an, capital city of northwestern China's Shaanxi Province, on two heat and pressure recovery projects.

One of the project will be located at an iron alloy enterprise in the northern autonomous region of Inner Mongolia, and the other at a nickel-iron enterprise in the northern province of Hebei, according to Bruno Wenn, chairman of DEG.

Li Lanwei, deputy general manager of CREG, told Xinhua that after the two projects begin operation, some 800,000 tonnes of carbon dioxide emission will be reduced annually.

CREG is the only Nasdaq-listed Chinese company engaged in energy recycling.