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Construction on Xekong 5 project set to commence

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Construction on Xekong 5 project set to commence

cpwf.mekongFebruary 8, 2014Uncategorized, Vientiane Times

Vientiane Times, February 7, 2014

A Russian company will invest some US$850 million in the construction of the Xekong 5 Hydropower Project in Xekong province.

A memorandum of understanding was signed in Vientiane on Wednesday between the government and Russian company INTER RAO Engineering LLC, after being under study for the past 18 months.

The agreement was signed by Deputy Minister of Planning and Investment, Dr Bounthavy Sisouphanthong, Ministry of Energy and Mines Office Head, Mr Xaypaseut Phomsoupha and INTER RAO Engineering LLC Vice President, Mr Masim Sergeev along with company senior official, Mr Andrey Mikhaylik.

The ceremony was attended by the Russian Ambassador to Laos Mr Oley V. Kabanov along with relevant officials from the Lao and Russian governments.

It is planned that construction will commence in 2016 and officials expect that it will be finished by 2020.

To successfully conclude the project, Dr Bounthavy requires the company to implement the project with agreement between the two sides as to the best approach going forward.

He added that the project will further develop the economic cooperation between Laos and Russia, building on the long relationship that has already existed between the two governments.

Xekong 5, with a capacity of 330 megawatts, will require the relocation of people from more than 20 villages.

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