Working visit by Vietnamese Minister of Construction to Xekaman 1 Hydropower Project work site

On June 20, 2009, Minister of Construction Nguyen Hong Quan, along with Mr. Ha Ban-Chairman of the People’s Committee of Kon Tum province (Vietnam), Mr. Sinay Mienglavan-Governor of Attapeu province (Laos) and the task force of Ministry of Construction of Vietnam, paid a working visit to Xekaman 1 Hydropower Project in Lao PDR

Xekaman 1 Hydropower Project Complex invested by Viet-Lao Power Joint Stock Company in Attapeu province comprises two hydroelectric power plants with the total installed capacity of 322 MW, total investment capital of 411 million USD. Coming into operation, the Project Complex will supply an annual power production of about 1.3 billion kWh and most of which will be exported to Vietnam.

After checking real construction progress of work items, the task force had a working session with the Investor, General Contractor and representatives of building contractors of the Project.

      At the working session, Mr. Duong Khanh Toan – General Director of Song Da Corporation, on behalf of EPC General Contractor at the work site, reported to the Minister and the task force on the implementation progress of the project as well as difficulties, entanglements in the process of project development. The Project is located in the remote area of South Laos with unstable weather conditions and roads to the work site difficult for traveling, the Investor have to build construction roads, electricity and water system served for construction at the work site. Moreover, all the equipments, building materials, fuel and work force must be transported from Vietnam. However, for over the past year, Song Da Corporation and the Investor, with the available resources, made every effort to organize construction of work items in advance, striving for basic completion of the construction and operation road to the work site and some construction roads in the work site when the Project will be commenced in late 2009...

On behalf of the Investor, Mr.Thai Son – Chairman of BOD of Viet-Lao Power Joint Stock Company – expressed a desire that the Governments of both countries soon reach a consensus on power tariff of the Project, which creates a basis for signing the Concession Agreement with the Government of Laos, establishing the Project Company and making capital loan for investment implementation.