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Construction close to starting on major dam

Vientiane Times, 18 January 2008
 
The main construction phase of the Nam Ngum 3 (NN3) Hydropower Project
will begin in October this year in Xaysomboun district of Vientiane
province.
 
"We're now in the initial phase of construction," said the Senior
Deputy President of the GMS Lao Company Ltd, Mr Nopporn Prapaitrakul,
in an interview at the national consultation workshop on environmental
and social aspects of the project on Wednesday in Vientiane .
 
This initial construction will include the access road to the project
site.
 
The excavation process on NN3 will also begin next month, and the
company will sign a purchase agreement with a buyer a month later.
 
"The company is also selecting construction companies to carry out the
main work, with one company to be chosen from candidates from
Thailand , China , Italy and Japan ," Mr Nopporn said.
 
The construction work will take about four and a half years to
complete, necessitating between 3,000 and 4,000 employees, and will
cost a total of 6.5 trillion kip (US$700 million), with the Lao
government holding a 23-percent share. The rest will be owned by
companies from Thailand and Japan .
 
"The money for the government to purchase the 23-percent share will be
loaned by the Asian Development Bank," Mr Nopporn said.
 
Construction of the dam is expected to be finished by 2013, when the
generated energy will be sold to Thailand ; the plant will have an
installed capacity of 440MW that can generate about 2,000GWh per year.
 
The project will have a 96km transmission line of 230kV from the
powerhouse to a substation in Nabong village, Xaythany district,
Vientiane , as well as a 28km transmission line of 500kV from Nabong
to Thailand .
 
The dam will create a reservoir of 27.5 square kilometres, formed by a
wall 220 metres high.
 
"We will operate the dam for 27 years once it begins energy generation
and sale," Mr Nopporn said.
 
The Deputy Head of the Water Resources and Environment Administration,
Mr Noulinh Sinhbandhit, said the Lao government plans to generate
23,000MW from 2006 to 2010 throughout the country.
 
Mr Nopporn said the government was focusing on hydropower development
because it is a more sustainable form of income than, for example,
oil.
 
The GMS Lao Company Ltd signed the Memorandum of Understanding between
the Lao government and the project developer in 1994, but the project
was delayed in 2000 due to the Asian financial crisis in 1997.

 
 

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