Chinese firm seeks to develop Xaysomboun

A memorandum of understanding on the proposal was signed on Saturday in Vientiane between the company and the province authority. 

Under the MOU, the company proposes its intention to develop infrastructure within the province such as irrigation systems to support commercial agriculture production, roads, government buildings, new town development, an airport, hydropower and other projects in accordance with the needs of the province. The company will draft a master plan of the development, which will run for the period from 2016 to 2020, with a survey and study to be conducted on the province's potential based on its natural resources, which both parties agreed upon at the execution of the MOU. 

Green Partner Holdings will appoint a technical team and self-fund the draft master plan, preliminary survey and cost estimation for the development projects. 

The company will be the source of the loan for the province for projects it will develop with a 15-year repayment period at an interest rate of approximately 2 per cent per annum. 

Green Partner will also develop an additional loan with duration for repayment of around 15 years at an interest rate of approximately 5 per cent per annum. 

The MOU signing followed the official meeting held on February 10 between Xaysomboun provincial authorities, led by the province Governor Sombath Yialiher and Green Partner with the team led by Lao Law and Consultancy Group managing director Siri Bouddakham. 

In his interview with media at the signing ceremony, Sombath reminded those present of the potential in developing hydropower projects, which he said still existed. It is hoped that such projects will bring income to the province, while pointing out the need of a concrete feasibility study.