Monday, January 16, 2012

Sinohydro's first overseas BOT project begins operation

January 16, 2012
By Xu Keqiang
The Economic Daily
Edited and translated by People's Daily Online

Cambodia's Kamchay Hydropower Station, the first overseas Build-Operate-Transfer (BOT) hydropower project entirely funded by Sinohydro Group, was recently completed and put into commercial operation, marking a new stage in the overseas expansion of China's hydropower industry.

The 194-megawatt Kamchay Hydropower Station cost Sinohydro 300 million U.S. dollars over four years of construction, and the company is licensed to operate the hydropower station for 40 years before transferring it to the Cambodian government.

Sinohydro has adopted the creative BOT project-financing model with limited recourse, and used the project's future revenue as collateral, in order to reduce its investment risk.


AS China's leading hydropower engineering and construction company, Sinohydro has accumulated abundant technical and talent resources in water resource development over the past 60 years. It is also one of the world's largest contractors and developers of hydropower projects, and enjoys comparative advantage over its competitors worldwide.

While holding water conservancy and hydropower construction as its core business, Sinohydro is actively expanding into the upstream and downstream sectors, investing in international resource development projects, and conducting merger and acquisition activity abroad, in order to promote its structural transformation and international business expansion.

2 comments:

Anonymous said...

This is show a total corruption of Cambodian government. Only, 300 millions, the project itself could deal with the World Bank organized by Cambodian government rather than Chinese consortium because it is a lucrative project. That 300 hundred will be paid off far less than 40 years. I presume that the Chinese bribed certain millions to the CPP gang in order to own this project.

Anonymous said...

I saw the video of the dam, it does appeared to cost $300 millions. I think the CPP was riped off by the Chinese.