Azerbaijan, Baku, July 6 / Trend A.Badalova
The State Oil Company of Azerbaijan (SOCAR) will invest 258 miilion euros in development of a resort in Montenegro, the country's Council for Privatization and Capital Projects official website reports.
According to the Council's statement, an agreement on long-term lease of the Orijen Battalion barracks in Kumbor will be signed with SOCAR for 90 years period. The copmany will pay the rent for the first 45-year period upfront, including a fixed one euro per square meter and a variable 5 percent of the profit realized by the lessee from operations at the site.
According to the statement, the tenant has the right to establish a local company in Montenegro, which will transfer all rights and obligations under the lease agreement.
During the first four years of the lease, SOCAR is expected to invest at least 52 million euros in the resort's development. Total investement of 258 million euros will be made during the first eight years of the lease period. After making the first part of investments worth 52 million euros, the lessee may assign the contract to a third party that is able to meet all financial obligations under the lease.