Baku, Azerbaijan, Oct. 18
Trend:
Uzbekistan's government has approved measures to implement the investment project on modernization of the Farkhad hydropower plant in the city of Shirin in the Syrdarya region, Uzbek media reported.
The state enterprise Uzbekhydroenergo and Russia's 'Power Machines - ZTL, LMZ, Elektrosila, Energomashexport' signed a contract to modernize the Farkhad HPP on a turnkey basis for a total of 56.52 million euros.
Another Russian company Hydroproject has developed a feasibility study of the investment project with the amount of capital investments totaling 58.27 million euros.
Russia's state corporation Bank for Development and Foreign Economic Affairs (Vnesheconombank) and the National Bank of Uzbekistan (Vzatsbank) signed an agreement on opening the correspondent credit line.
Vnesheconombank provided a loan of 45.22 million euros to finance the project. The loan is granted for 10 years with a three-year grace period. The interest rate on the loan is 2.35 percent per annum, including the refinancing margin of NBU in the amount of 0.35 percent.
Uzbekhydroenergo will direct its funds in the amount of 13.05 million euros on the implementation of the project.
According to the feasibility study of the project, the HPP's capacity will be 127 megawatts. The station will produce up to 531.2 million kilowatts/hour of electricity per year.