Etibar Pirverdiyev, the President of Azerenerji JSC, held a meeting with the representatives of the Japanese Bank for International Cooperation (JBIC) on Central Asia and Caucasus. The sides discussed issues related to the project on construction of the second 400MW gas steam device at the Shimal State District Power Station (SDPS), which will be financed by the bank, Trend reports referring to the press release spread by Azerenerji JSC.
The Company will hold a tender soon to determine a consultant company for the project. Four companies from Germany, Japan and Finland showed interest in the participation in the tender.
The consultant company will be involved in the complex work on preparation of tender documents on choosing of general contractor to carry out construction and control over the course of the work envisaged in the project till its completion.
In May 2005 the Azerbaijani government and JBIC signed a loan agreement on financing of the construction of the second 400MW gas steam device at the Shimal SDPS. JBIC allocates 29.28bn yens grace loan for the construction of the device. The funds are allocated for 40 years with 10-year grace period and 0.75% interest rate. The Shimal SDPS has one 400MW gas steam device. The device was constructed by Mitsui/Mitsubishi.
JBIC allocated two privileged loans (for 35 years with 0.75% interest rate) in the total amount of 39bn yens to Azerbaijan. The first 20bn yens loan was allocated for the construction of new 400MW device at the Shimal SDPS in 1998, other 19bn yens loan - Garadagh-Shimal SDPS gas pipeline in 2000.