Laos concludes multi-billion rail agreement with Malaysian firm

Laos concludes multi-billion rail agreement with Malaysian firm

By Phommouny

(KPL) The government of Laos has signed an agreement on a US$ 5 billion railway project in central province Savannakhet with the Malaysian firm Giant Consolidated Limited in Vientiane yesterday.

The planned railway will link Savannakhet province to Lao Bao at the Lao-Vietnam border, providing a vital freight and passenger link between the two countries.

The signing ceremony of the master concession agreement concerning the railway construction and development was signed at the National Convention Centre yesterday, just a few hours before the opening of the ASEM 9 Summit, which was a historic event for Laos.

The signatories to the agreement were Minister of Planning and Investment, Mr Somdy Douangdy, Deputy Minister of Public Works and Transport, Mr Lathtamany Khounivong, Governor of Savannakhet province, Mr Souphanh Keomyxay, and President of the Giant Consolidated Limited, Mr Mohamad Fadzwi Bin Hamidun, and the directors of Giant Consolidated Limited Mr Tock Min Kin and Mr Aixinjueluo Yuhao.

The signing ceremony was witnessed by Lao Prime Minister Thongsing Thammavong and the Prime Minister of Malaysia Dato Seri Mohd Najib Tun Abdu Razak.

The multibillion dollar railway project is 220 kilometres long and construction is expected to take five years tocomplete .