Sinohydro's first overseas BOT project begins operation

A worker carries empty cement bags across the front of the Kamchay dam at today's inauguration ceremony (AFP, Str)

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.