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Laos’ Phongsaly-China road project underway
Publication Date : 03-12-2013
Work on a new road connecting Phongsaly province to the Chinese border officially began on November 30, with the project expected to boost trade and investment and help the country's socio-economic development.
The 142 kilometre Road No. 1A will connect Phongsaly's Bounneua and Nhot-ou districts to the Lantoui international border checkpoint with China and onto Pu-er in Yunnan province. It is expected to take 54 months to complete.
A ground-breaking ceremony was held in Napor Village, Bounneua district on Saturday to mark the start of construction, attended by Deputy Prime Minister, Somsavat Lengsavad, Guangdong Province Construction Group Managing Director, Fang Qichao, Phongsaly provincial Governor, Khamjane Vongphosy, and other provincial and central government representatives.
Project Head, Aloun Khounnavong, said the north-east Road No. 1A was a priority national road for Laos.
Aloun said the road would be used for the transportation of goods between Laos and China to help increase trade and investment in the region, contribute to socio-economic development and aid in the push for a peaceful nation.
The project will cost US$91.5 million, 95 per cent of which comes from a Chinese government loan.
The remaining 5 per cent will be paid from the Lao government's joint fund.
Through major towns the road will reach a width of 16m, dropping to 7m in rural areas.
The Guangdong No. 3 Water Conservancy and Hydroelectric Engineering Board began study and design works on the project in November 2009 and signed a construction contract with the Ministry of Public Works and Transport on October 20, 2011.
In March this year, the Ministry of Finance signed off on a loan agreement for the project with the Chinese Import and Export Bank.
Guangdong No. 3 Water Conservancy and Hydroelectric Engineering Board Director, Chen Liming, said the company would guarantee the construction works were completed to the highest quality.
The company will employ and train Lao workers during the construction process to develop the skills of local employees and ensure they can contribute to socio-economic development in the future. The project is also expected to help raise living standards in Phongsaly province.