Message #1 From:
Jason Date: May 29, 2008 08:33:56 AM
Cavico Corp. Marks the Official Breakthrough of the Nam Chien 2 Hydropower Project Tunnel
Cavico Corp. (Cavico) (OTCBB:CVIC) today announced that Cavico Power and
Resources, its wholly own subsidiary, has officially marked the tunnel
breakthrough at Nam Chien 2 Hydropower Project.
The breakthrough was completed two months ahead of schedule. Currently
Cavico is focused on the Nam Chien 2 Hydropower Project contract for the
concrete finish work, which is valued at $1.12 million. Completion date
is anticipated to be March 2009. The revised contract valued, including
the concrete work, will be $3.52 million.
The contractual value of the tunnel work has been revised to $2.4
million for the 1300 meters in length and 4.8 meters in diameter
headrace tunnel. The original value of the contract was $4.7 million for
2,767.52 meters.
The 36 MW Nam Chien 2 Hydropower Project, which will generate 132
million KW hours per year upon completion, is located in Muong La
village, Son La province, about 217 miles northwest of Hanoi. Nam Chien
2 is owned by Northwest Joint Stock Company, which has invested an
estimated US $37.5 million in the project. Cavico Mining is responsible
for the construction of a headrace tunnel, surge tank, and inclined
tunnel. This hydropower plant will provide electricity for northwest
region of Vietnam and reduce flood damage.
“The early completion of this project allows
Cavico to move forward to other scheduled projects,”
noted Hieu Van Phan, Vice President of Cavico, “The
Nam Chien 2 project is a strong reflection of Cavico’s
commitment to the completion of all our projects in a timely and
effective manner.”
State owned Electricity of Vietnam Group recently noted its intention to
bring nine power plants with a combined capacity of 2,900 megawatts on
line this year. Vietnam is currently experiencing a strong power demand
estimated to be 8.6 billion kilowatt-hours this year. Vietnam has
indicated it plans to bring 135 power plants online with a combined
capacity of 48,744 megawatt-hours between now to 2015.
Cavico Corp. is focused on large infrastructure projects which include
the construction of hydropower facilities, dams, bridges, tunnels,
roads, mines and urban buildings. Cavico is also making investments in
hydropower facilities, cement production plants and urban developments
in Vietnam. Headquartered in Hanoi, with 3000 employees at projects
worldwide, the company has offices throughout Vietnam and a satellite
office in Australia.
Founded in 2000, Cavico is a major infrastructure construction,
infrastructure investment and natural resources conglomerate
headquartered in Hanoi, Vietnam. Cavico is highly respected for its core
competency in the construction of mission-critical infrastructure
including hydroelectric plants, highways, bridges, tunnels, ports and
urban community developments. One of the company’s
primary competitive advantages is its ability to nurture a project “from
concept through completion” with a vertical
portfolio of interrelated investment, permitting, design, construction
management and facility maintenance services. Cavico’s
project partners include top multi-national corporations and government
organizations. The company employs more than 3,000 people. For more
information, visit http://www.cavicocorp.com.
Safe Harbor Statement under the Private Securities Litigation
Reform Act of 1995
This press release contains "forward-looking statements" within the
meaning of the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995.All statements other than
statements of historical fact in this announcement are forward-looking
statements, including but not limited to, the company's ability to
obtain the necessary financing to continue and expand operations, to
market its products in new markets and to offer products at competitive
pricing, to attract and retain management, and to integrate and maintain
technical information and management information systems; compliance
with laws and regulations of the PRC, the effects of currency policies
and fluctuations, general economic conditions and other factors detailed
from time to time in the company's filings with the United States
Securities and Exchange Commission and other regulatory authorities. The
company undertakes no obligation to publicly update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise.
