Korean public, private sectors teaming up for Laotian hydropower project

VIENTIANE, Laos 12/12/11 (PennWell) -- The South Korean Economic Development Cooperation Fund (EDCF) has struck a tentative deal with Laos for construction of a hydroelectric plant along the Mekong River, Korean news sources report.

The memorandum of understanding says EDCF will provide a US$70 million loan for the $1 billion hydropower project.

SK E&C Co., a South Korean builder, and Korea Western Power Co. are also joining the project. SK E&C will design and construct the facility, while Korea Western Power will operate it.

The venture marks the first large joint public-private partnership project for developing countries, according to finance minister Bahk Jae-wan.

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