Mudajaya Corp Bhd has entered into a memorandum of understanding (MOU) with the government of Laos to develop a nominal 60 MW Nam Poui 1 Hydroelectric Power Project.
Mudajaya Corporation is a wholly-owned subsidiary of listed Mudajaya Group Bhd.
In a filing to Bursa Malaysia today, Mudajaya Group said that under the MOU, the Lao government would grant the developer the sole mandate and exclusive right to develop, implement and operate the project on the build-operate-transfer (BOT) basis, if it was feasible in all aspects.
The MOU, signed yesterday, is valid and enforceable for 21 months from its execution.
"The PDA shall confirm the terms of the exclusive mandate granted by the government of Laos to the developer in order to enable the development and implementation of the project on a BOT basis with a concession period of 30 years inclusive of construction period commencing from the signing date of the concession agreement to be entered into by and between the government of Laos and the project company.
"The project company is targeted to be jointly held by the developer and government of Laos on 75:25 equity basis," Mudajaya Group said. -- Bernama
