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RusHydro not to return to Upper Naryn HPPs project

RusHydro does not plan to return to the project of Upper Naryn hydropower plants in Kyrgyzstan, but will help with attracting investors. Head of the company, Nikolay Shulginov, told reporters. Prime media outlet reports.

«Financial model does not allow us to decide on further participation in this project under any conditions. We agreed that we would help attract external investment in this project. We handed over updated calculations of the financial model. So far, we do not see any opportunity in these parameters of the plants’ feasibility study to enter the project because of its sunk costs,» Nikolay Shulginov stressed.

At the same time, he noted that assistance may be provided, for example, in form of calculations for potential investors.

Two days ago, Nikolay Shulginov met with the Prime Minister of Kyrgyzstan, Mukhammedkaly Abylgaziev. The parties discussed cooperation in the hydropower industry, including the fate of the Upper Naryn cascade.

Recall, Board of Directors approved termination of RusHydro’s participation in Upper Naryn HPPs CJSC by selling 2.5 million of ordinary registered shares, or 50 percent of the authorized capital, in favor of Electric Stations at a price determined on the basis of an appraiser’s report. The decision was made at a meeting of the Board of Directors. In addition, it was previously reported that RusHydro filed a lawsuit with the arbitration court in The Hague, demanding to recover $ 37 million from Kyrgyzstan. The authorities of the republic still hope to resolve the dispute without litigation.