ARMENIAN PRESIDENT SAYS CHEMICAL PLANT TO BE SOLD TO RUSSIAN COMPANY

Arminfo
11 Aug 06

Yerevan, 11 August: A Russian company has shown interest in the
Vanadzor chemical plant and negotiations have been going on for four
months already, Armenian President Robert Kocharyan told journalists
during his visit to Lori Region today.

"In my assessment, if an agreement is reached, this will open new
prospects for the plant," the president pointed out, adding that he
is being careful, taking account of the unsuccessful experience of
the past. He said that this issue was discussed at today’s meeting
with the leadership of Lori Region. The president did not say which
Russian company he was talking about.

"The plant can operate," the president pointed out, adding that the
interest shown in the plant confirms this conclusion. "However, the
plant should be updated as it needs new technologies," the president
said, asking Vanadzor residents to be more patient.

At the request of the potential buyer, the plant suspended its
operation after the beginning of the talks.

[Passage omitted: The plant was sold to a Russian businessman of
Armenian origin in 1999, but could not get off the ground due to high
fuel prices]