Prime-Tass English-language Business Newswire
September 27, 2006 Wednesday 1:04 PM EET

Russia’s UES export arm buys Armenian Power Grids for $73 mln

Inter RAO UES, the export and import arm of Russia’s electric power
monopoly UES, has bought 100% in Armenian Power Grids for U.S. $73
million from the U.K.’s Midland Resources, Andrei Rappoport, chairman
of Inter RAO UES’ board of directors, said at an official ceremony
late Tuesday, ITAR-TASS reported.

Inter RAO UES also plans to invest a total of $20 million in Armenian
Power Grids, Inter RAO UES’ General Director Yevgeny Dod said.

UES now controls about 60% of Armenian power facilities, including
the Sevan-Razdan hydropower plant, Dod said.

Midland Resources Holding bought a 100% stake in Armenian Power Grids
from the Armenian government for U.S. $37.015 million in 2002.

Armenian Power Grids, which operates a 36,000-kilometer power grid
system, serves more than 913,000 consumers in Armenia.

UES holds 60% in Inter RAO UES, or RAO UES International, while
Russia’s state-owned nuclear power monopoly Rosenergoatom holds 40%.