YEREVAN HEAT’S COMBINED-CYCLE POWER UNIT TO LAUNCH OPERATIONS IN 2010

ARKA
May 29, 2009

YEREVAN, May 29. /ARKA/. The newly built combined-cycle power unit of
the Yerevan-based heat station will start operations on April 31, 2010,
said Hovakim Hovhannisyan, director of Yerevan Heat and Power Plant.

The project proceeding per schedule and Japan is financing the
activities.

"April 30 is the deadline for the project is April 30 and I am sure the
power unit will launch commercial operations on April 31," he added.

With the foundation being built, the workers’ team has competed basic
activities and is now constructing the building of the new power unit.

Hovhannisyan stressed that almost 92% of construction activities had
been successfully completed, with installation being under way.

"The heaviest equipment, including an Amston-made gas tube, has
already been transported to Armenia," he added.

The deadline for equipment supplies in July 25. According to
Hovhannisyan, the global financial crisis has not affected the project
and the Japanese Bank for International Cooperation finances the
project on time.

Projected and built in 1963-1967, the Yerevan-based heat and power
plant’s nominal output is 550 MW. Only one of the seven aggregates
with 50MW capacity each is working.

The Japanese Bank for International Cooperation (JBIC) has extended
Armenia a $250mln loan to construct a state-of-the art combi ned-cycle
power unit in Yerevan.

The station will output 271.7 MW, with its generating capacity being
set at 242 MW. This will enable to output 103.7 Gcals/h.