NO PROJECT FROZEN IN ARMENIA’S ENERGY SECTOR IN 2009 DUE TO GLOBAL FINANCIAL AND ECONOMIC CRISIS

Noyan Tapan
Dec 22, 2009

YEREVAN, DECEMBER 22, NOYAN TAPAN. No project has been frozen in
Armenia’s energy sector in 2009 due to the global financial and
economic crisis. RA Minister of Energy and Natural Resources Armen
Movsisian declared this at the December 22 press conference held
to summarize the results of this year, adding that the only impact
of the crisis on the sector was that power generation fell by 7%
as compared with 2008.

The minister said that 5.680 billion kwh of electric power was
generated (7% fall compared with last year) as some enterprises in the
mining and chemical industries did not operate because of the crisis.

Small hydropower plants produced 335 million kwh of power this year
against 259 million kwh in 2008. Thermal power plants produced a
total of 1.1 billion kwh against 1.8 billion kwh last year.

As regards the mining industry, the minister pointed out considerable
success in this sector despite the global crisis. In particular,
131 tons of gold concentrate was produced in 2008 and 133 tons in
2009. 90 thousand tons of copper concentrate was made in 2009, which
exceeds the 2008 output by 18 thousand tons. In 2009 8,362 tons of
molybdenum (8,300 tons in 2008) and 6,200 tons of zinc (7,400 tons in
2008) were produced. The minister reminded that although in early 2009
the mining enterpises did not operate, in May the production resumed,
and last year’s volumes of main products have been exceeded.

Out of important activities carried out in 2009, Armen Movsisian
indicated the completion of building and assembly work on the
gas-turbine unit at Yerevan Thermal Power Plant. In his words, the
fact that the unit will be put into operation on the stated date –
21 April 2010 inspires confidence.

The minister also spoke about the start of the new nuclear power
plant’s construction. 15-20 days ago an agreement was reached with
an Armenian-Russian joint venture which will install equipment of
the reactors of the new power unit. The selection of main equipment
is scheduled to finish in 2010.

As for the Russian-Armenian joint venture set up to do geological
exploration, mining and processing work at uranium mines in Armenia,
the minister announced that the company has already begun geophysical
and geochemical exploration. The work will last 3-5 years and enable
to receive complete information about uranium reserves in Armenia.