Chinese, Armenian leaders discuss China’s participation in
Armenia-Iranian railway construction
RIA Novosti. Aleksey Druginin

YEREVAN, May 2 (RIA Novosti)

Chinese leader Hu Jintao and Armenian President Serzh Sargsyan has
discussed China’s participation in a construction of a railway between
Armenia and Iran, Armenian state’s press-service said Sunday.

Last year the Armenian and Iranian transport ministers signed an
agreement to build a railway linking Armenia with Iran’s Persian Gulf
ports. The construction of the 470-kilometer long railway, with 410
kilometers passing through Armenian territory, is expected to last for
at least five years and to cost $1.5-$1.8 billion.

"Sargsyan said that a development of the relations with China is a
priority of Yerevan foreign policy, and noted that bilateral relations
do already have a good dynamic of their development," the statement
said.

The sides also noted with satisfaction the successful implementation
of various joint projects in energy, chemical industry, agriculture,
science and technology, defense, culture and education, stressing that
an exploitation of the Shanxi-Nairit joint Armenian-Chinese
chloroprene rubber production plant is an important evidence of the
development of Armenian-Chinese economic cooperation.

Last year Armenia reached an agreement with Iran on a $400 million
loan for the construction of a railway between the two countries.

An agreement on the construction of the strategic route was signed by
the Armenian transport minister, Gurgen Sargsyan and his Iranian
counterpart, Hamed Behbahani, in April 2009 in Tehran.

The construction of the 500-kilometer (310-mile) railway, with 60
kilometers (37 miles) in Iranian territory, is expected to take at
least five years and cost $1.5-$1.8 billion.

The railway, with the Armenian section connecting the northern city of
Sevan to the southern city of Meghri on the border with Iran, will
ensure the transportation of energy supplies and other goods, and
increase trade between the countries.

Landlocked Armenia, currently under economic blockade by Turkey and
Azerbaijan, has rail links with other countries only through the
territory of Georgia, which is complicated by Tbilisi’s often
fractious relations with Moscow.

Russia and Ukraine had also expressed interest in financing the project.