ARMENIAN REGULATORS APPROVE TRANSFER OF HRAZDAN POWER PLANT TO INTER RAO

Interfax
May 11 2011
Russia

Armenian regulators have cleared Russian Inter RAO UES (RTS: IRAO)
to buy 100% minus one share in Hrazdan Power Plant (HrazTES) from
Rosneftegaz, the general director of the power plant, Ashot Manukyan,
told Interfax.

The deal will be concluded in the next few days, Manukyan said. He
did not disclose financial details.

Inter RAO will also receive the remaining share in the power plant
from the current owner, state property agency Rosimushchestvo.

All of HrazTES’ strategic development programs were worked out in 2002
in line with intergovernmental agreements between Armenia and Russia,
he said. The change in ownership will have no material effect on them,
Manukyan said.

Armenia transferred stock in generating companies worth $31 million
to Russia in 2003to repay debt. Rosneftegaz acquired 100% minus one
share (1,597,429 shares) in HrazTES in July 2009.

President Dmitry Medvedev signed a decree ordering the transfer
of a number of electricity assets, including HrazTES, to Inter RAO
last September.

HrazTES is a balancing plant used mainly during maintenance shutdowns
at Armenia’s nuclear power plant.