Tashir Group and Armenian Power Grid have presented a $1 billion investment plan in Armenia’s energy market, in partnership with Armenia’s Investors Club in Yerevan on November 13, 2017.
The event was attended by Armenian President Serzh Sargsyan, Tashir Group President and Founder Samvel Karapetyan, as well as ambassadors and representatives of Russia, the US, France, China in Armenia, international business executives and heads of investment banks.
Several partnership agreements were signed during the presentation. Tashir Group and Armenian Power Grid have signed agreements on long-term lending programs with international financial institutions. A letter of intent was signed with the Asian Development Bank while the Eurasian Development Bank signed an agreement to issue a loan of up to $100 million. The International Financial Corporation will provide technical assistance and Ardshinbank offered banking services for the investment projects. Earlier in July, the parties signed agreements to borrow a total of $160 million from the Asian Development Bank and the European Bank for Reconstruction and Development (EBRD).
Talks are underway with other financial institutions to attract additional capital in the next couple of years.
They also announced an investment program in Armenia’s energy sector focusing on power grid and construction of a HPP.
Tashir is expected to spend some $900 million on the distribution grid that has been part of its group since 2015 to upgrade the current power infrastructure and launch an Automated Power Metering System.
Tashir Group will also invest in the construction of the Shnogh HPP. The initial project drafted as early as 1970 provided for an HPP in the northern course of the river Debed in Armenia’s Lori Region. Last year, Tashir Group updated the plan based on new technology almost doubling its installed capacity from the original 76MW to 124Mw and an output of up to 460 million KWh. The four-year investment plan is worth a total of some $200 million.