Ord River to join Chinese partner to build Laos refinery
http://www.businessspectator.com.au/bs.nsf/Article/Ord-River-signs-MoU-to-build-...


Ord River Resources Ltd has signed a memorandum of understanding (MoU) with its Chinese construction partner to develop a $US600 million ($A565.72 million) alumina refinery in Laos.

Ord River says it is working to turn the MoU between its subsidiary, Sino Australian Resources Co Ltd (SARCO), and China Non-Ferrous Metal Industry's Foreign Engineering & Construction Co Ltd (NFC) into a binding contract to construct the 600,000 tonne per annum refinery.

Under the MoU, NFC will deliver a fully operational refinery to SARCO within two years, for a fixed total price of $US1,000 per tonne of capacity.

"We are very pleased with this key development for SARCO," Ord River said in a statement.

"The fixed price and fixed delivery time terms are competitive and provide the highest level of cost certainty."

"The fixed price turnkey arrangement can effectively remove main technical risks and reduce overall risk of the project."

Shares in Ord River had shot up 14.13 per cent, or 1.3 cents, to 10.5 cents by 1151 AEST.

The company says it expects Chinese banks to finance SARCO at competitive rates, in light of the cost certainty.

Ord River controls 49 per cent of SARCO and NFC owns 51 per cent.

Ord River also plans to raise $200 million in an initial public offering of SARCO, due later this year, to finance construction of the alumina refinery in Laos.

How about oil refinery?  Oil refinery in Laos would really help with the gas price and should lower transportation costs of commodities.  $6/gallon is rediculous in Laos.

Does the government trying to find oil deposits below the surface in Laos?

llX wrote on 4^th Jun, 2011 at 7:27am:


Now that they have the refinery support, we'll just have to wait to see if there's anything at all below the country's surface.  If it does, then this could be the turn around Laos needed.

Maybe they have something that why China invested $600 million.



OMD wrote on 5^th Jun, 2011 at 2:34am:

Then Lao PDR should investigate more what else is beneath the surface besides gold, aluminum and etc. to be sold so to generate more revenues for the country.

llX wrote on 5^th Jun, 2011 at 7:20am:

Do you know what type of coverage area do they accomplish per day to detect and clear UXOs?  There should be statistics somewhere.

Lao UXO?