LHSE reviews business progress
LHSE reviews business progress
The Lao Holding State Enterprise (LHSE) received about 122.5 billion kip from its business operations last year while expenditure amounted to almost 111.5 billion kip or 88 percent of the plan for the year.
Most of the revenue was derived from share dividends in the Nam Theun 2 hydropower project, mining excavation dividends from the Hongsa Mine Mouth Power Project, selling fly ash, sending employees to control and manage the Nam Theun 2 hydropower project, the Hongsa Mine Mouth Power Project and the Xepien-Xenamnoy hydropower project. There was also some interest accrued from bank deposits.
The figures were reported at the annual meeting of LHSE in Vientiane on Friday, which was attended by the Minister of Energy and Mines, Dr Khammany Inthirath along with other officials from relevant government organisations.
LHSE is a business unit under the Ministry of Energy and Mines, which has the Ministry of Finance as its fund owner, LHSE General Manager Dr Somboune Manolom said at a meeting in Vientiane on Friday.
The first priority of the company is to seek joint funding arrangements with foreign investors for hydropower project development in line with the government's direction, he said.
The company has a stake in four hydropower projects. It has a 25 percent share of the Nam Theun 2 with an installed capacity of 1,080MW, 24 percent of the Xepien-Xenamnoy hydropower project (410MW), 25 percent of Nam Gniep 1(290MW) and 20 percent of Hongsa Mine Mouth Power Project (1,878MW).
This year, the company will continue to enhance its efforts in managing its dividends from the projects as well as repay loan capital and interest to the Ministry of Finance.
The company will also boost cooperation with its shareholders' projects to implement its obligations and collect its benefits.
However, the company will continue to improve the capacity of its employees and meet standards for coordination and contracts with foreign investors.
Each division should improve the quality of administration and management as well as increase the capacity of its human resources to work smoothly and effectively with foreign shareholders as well as foreign banks and international financial institutes.
The implementation of current hydropower projects is making good progress according to the plan, with the Nam Theun 2 hydropower project able to generate electricity totalling 5,617 GWh last year, of which 5,315GWh was sold to the E lectricity Generating Authority of Thailand (EGAT) for some US$245 million, and the remaining 302 GWh to Electricite Du Laos (EDL), for about US$12.6 million.
The Xepien-Xenamnoy hydropower project officially commenced construction in February 2014 and in 2015 the project was about 36 percent complete.
The Nam Gniep 1 project commenced construction in September 2014 and in 2015 the project was about 32 percent completed, while the Hongsa Mine Mouth Power Project now has two generators fully operational and the third is set to operate from next month.
In 2015 the Hongsa plant produced 2,347 GWh of electricity and burned 3.88 million tonnes of coal.
