YEREVAN, December 19. / ARKA /. Viktor Rebets, CEO of South Caucasus Railways, a Russian company operating Armenia’s railroads, said today a project to build a railway from Armenia’s third largest town of Vanadzor in northern Lori region to Fioletovo village was quite feasible.
He said the cost of this project ranges from $220 million to $500 million, depending on the length of the route. He noted that the company had already invested 8 million rubles in the feasibility study, but the final decision was not made yet.
He said this project could be implemented through public-private partnership, however, funding sources are not clear yet.
In April 2011, then Armenian minister of transport and communication Manuk Vardanyan said that the construction of the railway stretch would begin in 2012. He said preliminary estimates put the cost of the construction of the 32 km-long railway stretch at $100 million.
It was also said that the Anti Crisis Fund of the Eurasian Economic Community pledged to allocate $49.9 million for this project and the other half was expected to come from Russia.
South Caucasus Railways is a 100% subsidiary of state-run Russian Railways that was awarded a concesional management of SCR. The 30 year contract was signed in 2008. It can be prolonged for another 10 years. -0- 0-