China to provide $ 150Mln for Pakistan's Chashma power plant
Pakistan Times Foreign Desk

BEIJING (China): With an agreement, signed on Wednesday, China will provide $ 150 million to Pakistan for expansion of Chashma nulcear power plant (Phase-II).

It will be the part of Preferential buyers credit of $500 million to be provided by the Chinese government for investment through Chinese companies.

Secretary Foreign Affairs Riaz Khokhar, said this while briefing the newsmen about the seven documents that were signed, following the talks between Prime Minister Shaukat Aziz and his Chinese counterpart Wen Jiabao, held at the Great Hall of the People.

Khokhar hoped that the agreement and protocols signed during the PM's visit will go a long way, besides further strengthening economic ties between the two countries.

MoU to expand Gwadar port channel capacity

Pakistan and China also signed a Memorandum of Understanding (MoU) for expansion of Gwadar seaport channel capacity for facilitating big vessels.

The MoU was signed followed by the talks held by Prime Minister Shaukat Aziz and a senior official of China Harbour and Engineering Corporation Liu Huai Yuan, here at the State Guest House.

It was agreed that there will be further dredging of the channel to the depth of 14.7 meters. The Prime Minister noted that after dredging the port would be able to accommodate big vessels.

The project will cost around dollar 40 million. The first phase of the project which has almost been completed, will be inaugurated early next year on the eve of Chinese top leader's visit to Pakistan.

Talking to reporters, Shaukat Aziz said that Pakistan-China friendship would get a boost with the commissioning of Gwadar Port. He expressed the confidence that economic cooperation between the two countries, through the ongoing projects, would bring greater depth and direction to the time-tested friendship.

Gwadar Port would emerge as a hub of economic activity in the region facilitating imports and exports, he added.

Contract for housing project in Lahore

Pakistan and China also signed a contract for construction of a housing project on Multan Road, Lahore. The project would cost $110 million.

Under the project, around 1600 villas of various sizes will be built, using Chinese technology and expertise.

The contract was signed following the talks held here between Prime Minister Shaukat Aziz and President of China State Construction Engineering Corporation Sun Wen Jie. The project will also include farm houses.

The project would start during the next three months and complete within three years. Shujjat Azeem, President of Sukh Chain Gardens, Lahore signed the contract from the Pakistan side.

Tariff rates on Thar coal project

Senior officials of China state-run company Shenhua Group called on Prime Minister Shaukat Aziz here Wednesday and discussed with him further progress on the construction of Thar coal power project.

During, the meeting it was decided to start the project as early as possible. In this connection, the Chinese company and the Pakistani side have finalized the tariff structure. The Chinese company will now send details of the project to its government for final approval.

An official of the company told newsmen that the two sides are now close to the formal agreement on the project. The top-leadership of the two countries are taking personal interest in the project, hoping it would be another symbol of their existing close friendship.

Pakistan is spending around Rs. 3 billion annually for its development. The project in Tharparkar on completion would produce 600 MWs electricity daily and would help meet the power demand in the country.●