Haykakan Zhamanak: Vorotan Hydro Cascade deal to be cancelled

‘Haykakan Zhamanak’ daily writes that the Armenian government is close to the cancellation of the Vorotan Hydro Cascade sales transaction. A final decision has not been taken yet, but it may happen at any point.

On January 29 the Armenian government and a U.S. company, Contour Global Hydrocascade, signed an agreement in Yerevan, under which the U.S. company was to pay $120 million for the Vorotan Cascade and invest $70 million.

The deal was expected to finish by mid-April, but the sum has not been paid so far. Neither the American side nor the Armenian government gave an exhaustive explanation about the problems.

According to an unofficial opinion received from the government, the deal’s cancellation has foreign and domestic political reasons, rather than economic ones. It is the only facility of Armenia’s energy system that was expected to be purchased not by a Russian company.