Sakhalin Oblast, Transport Industry Investment Project

Project purpose: To reconstruct the port of Shakhtyorsk in order to increase the volume of the coal shipment beyond the Sakhalin region, including export in scope up to 3,0 mln tons per year

Duration and stages of project implementation: 5 years. In 2006 it is planed to build a new mooring line, with the extension 185 m in the alignment with the wharf face of existing mooring line

Investment project participants: funds of state budget, private investor

Current implementation stage of the project: in 2005 the project was worked up by OJSC “DNIIMF” (Vladivostok)

Essential project documentation: Working project Availability of the final state, departmental and environmental permission: Conclusion regarding the project was made in May 2006 by the Department of Main State Expertise of Russia on Sakhalin oblast

Property and/or liability rights of investor to the results of implementation of the project: Rights of property (of the warehouses and conveyor line for the shipment of coal, etc)

Estimated cost of the project: 42 M Euro

Type of state support: Capital investments Sources of financing (%): State funds - 33,2; Funds of foreign investor - 66,8

Payback period: 6,0 years (simple payback period); 8,3 years (discount payback period).

Means of attraction of the investments: credit

Initiator of the investment project: Transport Department of Sakhalin oblast, 39, Communist pr., Juzhno-Sakhalinsk, 693011