No delay in completion of Laos hydropower project: Mega First

PETALING JAYA: In the wake of the collapse of the Xe-Pian Xe-Namnoy (XPXN) hydropower dam in Laos, Mega First Corp Bhd, the developer of the nearby RM2 billion Don Sahong Hydroelectric Power Project, said there will not be a delay in the completion of the project or a material change in its overall cost.
Mega First said in a stock exchange filing today it made enquiries with the management of its subsidiary Don Sahong Power Co Ltd (DSPC) and the project consultants after receiving queries from various stakeholders on the risk of a similar situation happening to the Don Sahong project and its implications.
“Having reviewed the circumstances surrounding the incident and the specific and unique characteristics of the Don Sahong project, the board is satisfied that present and future dam safety risks remain low and are being (and will continue to be) appropriately monitored and managed in accordance with the industry and international best practices.”
In a separate statement, DSPC director Khoo Teng Keat said: “At this juncture, we do not expect this unfortunate incident to result in any delay to the completion of the DSHP project and any significant variation in the overall project cost.”
Khoo noted that construction work for the project has reached 65% and filling of the headpond with water from the Mekong River is scheduled for next wet season in 2019.
The Don Sahong project is expected to be completed by the end of 2019 and to start operation in early 2020.
Hundreds of people are missing and 26 fatalities have been reported so far after the collapse of the XPXN dam under construction in Laos.
Laos News Agency said the disaster happened in southeastern Attapeu province’s Sanamxay district late Monday, releasing five billion cubic metres of water – enough to fill more than two million Olympic-sized swimming pools.
Several houses in the southern part of the district were swept away, the report said, and officials in the province put out a call for relief aid for the flood victims. It is estimated that some 10,000 people are affected.
The US$1.2 billion (RM4.8 billion) dam is part of a project by Vientiane-based Xe Pian Xe Namnoy Power Co, or PNPC, a joint venture formed in 2012.
On Bursa Malaysia today, Mega First fell 6 sen or 1.67% to RM3.54 on volume of 188,800 shares.