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11:01 | Jul 21 | 2014

Chinese company to invest RUB 40 billion in development of Yakutsk

 A Chinese Zhuoda company may invest 40 billion rubles in the development of three quarters in Yakutsk.

The investment company may invest 40 billion rubles in the integrated development of three blocks in the city of Yakutsk, said Anna Struchkova, Head of the Department of Economy,  Yakutsk City Administration, at a press conference on Wednesday following the last week I Russian-Chinese EXPO.

Such volume of investment is stipulated in the Letter of Intent for this project, which was signed by the Mayor of Yakutsk Aysen Nikolaev and Zhuoda CEO Yan Zhan Fu.

According A. Struchkova, originally they planned to sign a contract for the amount of 27 billion rubles, but the Chinese side came up with an initiative to increase the project cost by 13 billion rubles.

The project involves the demolition of dilapidated housing and construction of multi-storey buildings in the cleared off area.

"This is only a letter of intent, one still needs to do a lot of work. The Investor should examine our housing market, but the signing of the protocol  is a great achievement," - said A.Struchkova.

She also informed of signing an agreement with China on cooperation in the construction of a kiln brick factory in the Kangalassy industrial park in Yakutsk.

"As part of the industrial park project, China has already purchased equipment for 100 million rubles," - said the Head of the Department of Economy.

During the press conference, the Deputy Minister of Federal Relations and External Relations of Yakutia Diana Stepanova added that in general Yakutia and China has signed 16 agreements and letters of intent.