The Theun Hinboune hydro-power project in Laos has been inaugurated after a four year construction programme. Most of the power from the 210 MW plant will be sold to Thailand.

The plant has been built by a consortium called the Theun-Hinboune Power Co. Ltd., comprising investors from Thailand, Scandinavia and Laos. The Asian Development Bank was the lead coordinating agency and provided financial and legal advice.

The power station is located on the river Nam Theun, a tributary of the Mekong river, in Khammouane province. It involved the construction of a 268 m wide dam.

Electricité du Laos will buy up five per cent of the output of the power station for domestic consumption. The remainder will be exported to Thailand. The project is expected to provide Laos with $1 billion in royalties, taxes and dividends during its 30 year licensing period.