Savannakhet-Lao Bao railway to start constructing by 2015

Construction of a 220-km dual track standard gauge electrification railway project with US$5 billion from Savannakhet to Lao Bao, Vietnam border, is due to take shape by 2015 and expected to be completed in 2018, according to the official Lao News Agency.

This was announced at a press conference in Vientiane on Friday, attended by Director General of Investment Promotion Department, Ministry of Planning and Investment, Achong Laomao, and Malaysian ambassador to Laos Dato Than Tai Hing.

The concessionaire of the construction of Savannakhet to Lao Bao Railway is the Giant Consolidated Limited of Malaysia through Giant Rail Company Limited (Laos).

The Savannakhet to Lao Bao Railway will be the backbone of the country’s railway logistics. This construed as finally contributing to realization of Lao leaders’ ideas and vision of linking East West Economic Corridor (EWEC) involving railway route from Myanmar-Thailand-Laos and ending with the construction of  My Thuy Deep Sea Port at  Dong Ha in Quang Tri province, Vietnam.

Directly strategizing the landlocked Lao PDR with the Sea Port will not only for spurning Laos’ import and export economic activities but consolidating EWEC integration as well as proposing an appropriate development direction in order to stimulate the economics growth of the Mekong sub-region effectively by transforming Laos into a land-linked nation. The project is expected to cost worth USD5 billion and expected to be complete by 2018.