BSR Russia
May 30 2013

Posted by Jezreel Jann Villaruel Yañez on Thursday, 30 May 2013 17:42
Published in Road & Rail Transport

The construction of Vanadzor-Fioletovo and Armenia-Iran railways
remain on the government's agenda, Prime Minister Tigran Sargsyan
told reporters on Tuesday.

Sargsyan noted, on the request of the Armenian side, the specialists
from different institutions, under the auspices of the Russian
Railways, consulted the government of Armenia concerning the efficiency
of the Fioletovo and Armenia-Iran projects.

"The experts introduced us with several possible scenarios, and they
are on our agenda today," Sargsyan responded to ARKA.

North-South railway connects Armenia with Iran which will allow to
use alternative ways of transportation of energy resources and other
goods. Currently railway communications of Armenia with foreign
countries is provided only through the territory of Georgia.

In November 2011, former Armenian transport and communications minister
Manuk Vardanyan said the project is ready, and a group of experts
headed by deputy transport minister of Armenia, Iran and Russia,
is working on it.

According to the experts, the project total budget will stand at
1.7-2.8 billion dollars. The project is currently discussed by Russia,
Iran and China. The interest was also shown by the World Bank and
the Asian Development Bank.

In December 2012, former economy minister of Armenia Tigran Davtyan
said the project of Vanadzor-Fioletovo railway construction will not
be implemented in the near future. Earlier, General Director of SCR
Viktor Rebets said the estimated cost of the project varied within
$250-500 million.

South Caucasus Railways, a 100-percent subsidiary of Russian Railways,
runs Armenian Railway.

Armenian Railways was handed over to the South Caucasus Railways on
February 13, 2008 for 30-year concession management with a right to
prolong the management term for other 10 years.