Month: November 2006

NAS INSTITUTE OF MICROBIOLOGY DEVELOPS NEW BIOMETALLURGICAL METHOD OF GOLD PRODUCTION
Noyan Tapan
Oct 31 2006
YEREVAN, OCTOBER 31, NOYAN TAPAN. A group of scientists of the
Mineral Microbiology Laboratory of the Institute of Microbiology of
the National Academy of Sciences (NAS) is developing a new integrated
biometallurgical method of gold production. The laboratory head Narine
Vardanian stated this. According to her, new isolated active strains
of chemolithotrophic bacteria will be used for gold containibg pyrite
ores processing, which may allow to increase the gold recovery degree
up to 95%. To recap, the indicated group of scientists received a 5
thousand-dollar award under the Science and Technology Entreprenuership
Program (STEP) implemented by the Enterprise Incubator Foundation
(EIF) jointly with the Civilian Research and Development Foundation
(SRDF). The scientists plan to spend this money to obtain strains of
bacteria resistant to extremal conditions and test them in the Tandzut
gold mine owned by Vallex Mining company, after which it is envisaged
to made a proposal to this company to use the biometallurgical
method of gold production. N. Vardanian said that gold reserves in
Armenia are estimated at 500 tons. In the 1980s, gold extraction
in the country made two tons a year, in the 1990s this amount was
reduced significantly, while in the past few years it made about a
ton annually.
According to her, in 2005, 2,518 tons of gold was extracted in the
world: this index is half the average annual amount in the 1980s. The
stock exchange price of an ounce (28.3 grams) of gold currently makes
about 590 dollars, exceeeding twofold its price in the 1980s.

GAZPROM TO INCREASE ITS AUTHORIZED CAPITAL IN ARMRUSGAZPROM BY 118 MILLION DOLLARS
Noyan Tapan
Oct 31 2006
YEREVAN, OCTOBER 31, NOYAN TAPAN. The Russian company Gazprom will
increase its authorized capital in ArmRusgazprom (thus increasing
its stake to 58%) through additional issue of shares of 118 million
dollars. Karen Karapetian, Chairman of the ArmRusgazprom Board,
Executive Director of the company, stated this at the October 31
press conference. At present, the Armenian government and Gazprom
own 45% of ArmRusgazprom shares each, and Itera owns the remaining
10% of shares. It was noted that ArmRusgazprom’s authorized capital
currently makes 280 million USD, with the Armenian government’s
capital and that of Gazprom making 126 million dollar each. Karen
Karapetian did not rule out that the 5th power unit of the Hrazdan
Thermal Power Plant will be transferred to ArmRusgazprom’s balance,
as a result of which the authorized capital of Gazprom will increase.

IN ANDRANIK MARGARIAN’S WORDS, POVERTY LEVEL DECREASED BY 20% IN 5 YEARS IN ARMENIA
Noyan Tapan
Oct 31 2006
YEREVAN, OCTOBER 31, NOYAN TAPAN. “Five years ago poverty level was
rather high in Armenia, 50-55%, but after approving the Poverty
Reduction Strategic Program in 2003, the poverty level reached
35%.” RA Prime Minister Andranik Margarian said this in his October 31
interview to journalists. In his words, in total, a credit of 8 mln
USD was given to enterprises producing and processing agricultural
products in the past 3-4 years: the average amount of credits given
to small and medium-sized enterprises made 100-250 thousand USD and
to big enterprises 500 thousand USD. M.Margarian said that companies
producing wine and food products, as well as volumes of production and
exports of above mentioned products grow year by year in Armenia. In
the Prime Minister’s words, many producers even do not manage to
satisfy the growing orders of their foreign partners.

HRANT KHACHATRIAN DOES NOT GIVE UP HIS INTENTION TO LEAVE POLITICS
Noyan Tapan
Oct 31 2006
YEREVAN, OCTOBER 31, NOYAN TAPAN. “Fourty days have passed since
the day of my resignation and I hoped that something will have been
changed, but these hopes were not justified,” Hrant Khachatrian,
former Chairman of the Constitutional Law Union (CLU), declared to
journalists on October 31, after visiting the party office. In his
words, “the CLU is not any longer the CLU I left.”
H.Khachatrian also said that irrespective of anything, he has not
changed his intention to leave politics, but he has the right to
visit CLU office any time he wants. In response to journalists’
question, is it possible to find verges of conciliation with current
CLU Chairman Hayk Babukhanian, H.Khachatrian said: “I have never
divided the party among my supporters and anothers: I have the same
obligations towards everybody.” H.Babukhanian, in his turn, informed
journalists that there is no need to find verges of conciliation. “I
have not quarrelled with Khachatrian,” CLU current Chairman declared
adding that he himself proposed H.Khachatrian sitting and talking
without “making scandals,” but his proposal was declined. Touching
upon the party’s current state, the latter said that the party has
been replenished with 120 new members since its congress and the
newspaper’s circulation has grown by 1000 copies. Hrant Khachatrian
had visited the party office on October 25 for receiving an answer
to his written commissions to the party current leadership. But they
had remained without an answer. H.Khachatrian’s commissions were the
following: to liquidate the destructions in CLU Chairman’s office
caused by repairs and to give him the party seal.

ARMENIAN AND GEORGIAN FOREIGN MINISTERS DISCUSS WAYS OF LIQUIDATION OF POSSIBLE CONSEQUENCES OF GUAM INITIATIVE AT UN
Noyan Tapan
Nov 01 2006
MOSCOW, NOVEMBER 1, NOYAN TAPAN. The Armenia-Georgia bilateral
relations, reflection of the Russian-Georgian relations on the region
and possibilities of easing the existing tension were discussed on
November 1, in Moscow, at the meeting of Armenian and Georgian Foreign
Ministers Vartan Oskanian and Gela Bezhuashvili. Touching upon the two
countries’ relations with the EU, the Ministers appreciated adoption of
the Actions Plan of the South Caucasian states of the New Neighbourhood
Policy scheduled for November 14 and expressed confidence that it will
give possibility for more deepening of the bilateral cooperation in
the direction of the European integration of Armenia and Georgia.
As Noyan Tapan was informed by the RA Foreign Ministry’s Press and
Information Department, the sides exchanged opinions on peaceful
settlement of conflicts of the region as well, and, within that
context, on possibilities of liquidation of possible consequences
of the GUAM initiatives at the UN. To recap, the heads of the RA
and Georgian Foreign Ministries participate in Moscow in the 15th
meeting of the Foreign Ministers’ Council of the Black Sea Economic
Cooperation organization.

RUSSIAN COMPANY COMSTAR-UTS ACQUIRES 75%+1 OF ARMENIAN COMPANY CALLNET’S SHARES
Noyan Tapan
Oct 31 2006
YEREVAN, OCTOBER 31, NOYAN TAPAN. According to some Russian sources,
the Russian company Comstar-United TeleSystems (UTS), whose main
shareholder is Systema company, acquires 75%+1 of the Armenian company
CallNet’s shares and its 100%-owned company-provider Cornet. CallNet
is one of the four operators in the domestic market that have a
licence for traffic transit. 76% of the Armenian banks are CallNet’s
customers. According to the Regnum news agency, Cornet is the only
provider of Wi-Max services in Armenia, which will allow to use its
successul experience to develop WiMax network of Comstar-UTS in the
territory of Russia. Comstar-UTS attained control over Moscow City
Telephone Network OJSC and MTY-Intel CJSC and currently provides a
set of modern telecommunication services, including phone services,
data transmission, high-speed Internet access and paid television, and
virtual private networks (VPNs). In 2005, Comstar UTS’s consolidated
revenues reached 907.6 million USD, those of the Armenian company –
4.3 million USD. According to the newspaper “Kommersant”, in early
2007 the Armenian government will grant a licence to the third
mobile phone communication operator in Armenia and, as the newspaper
“Haykakan Zhamanak” noted, it is not ruled out that if the Russian
companies do not win the tender for sale of ArmenTel’s shares, they
will win without fail the Armenian government-announced tender for
a third mobile phone communication operator.

RECONSTRUCTION OF 5th POWER UNIT OF HRAZDAN TPP TO BE COMPLETED IN MID 2008
Noyan Tapan
Oct 31 2006
YEREVAN, OCTOBER 31, NOYAN TAPAN. It is envisaged to complete the
reconstruction of the 5th power unit of the Hrazdan Thermal Power
Plant (TPP) and the installation of its 140-mw gas-turbine facility
by mid 2008. Chairman of ArmRusgazprom Board, General Executive
Director of the company Karen Karapetian said during the October 31
press conference that 180 million dollars will be invested for this
work. To recap, Gasprom company (Russia) purchased the 5th power unit
of Hrazdan TPP for 248.8 million USD. According to K. Karapetian,
the Armenian government did not assume any obligations concerning
the repayment of this investment.
From: Emil Lazarian | Ararat NewsPress

RF IS IN SHAMEFUL THIRD PLACE IN ARMENIAN ECONOMY ON LINE OF INVESTMENTS, V.PUTIN DECLARES
Noyan Tapan
Oct 31 2006
MOSCOW, OCTOBER 31, NOYAN TAPAN. RA President Robert Kocharian who
is in RF on a working visit had a tete-a-tete talk with RF President
Vladimir Putin on October 30 in the Kremlin. According to the report
submitted to NT from RA President’s Press Office, V.Putin greeting RA
President’s visit to Russia expressed satisfaction with the fact that
the bilateral relations periodically continue at the highest level
and depth. He touched upon extension of Armenian-Russian economic
cooperation in the recent period emphasizing that only in the eight
months of this year the volume of mutual trade amounted to 278 mln
dollars, which exceeds the index of the same period of the previous
year by 60%.
Nevertheless, he considered as “shameful” fact that Russia takes the
third place in Armenian economy by the volume of investments. “We
are in the shameful third place, as it is strange that Russia does
not take the first place in the economy of its strategic partner on
the line of investments,” RF President said. Meanwhile, he attached
importance to the circumstance that the Russian investments in
Armenia have a tendency of growing. Robert Kocharian, in his turn,
said that all agreements with Gazprom on energy projects start
to be implemented. “So, the investment component will essentially
change next year,” he said. As an excellent example of bilateral
cooperation RA President mentioned launching of ArmenAl that has
been modernized lately and has increased the production volumes
for several times. At the meeting V.Putin also touched upon Year of
Armenia in Russia mentioning that it proceeds very well and is the
natural continuation of Year of Russia in Armenia. RA President also
mentioned that all events scheduled within the framework of Year of
Armenia in Russia have been implemented. He considered it interesting
that proposals of holding joint events were received from RF regions
during the year, which enriched the scheduled program. R.Kocharian
attached importance to further continuation of cooperation in the
humanitarian sphere and preservation of mechanisms already worked out
in this direction. Opinions on international and regional problems were
exchanged at the meeting. They touched upon perfection of cooperation
within the framework of CIS, Collective Security Treaty Organization
(CSTO) and Eurasian Economic Cooperation. RA and RF Presidents also
discussed issues relating to combining the two countries’ efforts
in the direction of rehabilitation of the situation in the region,
revelation of the potential of bilateral cooperation, prevention of
new conflicts, in particular, the unsolved Nagorno Karabakh conflict.

ARMRUSGAZPROM’S DIRECTOR: ARMENIA MAY BECOME A TRANSIT COUNTRY FOR EXPORT OF NATURAL GAS
Noyan Tapan
Oct 31 2006
YEREVAN, OCTOBER 31, NOYAN TAPAN. Armenia may become a transit country
for the export of natural gas, but it is not yet clear when this
may happen.
Chairman of ArmRusgazprom company’s board, General Executive Director
of the company Karen Karapetian expressed this opinion at the October
31 press conference. Speaking about the Iran-Armenia gas pipeline,
K. Karapetian said that no second section of this gas pipeline
exists. The matter just concerns the extension, or increasing the
capacity of the gas transportation system of ArmRusgazprom, which will
allow to transport the Iranian gas from Kajaran to Yerevan – to the
Hrazdan Thermal Power Plant. Initially 300-400 million cubic meters of
gas will be imported annually, while later this amount will increase
to 2.3 billion cubic meters. According to K. Karapetian, ArmRusgazprom
did not submit any written application to the Armenian government
about the operation of the Armenian section of the Iran-Armenia gas
pipeline, this issue was discussed verbally. It was mentioned that
1,753.47 km of gas pipes and 11,474.36 km of distribution networks
are on ArmRusgazprom’s balance.

ARMRUSGAZPROM INVESTS 83 MILLION DOLLARS IN SYSTEM IN PAST 5 YEARS
Noyan Tapan
Oct 31 2006
YEREVAN, OCTOBER 31, NOYAN TAPAN. In the past 5 years, ArmRusgazprom
company has invested 83 million USD in the system. The overall
revenues of the company made 236 mln USD, its profit – 3 mln 750
thousand USD. Karen Karapetian, Chairman of ArmRusgazprom Board,
General Executive Director of the company, said this at the October
31 press conference. Natural gas imports into Armenia increased by
61% in 2006 on 2001, while the use of gas grew by 65%. The number of
commercial users increased by 526% compared with 2001, while the number
of subscribers increased by 336% and made 450 thousand. According to K.
Karapetian, gas supply networks have been installed in 97 communities
and city districts of various marzes. In early 2007, the number
of potential subscribers will make 630 thousand, while the number
of actual subscribers will exceed 450 thousand. K. Karapetian said
that in the indicated period the consumption volume of gas filling
stations has grown by 636%. According to him, the current capacity
of the Abovian underground gas depot makes 110 million cubic meters,
and it is envisaged to increase this capacity to 150 mln cubic meters
in 2009.