China Intel Info Sys (IICN)

[Primrose]

It may be all over for the Kyrgyzstan Naryn hydroelectric project. The Kyrgyzstan Government has demonstrated on two continuous occasions that it will unilaterally abandon official contracts at the highest state level. First they unilaterally abandoned RusHydro, then they abandoned Liglass. Who in their right senses will sign a new contract with them? RusHydro will not part with the 50% shares of the dam, they will go to international court. Liglass will also seek international intervention. The dam is stuck in the mud. The mud of Kyrgyzstanian politics. The region has a reputation for bad business practices at the government level and Kyrgyzsthan has just confirmed this putrid environment for international business in Central Asia.