China concludes railroad feasibility study for Cambodia

[XINHUA]

PHNOM PENH, July 19 -- Chinese Railway Ministry's Third Railway Survey and Design Institute has concluded the feasibility study for the construction of Cambodia's railroad stretch from Kampong Speu province to Kratie province, said a press release from the Ministry of Finance on Tuesday.

The statement said that the institute has begun the study from July 2009 under the second phase technical assistance of three million U.S. dollars funded by China.

"The result shows that the railroad stretch is 257 kilometers in length from Batding area in Udong district of Kampong Speu province to Angsnuol district of Kratie province bordering Vietnam, " it said.

According to the study, the total estimated cost for the construction of this railroad stretch is about 686 million U.S. dollars, not including the settlement compensations for residents affected by the project.

It could be taken 30 months to complete.

"The project will provide huge economic benefits to Cambodia, especially on the development of agriculture and mineral resources, " it said.

"It is part of the Singapore-Kunming railroad project, so it will be a key railroad for Cambodia to truck goods to regional and global markets, especially in the framework of ASEAN-China Free Trade Area."

The statement said the study result will be submitted to Prime Minister Hun Sen to make decision.