Construction of Attapeu International Airport began last week with officials hoping the airport will facilitate trade, investment and tourism in the province and boost its economy.
Lao President Choummaly Sayasone and Vietnamese President Truong Tan Sang attend the airport ground-breaking ceremony in Attapeu province last week, along with other high-ranking government officials from both nations.
The airport will be built at a cost of about US$45 million by the Vietnamese company, Hoang Anh Gia Lai Group. The Lao government will repay the company upon completion of the project.
The government will refund the construction cost by waiving the equivalent amount in various taxes and concession fees, according to the Attapeu provincial Department of Public Works and Transport.
The department said the airport will be handed over to the government for management following its completion.
The airport is located in Hadxan village in Xaysettha district, about 26km from the provincial capital.
Situated on an area of over 235 hectares, the airport is expected to be completed in June 2013 and will officially open for use in that year.
The project is divided into two phases. The first phase will run from 2012 to 2014 with a construction cost of US$45 million.
This phase will see the runway built to a length of 1,850m and a width of 30m, which will accommodate aircraft of between 70 and 100 seats.
The second phase, from 2015 to 2020, will enlarge the runway to a length of 3,000m and a width of 45m. It will then be able to accommodate aircraft with 150 to 250 seats.
Lao President Choummaly Sayasone and visiting Vietnamese President Truong Tan Sang attended the ground-breaking ceremony in Attapeu province last week, along with other high-ranking government officials from both nations.
Attapeu province Governor Dr Khamphanh Phommathat told media recently the new airport will enable more cooperation between Attapeu and other parts of Laos, as well as with foreign countries.
He believed the airport would help to attract businesses and tourists to the province, boosting the local economy.
The Hoang Anh Gia Lai Group has been given the green light from the Lao government to build two airports in Laos, in Attapeu and Huaphan provinces.
Hoang Anh Gia Lai currently plays an important role in economic development in Attapeu province.
The company has asked the government to approve a land concession of 40,000 hectares, but so far approval has been given for just 25,000 hectares. Of the total, 10,000 hectares is used to grow sugarcane and the rest is used to grow rubber.
Laos and Vietnam are celebrating Laos-Vietnam Solidarity and Friendship Year 2012 to mark the 50th anniversary of the two countries' diplomatic ties and the 35th anniversary of the signing of the Laos-Vietnam Friendship and Cooperation Treaty.
In addition, the two countries have agreed to beef up cooperation in all fields, ranging from politics, external relations, defence and security to economics, trade, investment, culture and education.
The two countries are also aiming to raise their two-way trade value to US$2 billion by 2015.
