The recent meeting with Mr. Tuktarov, Deputy Minister for Economy and Industry of the Republic of Tatarstan, discussed further steps in implementing the Protocol signed in Spring by Managements of NKNK Inc and "Tatenergo" to upgrade a Nizhnekamsk thermoelectric power station.
At that time, the Parties succeeded to agree on the most fundamental issues with three underlying points: signing between "Tatenergo" and NKNK Inc a Frame Agreement on phases and assumed investments to co-upgrade a thermoelectric power station basing on a gas turbine technology as far as the year 2010; formation basing on the Nizhnekamsk thermoelectric power station a legal entity as a closed joint stock company; earnings gained by JSC due to selling electrical power shall be distributed proportionally to shareholders share fractions - NKNK Inc and power personnel - in the Authorized Capital.
The NKNK Inc experts in conjunction with power experts have already commenced to compile the Frame Agreement. It is planned for signing by the end of the year. With the provisions of this document in view, an affiliated branch "Thermoelectroproject" of Nizhny Novgorod will take up to develop a feasibility study for the project which will include a final version of the engineering part of the project, engineering calculations, funds. Next phase - preparation of Detailed Engineering.
Press Service NKNK Inc