New $1.5-billion Phnom Penh airport approved

A new airport for Phnom Penh will be built in Kandal province, a southern part of the capital, according to a government announcement on Friday.

Cambodia Airport Investment Co Ltd, a joint-venture between a local conglomerate OCIC owned by Oknha Pung Kheivse, and the government’s State Secretariat of Civil Aviation, will be responsible for building the 4F class airport, the statement read,.

It added that the total investment would be $1.5 billion, of which $1.1 billion will come from loans from foreign banks, $280 million from the Oversea Cambodia Investment Corporation, a local company, and $120 million in registration capital.

Located in Takhmao town and Kandal Stung district, the airport will cover more than 2,600 hectares of land, the statement read. The OCIC will have 90 percent of the investment and the rest will be from the State Secretariat of Civil Aviation.

The OCIC reached a deal on the financing cooperation framework agreement for the project with the China Development Bank on Thursday at the Peace Palace, where 18 other agreements and memorandums of understanding between Cambodia and China were signed.

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