MEDIA-Russia wins first large contract in post-sanctions Iran - Kommersant

Aug 1 (Reuters) -

* Tekhnopromexport, part of Russia’s state industrial conglomerate Rostec, has become the first Russian company to win a large, firm contract with Iran after the end of Western sanctions on the Islamic Republic, the business daily Kommersant writes;

* The company will build a thermal power plant with a capacity of 1.4 gigawatts (1.4 billion watts) in the port city of Bandar Abbas in about five years;

* The project is estimated at 1 billion euros ($1.12 billion)and will be financed through a Russian export loan;

* Kommersant cites analysts as saying that Tekhnopromexport will find it hard to earn on this project and call it a largely political one;

* The contract with Iran envisages the construction of four energy blocks - each with a capacity of 350 megawatts - and a seawater desalination plant with a capacity of 200,000 cubic metres of water per day;

* The 1 billion euro loan to be provided by Russia will cover 85 percent of the project’s cost, Iran is to add the remaining 15 percent;

* Despite growing political ties between Moscow and Tehran, economic cooperation between the two nations faces snags on a number of fronts, including project financing;

* Iran insists that Russia issue loans to fund joint projects which include Russian contractors. -- Source link: -- Note: Reuters has not verified this story and does not vouch for its accuracy. ($1 = 0.8957 euros) (Reporting by Moscow newsroom)