BLUB Med is to come to Cambodia, under a memorandum of understanding signed with

the Royal Government this week.

The agreement will see the French company Club Mediterranée - known as Club

Med - build a 300-400 room resort on a 13 hectare site at Sokha Beach, Sihanoukville.

The first phase of the project will see 150-200 rooms open for customers by Oct 1997,

according to Minister of Tourism Veng Serevyuth, who signed the deal.

Under the agreement, Club Med will "train and employ Cambodians at all levels

and use local materials and suppliers whereever practical, he said.

It also undertakes to train and employ Cambodians to work in Club Med resorts in

other countries, Veng said.

"We are delighted to have an agreement with Club Med, which has an excellent

international reputation and will bring employment, training and a high standard

to our developing tourism industry," Veng said.

A final deal is to be reached by Dec 30 this year.