A senior government official said a new Siem Reap International Airport (NSRIA) being developed with $1 billion of investment by two Korean companies is still on track.

NSRIA is wholly owned by two Korean companies, Camco Airport Co and Lees A&A, which held 50 per cent each in late 2010.

The Cambodian government approved the building of an international-standard airport that will be able to handle 10 to 15 million passengers a year.

Tek Reth Samrach, chairman of the steering committee of NSRIA, said the companies recently submitted the initial study letter to him on any update about the project.

“The representative of the company met [with] us last week to inform us about their slow work and issues they face, but they have already been ironed out. Now they’ve prepared a new financial arrangement on the project,” he said.

“Of course, we do agree that their work is a bit slow since they signed [the agreement] with us on the investment in 2010. Now, in 2013, why is nothing happening? But if we take a look at the capital investment, [which] is huge, I think they need some time.”

The Post reported in March that NSRIA chief executive Lee Tae-hwan was sentenced to seven years in prison for involvement with fraudulent loans at Busan Savings Bank.

The development areas of the new airport are located in two districts about 60 kilometres from the provincial town. Tek Rethsamrach said the company has already invested $200 million buying land.

The Post reported previously that the company planned a ground-breaking ceremony in May last year but nothing has happened yet.

 

To contact the reporter on this story: May Kunmakara at [email protected]