The government has authorised a local company to mine gold ore on a 18.28 square-kilometre site over a period of 20 years.
An agreement on the project was signed by Deputy Minister of Planning and Investment Mrs Khamchan Vongsenboun and the company. The company will invest about US$46 million in the mining operation and build an international standard factory on the site.
The venture is seen as a contribution to economic growth and will provide revenue for the government while also creating job opportunities for local people. The company has paid US$2 million to the government as an advance fee for the project and provided 24 billion kip for the construction of a 48km road linking Kham district in Xieng Khuang province to Hiem district in Huaphan province.