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The Government of the Republic of Serbia

In the service of citizens

Feasibility study of power plant in New Belgrade to be launched

Belgrade, 2 September 2005

Serbian Minister of Energy and Mining Radomir Naumov and representative of the Parsons Energy and Chemicals Group Inc, Djurica Tankosic, signed today a contract on a feasibility study for building a cogeneration plant in New Belgrade, specifically a combined heat and power generation plant (CHP).

The US Trade and Development Agency (USTDA), representing the US government, donated $757,245 to the Serbian government last year for the realisation of this study, at which time representatives of the Serbian Ministry of Energy and Mining and the US government signed a donation agreement.

The feasibility study aims to choose a project with the best technical, economical and institutional profitability, to create a clear structure, schedule and plan for the project’s implementation, do a preliminary assessment of potential influence on the environment, as well as compose a memorandum of information that the ministry can use to represent the project to potential investors, donors and state services.

The signing of the contract was attended by representatives of the US Embassy in Belgrade - Commercial Attaché Maria Andrews and Commercial Assistant Boris Popovski, and on behalf of the City of Belgrade, Belgrade City Manager Bojan Stanojevic and director of the Energy Directorate Jelena Jevtovic-Karamata, as well as representatives of the Serbian power utility “Elektroprivreda Srbije” and utility company “Beogradske Elektrane”, as stated in the ministry’s statement.