SHALA ENERGY sh.p.k has signed a Concession Agreement with the Ministry of Economy, Trade and Energy of Republic of Albania for the construction of a hydropower plant cascade on Shala River in the northern part of Albania.Pursuant to the Albanian legislation and the terms of the Concession Agreement, the Company holds all concession rights for 35 years (including Free Enjoyment) on construction and operation of the hydropower plant cascade on Shala River. The scheme of utilization of Shala River preview construction of a hydropower plants cascade with total installation capacity of 127,6 MW and average energy production for about 530,350,000 kWh/year   The investment is expected to be constructed within a period of four years. According to the technical study the value of investments is expected to be 210,929,506 EURO and includes the costs of the civil works, equipment & machineries, transmission lines and other costs. According to the management of the Company, the shareholders will contribute 30% of the value of the investment, whereas the remaining will be supported by a long term loan to be obtained from an international financial institution. It is estimated that the investment will be amortized upon construction and throughout the concession period and the residual value at the end of such period is estimated to be 58,345,702 EURO. The construction of the Shala HPP will be completed in stages as detailed below:• 15% of the construction will be completed in year 1• 30% of the construction will be completed in year 2 and 3, respectively• 25% of the construction will be completed in year 4Source; 3powerenergy