SOURCE: Cavico Corporation

March 21, 2007 10:00 ET

Cavico Mining Signs New US $4.7 Million Contract to Construct a Headrace Tunnel at the Nam Chien 2 Hydropower Project

LOS ANGELES, CA and HANOI, VIETNAM -- (MARKET WIRE) -- March 21, 2007 -- Cavico Corporation (PINKSHEETS: CVCP), a Vietnamese company working in the fields of infrastructure development, including the construction of hydropower facilities, dams, bridges, roads, mines and urban buildings throughout Vietnam and the Pacific Rim, announced today that Cavico Mining, a 49.8% owned subsidiary of Cavico Corporation, traded on the Ho Chi Minh Stock Exchange (Vietnam) under the symbol MCV, has signed an agreement to begin work on the Nam Chien 2 hydropower project headrace tunnel. The contract is valued at US $4.7 million (approximately 75 billion VND).

Nam Chien 2, which will have a capacity of 36 MW upon completion, is located in Muong La village, Son La province, about 350 kilometers (217 miles) northwest of Hanoi. Nam Chien 2 is owned by Northwest Joint Stock Company, which invested an estimated US $37.5 million in the project. Cavico Mining is responsible for the construction of a headrace tunnel 2,767.52 meters in length and 4.8 meters in diameter; a 57.20 meter in height surge tank; and, a 97.30 meter incline tunnel.

At the present time Cavico Mining is transporting equipment to the location and work is expected to begin in April 2007, with completion by August 2008. "With our experiences gained from past projects and our engineering expertise, I believe we will complete this project within the agreed upon timeline and quickly move on to other projects as planned," stated Hua Thanh Binh, CEO of Cavico Mining.

About Cavico Corporation

Founded in 2000, Cavico is a major infrastructure construction, infrastructure investment and natural resources conglomerate headquartered in Hanoi, Vietnam. Cavico is highly respected for its core competency in the construction of mission-critical infrastructure including hydroelectric plants, highways, bridges, tunnels and urban community developments. One of the company's primary competitive advantages is its ability to nurture a project "from concept through completion" with a vertical portfolio of interrelated investment, permitting, design, construction management and facility maintenance services. Cavico's project partners include top multi-national corporations and government organizations. The company employs more than 3,000 people. For more information about Cavico, please refer to the company's website at http://www.cavicocorp.com.

A profile for investors can be accessed at http://www.hawkassociates.com/cvcpprofile.aspx.

For investor relations questions, contact Frank Hawkins or Julie Marshall, Hawk Associates, at (305) 451-1888, e-mail: info@hawkassociates.com, or visit http://www.americanmicrocaps.com or http://www.hawkassociates.com. Investors can also contact Mark Moline at (760) 458-4899, e-mail: mark@cinapsys.com. To subscribe to these releases via e-mail alerts, go to http://www.hawkassociates.com/email.aspx.

Safe-Harbor Statement

This press release contains forward-looking information within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), including statements regarding potential sales, the success of the company's business, as well as statements that include the word "believe" or similar expressions. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of Cavico Corporation to differ materially from those implied or expressed by such forward-looking statements. Such factors include, among others, the risk factors included in reports filed with the SEC under the Exchange Act. This press release speaks as of the date first set forth above and Cavico Corporation assumes no responsibility to update the information included herein for events occurring after the date hereof. Actual results could differ materially from those anticipated due to factors such as the lack of capital, timely development of products and services, inability to deliver products and services when promised, inability of potential customers to pay for ordered products and services, and political and economic risks inherent in international trade.

Contact Information

  • Contacts:

    Media and Communications
    Cinapsys, Inc.
    Mark Moline
    (760) 458-4899
    Email Contact

    For Cavico Corporation
    Timothy Pham
    (714) 843-5456
    Email Contact