Authorities in central Laos' Khammuan province have awarded a concession to a local company to search for and mine barite ore on a four-hectare site in Bualapha district.

The company will be allowed to carry out explorations and processing of the mineral for five years and will be able to renew the agreement, with project progress to be reviewed in conjunction with provincial authorities every five years, Lao national radio reported on Friday.

The company is the sole investor in the project and will sink 1.5 million U.S. dollars into the venture.

The concession agreement was inked on Monday by representatives of the provincial Investment Management and Promotion Department and the investing company.

Numerous Lao and foreign companies have invested in various development projects in Khammuan province, some 250 km southeast of the Lao capital Vientiane.

Lao government will continue to create a more open and inclusive investment and business environment, encourage more foreign-funded enterprises to invest in Laos, and support them to grow and thrive and bolster the economic development of Laos.

Investment promotion policies are boosting the confidence of foreign-funded enterprises. The government encourages foreign investment in mining, industry, agriculture, tourism, and transportation.