Kaps Dam was partially constructed for irrigation purposes during the 1980s, but not completed. The uncompleted dam is a permanent hazard, as the river diversion using the construction tunnel may not cope with extreme floods with potential serious consequences to the downstream areas, including the outskirts of Gyumri city. The Kaps dam and reservoir are in a highly seismic zone with active faults, with difficult geological and seismic conditions.

The project measures comprise rehabilitation and construction of Kaps Reservoir of 25 million m³ including appurtenant structures (embankment, spillway, diversion tunnel, irrigation tunnel, tunnel for conveyance system). The measures shall allow for the increase of Kaps reservoir at later stage of up to 60 million m³. The main Tasks are
I. Assistance and Coordination in overall Project Steering/Management and Quality Assurance during the entire Project
II. Update of Feasibility Study, Preparation of Detailed Design & Tender Documents (FIDIC Pink Book), Assistance in Tendering
III. Construction Supervision for Phase 1