Source: Grayling Communications, Inc.

Cavico Announces Tunnel Breakthrough at the A Luoi Hydropower Project

HANOI, VIETNAM--(Marketwire - August 25, 2010) -  Cavico Corp. (NASDAQ: CAVO), a leading infrastructure development company based in Vietnam, today announced that its subsidiaries Cavico Bridge and Tunnel has broken-through the sub-tunnel at the A Luoi Hydropower project. Cavico excavated approximately 1,950 meters, or 6,400 feet, of tunnel from the sub-tunnel No. 1 to sub-tunnel No. 2.

The A Luoi Hydropower plant, owned by the Central Hydropower Joint Stock Co., is built on the A Sap River, located in the Thua Thien Hue province in Central Vietnam, which is 43 miles west of Hue and 100 miles northwest of Da Nang. The 170 Megawatt-capacity hydropower plant is expected to generate approximately 686 million kilowatt-hour (kWh) annually for the region.

In July 2007, Cavico was awarded a contract to excavate a headrace tunnel at this project that is 12 kilometers long and 5 meters wide. This is considered the longest and most sophisticated tunnel to be constructed in Vietnam. In addition to the headrace tunnel, Cavico was also contracted to excavate four sub-tunnels, a surge tank, a vertical shaft, and a service access road. The total expected revenue value from the A Luoi project is $53 million.

"We are pleased with our progress at the A Luoi Hydropower project," commented Mr. Hai Thanh Tran, vice president of Cavico Corp. "The sophistication of this tunnel requires the highest and most efficient level of technical knowledge, in which Cavico's talented team possess and has done a tremendous job delivering superior work to our customer. We continue to focus our efforts on completing this project in the safest and most timely manner."

About Cavico Corp.
Cavico Corp. is focused on large infrastructure projects, which include the construction of hydropower facilities, dams, bridges, tunnels, roads, mines and urban buildings. Cavico is also making investments in hydropower facilities, cement production plants and urban developments in Vietnam. The company employs more than 3,000 employees on projects worldwide, with offices throughout Vietnam and a satellite office in Australia.

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, ports 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 full-time, part-time, and seasonal workers. For more information, visit http://www.cavicocorp.com. Information on the Company's Web site or any other Web site does not constitute a portion of this release.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
This press release contains "forward-looking statements" within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this announcement are forward-looking statements, including but not limited to, the Company's ability to obtain the necessary financing to continue and expand operations, to market its construction services in new markets and to offer construction services at competitive pricing, the Company's ability to complete projects in the time frame specified; anticipated revenue from the projects to attract and retain management, and to integrate and maintain technical information and management information systems; the effects of currency policies and fluctuations, general economic conditions and other factors detailed from time to time in the Company's filings with the United States Securities and Exchange Commission and other regulatory authorities. These statements include, without limitation, statements regarding our ability to prepare the Company for growth; the Company's planned expansions, and predictions and guidance relating to the Company's future financial performance. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Contact Information:

Cavico Corp.
Timothy Pham
Vice President and Director
+1-714-843-5456
cavicohq@cavico.us

Grayling
+1-646-284-9400

Investor Relations
Truc Nguyen (ext. 418)
Managing Director
truc.nguyen@grayling.com
or
Christopher Chu (ext. 426)
Director
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Media Relations
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