Chinese company restores power network in Luanda, Angola

19 October 2006

Beijing, China, 19 Oct – The project for restoring and expanding the power distribution network in Luanda, Angola, is expected to be concluded at the end of the year, the director of Chinese state company China National Machinery and Equipment Import and Export Corporation (CMEC) said Wednesday.

Xiong Zhijun, the company’s director in Angola, said that the project had begun in 2002 and that the third and final stage would be concluded by the end of the year following an overall investment of US$85 million.

With the end of Angola’s civil war in 2002, after 27 years of fighting, Angola is trying to recover its national power distribution network, as in the capital alone, the network was planned for 500,000 residents and now 4 million people live there.

The director of CMEC in Angola told Chinese news agency Xinhua that the first and second stages of the project involved the recuperation and extension of the low and medium voltage network in 192 residential areas.

And added that the third stage, to be concluded by the end of the year, would cover 24 residential areas and install 40 kilometers of high voltage transmission lines.

In June the Chinese government, via the Eximbank, granted Angola an additional credit of US$2 billion, for its national reconstruction and development program.

This was in addition to a loan totaling US$2.4 billion for reconstruction granted to Angola in March 2004.

In the first half of 2006, Angola was China’s biggest oil supplier, as China has tried to diversify its sources of oil in order to move away from regions of greater political instability, such as the Middle East. (macauhub)