Shareholders of Mpanda Nkuwa Hydroelectric Dam to secure funding to build the new dam in Mozambique

9 August 2011

Maputo, Mozambique, 9 Aug – The shareholders of the Mpanda Nkuwa Hydroelectric Dam at the end of the year or beginning of 2012 plan to launch a campaign to secure funding of US$2.4 billion to build the future dam, said the company’s chairman, Egídio Leite.

Cited by Mozambican newspaper O País, Leite also said that the shareholders – Electricidade de Moçambique (20 percent), Brazilian group Camargo Corrêa (40 percent) and Mozambican group Insitec (40 percent) – would hold a roadshow as the project still has no secured funding.

The owners of the facility expect that construction of the dam on the Zambezi River, downstream of the Cahora Bassa hydroelectric facility, to begin at the end of this year or beginning of 2012, and the work is due to take a maximum of five years.

The start of construction had been set for the beginning of 2010 and conclusion for 2013 but funding related issues and some related to the buyer of the electricity to be produced delayed the process.

The Mphanda Nkuwa dam is intended to supply surplus power to other countries in the Southern Africa Development Community (SADC). (macauhub)