Ncondezi Coal is seeking a partner to build a coal-fired power plant in Mozambique in order to provide power to the domestic and regional market, chief executive, Nigel Walls told financial news agency Reuters Thursday.
The plant, which will be located in Tete province, will be built in stages, starting in 2017, and by 2019 is expected to produce 600 megawatts of electricity.
After 2020, the power plant will be expanded to 1,800 megawatts, whish project will depend on construction of the Centre-South (Cesul) power transmission line linking the Cahora Bassa hydroelectric dam to Maputo.
The coal burned at the plant will be provided by a coal mine nearby, where production is expected to begin at the end of 2015.
The mine is initially expected to produce 1 million tons of coal per year, half of which will be consumed at the power plant, and the remaining 2 million tons of coal will be exported.
Walls said that there was a lot of interest in the project, including from some Asian companies and added that a choice would be made and announced in the first quarter of 2013.
The coal-fired power plant has an estimated cost of US$504 million for an installed capacity of 300 megawatts and of US$2.25 billion for 1,800 megawatts. (macauhub)