The Industrial and Commercial Bank of China will provide a loan of US$837 million for the construction of a combined cycle power plant in Soyo, Angola, an amount equivalent to 85% of the cost, according to a government document.
The document quoted by Portuguese news agency Lusa said the agreement between the government of Angola and the Chinese bank had been signed in the first half of 2016, two years after the work began.
The contract, awarded to Chinese companies, is valued at US$985 million, with the power plant due to start producing electricity for the public grid, from natural gas, in the first quarter of 2017.
With an installed production capacity of 750MW, the project also involves the construction of a power line to the capital over a distance of more than 400 kilometres, with 1,500 pylons.
The first generator in this power plant is due to start being tested in early 2017 and the remaining three generators will be tested throughout the year, and it is estimated that the connection between Soyo and Luanda will be completed by May.
The contract for the project was signed by the Ministry of Energy and Water and the China Machinery Engineering Corporation (CMEC) in 2014. (macauhub)