Chinese company Shanghai Electric Power (SEP) and African firm Ncondezi Energy have reached a deal to build a thermoelectric power station in Mozambique, Portuguese news agency Lusa reported.
The agreement – signed in the Mozambican capital, Maputo – follows another agreement sealed between the two companies in January, said the media outlet, citing a joint statement from the firms. The two companies have agreed that the majority of the holdings in what was referred to as the Ncondezi thermoelectric power station would be transferred to the Chinese firm. The latter would invest US$25.5 million in the project in Mozambique’s Tête province, Lusa added.
“The Ncondezi Project would bring multiple benefits to the Mozambican people,” said the chairman of SEP, Wang Yundan, as quoted in the statement.
Michael Haworth, president of Ncondezi Energy, said the new power station would start operating in 2020. He added the agreement signed with SEP was “a milestone” in the African company’s history.
