Australian Firm to Build Thermal Power Plant in Mozambique

An Australian firm, Riversdale Mining, on Friday said it would start building a 2000 megawatt coal-fired power plant in Mozambique’s northern Tete province in early 2009 and production will start in 2010.

Its country director in Mozambique Syd Parkhouse told APA in an interview that an initial investment capital is US$1 billion to be sourced out from foreign banks and international finance institutions for production of 500 megawatts mainly for exports to South Africa, Zimbabwe, Malawi and Zambia.

“We are currently carrying out a feasibility study to be concluded in December and construction of the plant will begin in the first quarter of 2009.

“Initially we will be investing US$1 billion in the first two years to produce 500 megawatts, and then expand our investments to US$2 billion by 2015 when we will be producing 2,000 MW mainly for exports to neighboring countries which are currently facing power shortages”, he said.

He said Riversdale will also sell electricity to other countries in the Southern African Development Community (SADC) where demand is higher than supplies, such as Botswana and Namibia.

“Energy shortages is a problem in the region, therefore our investment plans are looking at how best to overcome the problem,” he said.

Source African Press Agency

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