- TotalEnergies, EDF, and Sumitomo seal deals for the $5 billion Mphanda Nkuwa project in Mozambique.
- The plan includes a 1500 MW power station and a 1300km transmission line, aiming to power over 3 million homes.
A consortium comprising TotalEnergies, Électricité de France (EDF), and Sumitomo Corporation has signed crucial agreements with Mozambican authorities. This is to initiate the $5 billion Mphanda Nkuwa hydroelectric project. The consortium signed two significant agreements. The first agreement, a framework deal with Mozambique’s Ministry of Energy and Natural Resources (MIREME) and Electricidade de Moçambique (EDM), paves the way for an upcoming concession contract.
The second agreement involves collaborative development among GMNK, EDM, and HCB for the Mphanda Nkuwa hydroelectric project. The ownership shares include EDF (40%), TotalEnergies (30%), and Sumitomo (30%), with the remaining 30% split between EDM and HCB. TotalEnergies emphasised the need for additional studies to ensure the project’s environmental, social, technical, and financial viability.
The Zambezi River’s proposed 1,500 MW dam, downstream from Cahora Bassa, aims to power over 3 million homes. They also plan to include a 1,300 km line to Maputo. The project is backed by a $5 billion investment from the African Development Bank (AFDB) and the International Finance Corporation (IFC). In addition, it received $500 million from the European Investment Bank (EIB) in June 2023.