- GL Africa Energy to finance and operate a power plant
- The project will add 250MW to the national grid
- Mozambique to export electricity to the SAPP
GL Africa Energy has reached an agreement to finance and operate a 250MW Liquefied Natural Gas (LNG) power plant in Mozambique’s Nacala District. The project is divided into three phases, with the first phase expected to be complete within 16 months and the second and third phases in 24 months. The $400 million project will deliver 50MW in the first phase. GL Africa Energy has undertaken to finance the project through 70% debt and 30% equity.
The Mozambique cabinet approved the plan as part of the country’s gas monetisation strategy and signed off on the approved plan on November 4th. Rovuma Basin will supply the gas needed for operations of the plant. On completion, the plant will export electricity to the neighbouring countries under the South African Power Pool (SAPP)