https://www.engineeringnews.co.za

Mozambique coal-fired power project advancing

29th June 2018

By: Marleny Arnoldi

Online News Editor

     

Font size: - +

The joint development agreement (JDA) for Aim-listed Ncondezi Energy’s integrated 300 MW power and coal mine project in Tete, Mozambique, is nearing completion.

The company reported this month that its integrated financial model had been accepted by potential partners and company stakeholders for submission to Mozambique energy company Electricidade de Moçambique and the country’s Mineral Resources and Energy Ministry.

This submission was targeted for mid-June to seek in-principle support for a new power tariff envelope thereafter.

The financial model represents a key milestone in confirming the project economics, restarting tariff negotiations and completing the JDA process, says Ncondezi.

“Positive results from the model indicate that project economics can be maintained with a more than 10% reduction in the previously agreed tariff envelope.

A reversed tariff proposal strengthens the commercial negotiating position of the project,” the company states.

The model finds the project could have financial benefits for Mozambique, including between $1.1-billion and $1.4-billion in tax receipts and royalties over the life of the project.

The coal-fired project is expected to start delivering power into the grid in 2022.

Edited by Chanel de Bruyn
Creamer Media Online Managing Editor

Article Enquiry

Email Article

Save Article

Feedback

To advertise email advertising@creamermedia.co.za or click here

Showroom

Hanna Instruments (Pty) Ltd
Hanna Instruments (Pty) Ltd

We supply customers with practical affordable solutions for their testing needs. Our products include benchtop, portable, in-line process control...

VISIT SHOWROOM 
Craig Miller Technical Services (CMTS)
Craig Miller Technical Services (CMTS)

CMTS is a leading, well-established EC&I contractor with 37+ years of mining and industrial experience. We execute full-scope EC&I projects with...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







301

sq:0.05 0.844s - 122pq - 2rq
Subscribe Now