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Great Lakes (GL) Africa to finance Nacala LNG power plant

Friday, 28 Jan 2022
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Great Lakes (GL) Africa Energy has agreed to finance and operate a 250 MW Nacala liquefied natural gas (LNG) power plant in the Nampula province in northern Mozambique under a concession agreement signed with the Mozambique government.

As per the agreement, the company will set up a 250 MW power plant in three phases. In the first phase, a 50 MW power plant will be set up in the next 16 months at a cost of USD 90 million. The second and third stages will add 200 MW.

GL Energy Moçambique, a special purpose entity and a subsidiary of GL Africa Energy, will construct and operate the plant once it is completed.

The project will be financed 70 percent through loans and 30 percent through equity. On 7 October 2021, the Mozambican Cabinet approved the project’s conditions and the concession agreement, which were then officially signed in November 2021.

The facility will provide power to nearly half a million people and employment to around 300 people.
 
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