The Government of Mozambique has signed a Memorandum of Understanding with Great Lakes Africa Energy (GLAE) to generate electric power using natural gas for domestic use at an estimated value of USD 400M.
The agreement signed recently in Maputo, Mozambique with GLAE, a United Kingdom registered Pan African energy solutions provider, will involve the construction of a 250 megawatt gas fried electricity generation power plant.
As part of the agreement, GLAE will develop, finance, build, own and operate the power plant to be fed with natural gas supplies from Mozambique’s Rovuma Basin.
Mozambique, which has vast offshore gas resources, has decided to use some portion of the extracted gas for domestic power projects, with an aim of achieving a sustainable economic growth, including domestic energy production.
The power plant in Northern Mozambique is a key regional infrastructure project. It will accelerate the development and industrialization of several other industrial projects, which have been shelved due to the lack of a steady power supply. At 250MW, GLAE’s Northern Mozambique gas fired power plant will be one of the largest conventional sources of electricity in the country.
