Company

The Project will be owned by Central Termica de Temane, S.A. which is owned 85 percent by Mozambique Power Invest (“MPI”) and 15 percent by Sasol Africa Proprietary Limited (“Sasol Africa Limited”). MPI is owned 60.8 percent by Globeleq Africa Holdings Limited (“Globeleq”), 15.2 percent by EleQtra Limited (“EleQtra”) and 24 percent by EDM.

Sponsors

Globeleq is a power generation developer, owner and operator focused on emerging markets. Globeleq is owned 70 percent by CDC Group, the UK state development finance institution, and 30 percent by Norfund, the Norwegian investment fund for developing countries. It operates 13 power plants in Africa with a total capacity of over 1.4GW. EDM is the integrated public power utility in Mozambique. Sasol Africa Limited is a subsidiary of Sasol Ltd. an integrated chemicals and energy company employing more than 30,000 people working in 33 countries. EleQtra is an infrastructure developer and sponsor which has been involved in the development, financing, construction, operation of over 10GW across all technologies including gas-fired, hydro, wind and solar power.

The total Project costs are currently estimated at approximately USD 624 million. The proposed IFC investment includes an IFC A Loan for up to USD 100 million and will be mobilizing USD 291 million of debt (including B-loans, US DFC and OFID loans).

In addition, the Project would also be supported by financing from the IDA19 IFC-MIGA Private Sector Window (PSW).

The project is located in northern Inhambane Province, Mozambique, approximately 30 km southwest of the town of Inhassoro, 20 km inland from the coast.

N/A                                                   

This is a Category A project according to IFC’s Policy on Environmental and Social Sustainability in consideration of potentially significant and diverse environmental and social risks related to the project construction and operations.

Key environmental and social considerations relate to i) ensuring the contractors comply with the environmental and social management system and associated obligations and plans for construction including aspects related to occupational health and safety; ii) contractor compliance with Performance Standard 2: Labor and Working Conditions; iii) air emissions, iv) liquid effluent discharges, v) community health safety and security, including emergency response for all project components; vi) community health and safety impacts, vii) operations are in accordance with good international industry practice (‘GIIP’), viii) biodiversity, ix) 10 barge deliveries over a 7-10 month period during construction, x) population influx and xi) limited involuntary resettlement. The CTT plant will be located within the long established oil field area, adjacent to Sasol’s central processing facilities and the impacts and risks of the plant during normal operations are unlikely to pose significant risk to the surrounding environment or communities.

Globeleq’s management systems and supporting procedures refer to and have been developed to align with the Performance Standards, World Bank Group (‘WBG’) general EHS guidelines and applicable WBG industry sector guidelines.