Mozambique’s 450 MW Temane Project to Start Production in 2025

The 450 MW Temane Power Plant in Mozambique will begin commercial operations in Q1 2025. Developed through a partnership between independent power producer Globeleq, global chemicals and energy firm Sasol and Mozambique’s state-owned utility Electricidade de Moçambique (EDM), the project is set to boost the country’s electricity generation capacity by 14%.

Utilizing gas from the Pande and Temane fields – situated onshore Mozambique – the project will supply low-cost power to EDM for a period of 25 years. The project also involves the construction of a 563-km high-voltage transmission line, connecting the country’s southern grid to the northern grids and enabling the distribution of gas-fired power nationwide.

The $652.3-million project is financed by an assortment of lenders, including development finance institutions the International Finance Corporation; the US Development Finance Corporation ($191.5 million); and the OPEC Fund for International Development ($50 million).

Finance institutions Emerging Africa Infrastructure Fund and FMO provided a joint $253.5-million loan, while international finance institution the Multilateral Investment Guarantee Agency provided up to $251.3 million in political risk insurance to private equity investors.