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Background
Following the strategy of attracting foreign investment for the implementation of large-scale projects, the Mozambican government recently announced two important investment opportunities in the areas of Hydrocarbons and Energy.
2. Sixth Licensing Round for the concession of hydrocarbon research and production areas
On November 25, 2021, the National Petroleum Institute (INP) launched the sixth licensing round for the concession of research and production areas of hydrocarbons, in sixteen new areas distributed in four regions, namely, five located in the Rovuma basin, seven in Angoche, two in the Zambeze Delta and two in Save, which totals more than ninety-two thousand kilometres of area.
This initiative aims to promote and safeguard the systematic evaluation of the national oil potential, with a view to making it available on the national and world markets, as a transitional energy.
This new round takes place three months after the approval of the new strategy for the concession of areas for hydrocarbon research and production, and will last for approximately ten months from the date of its launch until the results are announced in October 2022.
To this end, interested national and international companies are invited to register and submit pre-qualification documents, whose proposals will be evaluated based on a set of standard criteria.
It should be noted that the Government has set a minimum of 25% (twenty-five percent) as the State's participation in the projects that will eventually materialize as a result of this tender.
The tender documentation can be accessed through:
https://mozambique6thround.com/documents-information
3. Tender to select the strategic partner for the Mphanda Nkuwa Hydropower Project
The Government through the Ministry of Mineral Resources and Energy (MIREME), with the support of the Mphanda Nkuwa Hydropower Project Implementation Office (GMNK), launched an international tender for the selection of the strategic partner or investor for the development of the Mphanda Nkuwa Hydropower Project, located on the Zambezi River, downstream of the Cahora Bassa Dam.
The tender will take place in two phases, the first being the selection of the strategic partner, through pre-qualification based on criteria of technical capacity, financial robustness, and international experience in the development of hydroelectric projects, which will culminate with a short list of pre-selected investors by April 2022.
This will be followed by the second phase, where the pre-qualified bidders will receive a set of specifications with detailed information regarding the financial model, the place for submitting these proposals, and technical, financial, and its impact on the financial model for investing in the project. The second phase will culminate with the signing of a development agreement for Mphanda Nkuwa between Electricidade de Moçambique and Hidroeléctrica de Cahora Bassa, representing the public sector, and the strategic partner selected from this process, which is expected to invest between USD 500 (five hundred) and USD 600 (six hundred) million in the venture.
Financial close, valued at USD 3.5 to 4 thousands million, is scheduled for 2024 and will be followed by the kick-off of the dam construction that will take six to seven years.
For more information interested parties may examine and collect the quotation through the following e-mail address:
Upon receipt of the e-mail, the Mphanda Nkuwa Hydropower Project Implementation Office will share the details after the payment of the non-refundable amount of MZN 32,000,00 (thirty-two thousand Meticais), equivalent to USD 500 (five hundred Dollars) according to the applicable exchange rate.
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