(Alliance News) - Ncondezi Energy Ltd said Tuesday it has updated and submitted its project financial model for its 300 megawatts coal fired power project and mine in Tete, Mozambique to the state-owned energy firm Electricidade de Mocambique.
The Africa-focused power developer said the updated financial model includes proposals for engineering, procurement & construction and for operating & maintenance.
The model also contains indicative debt terms from the Industrial & Commercial Bank of China, and tax & accounting assumptions from accounting firm KPMG.
In addition, Ncondezi has received a letter of interest from the China Export & Credit Insurance Corp for providing political and commercial risk insurance for the project.
Looking ahead, the tariff offer submission remains on track for the first quarter of 2020, as does the tariff negotiation finalisation.
"The updated financial model with supporting documentation from leading global players in the power and finance sectors further elevates the project as a leading advanced stage development project in Mozambique, and sends a clear message to government, EDM and potential investors as to the serious intentions of the company and its partners to deliver the project," said Chief Executive Officer Hanno Pengilly.
"The submission of the financial model represents an important step forward in the development process of the Project and follows the achievement of a number of critical milestones over the past two months including the receipt of updated EPC and O&M proposals and indicative debt terms from one of the largest banks in the world," Pengilly added.
Shares in Ncondezi were untraded on Tuesday in London, last quoted at 5.05 pence.
By Dayo Laniyan; dayolaniyan@alliancenews.com
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