issue: 291 | 10 February 2019

Africa

Fund for Export Development in Africa set up to provide seed capital to SMEs
The operationalisation of the newly-created Fund for Export Development in Africa (FEDA) has moved into high gear with the holding of the pre-incorporation meeting of the Board of Directors in Cairo. FEDA, a wholly-owned development-oriented subsidiary of the African Export-Import Bank (Afreximbank), has been set up to implement the Bank’s Equity Investment Programme by providing seed capital to companies in Afreximbank’s key focus sectors, including agri-business; manufacturing; consumer and retail; financial services; technology; travel and tourism; transport and logistics; and industrial parks. It will invest across all market segments but will have its greatest focus on small and medium-sized enterprises.

Source: Africa Business Communities

Angola

Millennium Bank signs EUR30-million financing agreement with Germany’s Commerzbank
Millennium Bank has signed a protocol to open a financing line with Commerzbank, Germany, for a total of EUR30-million. This line of financing, which will allow the Atlantic to strengthen its capacity to finance projects that boost the development of the economy, will also have guarantees from export credit agencies (ECAs) such as Germany's Euler Hermes. The legal instrument was signed by the Chairman of the Executive Committee (PCE) of the Banco Millennium Atlântico, Daniel Santos, and by Commerzbank's Financial Administrator, Éder Sousa. The main objective of the memorandum is to evaluate the support of Atlântico to the investment projects of its clients, whose purpose is to contribute to the diversification of the Angolan economy.

Source: Africa Business Communities

Cameroon/Equatorial Guinea

Cameroon – Equatorial Guinea plan bridge to link Campo and Bata
After the recent opening of a bridge linking The Gambia and Senegal, two other African countries have started plans to do the same. Over in Central Africa, Equatorial Guinea and Cameroon have agreed on a deal in principle to build a bridge over the Ntem River which separates the two countries. It will link Campo in Cameroon to Equatorial Guinea’s largest commercial city, Bata. Campo is a town on the Atlantic Ocean coast of southern Cameroon, where it is the main border town for travel to Equatorial Guinea. The construction of the bridge is said to be started this year and will be overseen by the Economic Community of Central African States, ECCAS. The contractor and the cost of the project has yet to be disclosed.

Source: Africa News

Equatorial Guinea

Equatorial Guinea opens up for foreign investment

The Government of Equatorial Guinea opens this year betting for success on its first Mining Licensing Round “EG Ronda 2019 Mining Round.” This was announced by the minister of Mines and Hydrocarbons of Equatorial Guinea, Gabriel Obiang Lima, during the “Investing in African Mining”, Indaba event, in Cape Town, South Africa. “We want to welcome all investors from the mining industry to join us in developing our mineral resources for the benefit of our country and our international partners, in an environment of clear and stable legislation, fantastic incentives for the companies and extraordinary untapped potential of our benevolent geology,” says H.E Gabriel Obiang Lima.

Source: Mining Review Africa

Ethiopia

CW to deploy world-class connectivity infrastructure in Ethiopia
Cambridge Wireless (CW), is collaborating with Regional State Government, Bahir Dar University and local delivery partners to deploy world-class connectivity infrastructure in a rapidly growing city in Ethiopia. CW is offering its members and wider network the opportunity to take part in a pioneering programme that explores the potential, opportunities and challenges of green field urban internet connectivity and applications deployment in Ethiopia. Interested parties have the chance to be part of the roadmap planning process for deploying the latest telecommunications infrastructure in a blossoming city, Bahir Dar, that is on the edge of Lake Tana at the source of the Blue Nile.

Source: Africa Business Communities

Ghana/Liberia

Mariott International set to launch hotels in Morocco, Ghana and Liberia
International hospitality company Marriott International has announced three new deal signings across North and West Africa, reinforcing the company’s commitment to expanding its presence across the continent. The new deal signings highlight the company’s growth in Morocco and Ghana while marking its debut in Liberia. “New and established markets across North and West Africa continue to present us with immense opportunities to further enhance and diversify our portfolio in the continent,” said Jerome Briet, Chief Development Officer, Middle East & Africa at Marriott International.

Source: Africa Business Communities

Kenya

Private equity firms get watchdog’s nod to purchase Prime Bank stake
The Competition Authority of Kenya (CAK) has approved the acquisition of a minority stake in Prime Bank by private equity firms AfricInvest and Catalyst Principal Partners. The CAK, in a gazette notice, gave the go-ahead for the transaction indicating it would not negatively affect the competition. Private equity firms AfricInvest and Catalyst Principal Partners early this year acquired a minority stake in Prime Bank through injection of Sh5.1-billion capital. The two PE funds became top shareholders of the bank. The cash injection, which earned them a 24.2% stake, valued Prime Bank at about Sh21.1-billion. Prime Capital is listed as the bank’s second-biggest shareholder with a 14.36% stake while Jamson Ltd, Crason Ltd, Nason Ltd, Prime Trustees and Capital Nominees hold 8.02% equity each.

Source: Business Daily

Kenya

Telkom Kenya and Airtel announce merger plans

Telkom Kenya Limited and Airtel Networks Kenya Limited, have announced the signing of a binding agreement that will see the shareholders of the two companies enter into an agreement to merge their respective mobile, enterprise and carrier services businesses in Kenya to operate under a joint venture company to be named Airtel-Telkom. Telkom Kenya Limited’s real estate portfolio and specific government services will not form part of the combined entity. The final shareholding will be determined at the closing of the transaction. Telkom Kenya has the option of holding up to 49% of that shareholding.

Source: Africa Business Communities

Kenya

KenGen to add 10MW at its Ngong wind farm

Kenya Electricity Generating Company (KenGen) will increase power output from its Ngong wind farm by 10MW through the construction of additional turbines. KenGen generates 25MW of wind power from the farm commissioned in 2008. “The proponent (KenGen is proposing to construct a 10MW Ngong Phase Three A wind project at Ngong Hills in Kajiado West sub-county,” says an environmental impact assessment study report KenGen filed with the National Environment Management Authority (Nema) for the project. The Ngong wind farm sits on about 80-hectare piece of land, which the company has leased from the Kenya Forest Service.

Source: Business Daily

Kenya

UAE eyes Kenya’s maritime sector
Dubai is set to acquire the freight forwarding business and assets of a Kenyan logistics firm in a move that cements the country’s foray into the local shipping sector. The United Arab Emirates (UAE), through its newly incorporated local entity ISS Global Forwarding Limited, is acquiring the freight forwarding division of Dodwell & Co. (East Africa) Limited. The deal, which has been approved by the regulator, Competition Authority of Kenya (CAK), could see the UAE government step up competition in the local logistics sector dominated by players including Danish conglomerate Maersk and French firm Bolloré. The Authority, through a notice, said it had issued the partners a greenlight to proceed with the deal since it had met the threshold for exclusion under the Mergers Threshold Guidelines.

Source: Business Daily

Malawi

Mkango hikes Songwe Hill mineral estimates
Canadian mining firm, Mkango Resources Limited reported a 60% jump in mineral resource at its Songwe Hill Rare Earths Mine in Phalombe District. Mkango Resource Chief Executive Officer, William Dawes, said the revelation provides a solid platform for completion of a revised mine plan to be incorporated into the company’s feasibility study. Dawes said, based on the larger Measured and Indicated Resource, the feasibility study will evaluate opportunities to include more tonnes into the mine plan, expand operations, extend the mine life, reduce the strip ratio and reduce mining cost. The mineralisation update follows last year’s drill programme and brings total minerals estimate to 21million tonnes.

Source: Malawi Times

Mauritius/Mozambique

Mauritius and Mozambique sign MoUs to enhance engagement in Africa
Mauritius and Mozambique have renewed their strong commitment to deepening the existing bilateral and economic ties to further enhance engagement in Africa through the signing of three Memoranda of Understanding (MOUs). The three MOUs pertained to the environment in view of enhancing cooperation regarding environmental protection and conservation of natural resources; tourism- to enable cooperation in promoting both countries as attractive tourism destinations in addition to technical assistance in the field of tourism marketing as well as facilitating the flow of investment in areas of tourism development; and between the Economic Development Board and its counterpart in Mozambique for establishing practical framework for cooperation with regards trade and investment, trade promotion and strengthen institutional relations and capacity building through mutual cooperation. A MoU between the State Trading Corporation and its counterpart is also being worked out with regards the supply of Liquefied Natural Gas. 

Source: Government of Mauritius

Mozambique

Natural gas network expanded in Inhambane
Mozambique’s publicly owned National Hydrocarbon Company (ENH) has completed the latest phase of the expansion of the natural gas network in the southern province of Inhambane. According to a press release from ENH, the work that began in October has connected 260 new residential properties, taking the total number of homes linked to the gas network to 1,793. Most of the supply is in the districts of Vilankulo, Inhassoro, and Govuro. This fourth phase of the expansion cost USD340,000 which was funded through ENH’s affiliate Mozambican Hydrocarbon Company (CMH). The gas for both projects comes from the Pande and Temane fields in Inhambane, which are operated by the South African petro-chemical giant, Sasol.

Source: Club of Mozambique

Mozambique

Anadarko announces further LNG sales agreements

The Texas-based Anadarko Petroleum Corporation announced that Mozambique LNG1 Company Pte Ltd has signed agreements with Tokyo Gas, Centrica and Shell for the long-term supply of LNG (Liquefied Natural Gas) from the northern Mozambican province of Cabo Delgado. Mozambique LNG1 is owned by Anadarko and its partners in the consortium which is developing the infrastructure to extract and process natural gas from Offshore Area One in the Rovuma Basin. Under the agreement, Tokyo Gas and Centrica will purchase 2.6 million tonnes of LNG per annum from the beginning of production until the early 2040s. Anadarko also announced a binding agreement with Shell for the purchase of two million tonnes of LNG per annum for 13 years.

Source: Club of Mozambique

Mozambique

Mozambique’s first solar power plant: Work in Mocuba starts in May

Mozambique’s first solar power plant has secured financing. Construction is expected to start in May, with the facility operational by early 2019, government sources have told Lusa. “It will be the country’s first large-scale solar plant, and represents an important step in Mozambique’s ambition to increase the renewable sources share of its electricity production,” the developer said. The large solar panel array will cover a 126-hectare site in Mocuba, central Zambezia province, and is the result of a partnership between Scatec Solar (52.5%), the Norwegian state investment fund Norfund (22.5%) and Mozambique Electricity (EDM) (25%).

Source: Club of Mozambique

Mozambique

Floating power station in Nacala to be upgraded

Mozambique’s publicly-owned electricity company Electricidade de Moçambique (EDM) and its partner Karpowership have announced that they are planning to upgrade the floating power station docked in Nacala port in the northern province of Nampula. According to EDM, the purpose of the upgrade is to improve air quality and fuel efficiency. Currently, the ship Irem Sultan burns heavy oil to produce 48 megawatts of electricity for EDM, and an addendum has now been made to the Environmental Impact Assessment to reflect the planned changes. A public meeting was recently held in Nampula’s provincial capital Nacala to consult the public over these proposed alterations.

Source: Club of Mozambique

Niger

Mining company explores hybrid solar power solutions

GoviEx Uranium has signed a Memorandum of Understanding (MoU) with Canadian energy developer Windiga Energy to jointly evaluate the feasibility of powering the company’s flagship Madaouela project using hybrid solar power solutions in Niger. Initial discussions and collaboration between the two companies will target energy solutions with the intent to reduce carbon dioxide emissions by more than 20,000 tonnes per annum and provide sustainable, renewable power at approximately 25% lower cost than traditional coal-fired options currently available in the country. Coal-fired power costs are currently forecast at approximately 4% of the total life of mine operating costs.

Source: ESI Africa

Nigeria

Nigeria, Norway to strengthen trade ties

Plans have been concluded by Nigeria and Norway to strengthen the existing ties between them in the area of Trade relation. Minister of Foreign Affairs, Mr Geoffrey Onyeama, made the disclosure when he played host to Norwegian State Secretary for International Development Mr. Jens Frolich Holte and his team. Onyeama explained that the consideration to further strengthen trade ties between both countries became imperative in order to help to tackle issues that surrounds economic trade in Nigeria. He said though Nigeria had experienced and survived economic recession, it is key for the nation to effectively manage resources through mutual cooperation.

Source: All Africa

Nigeria

ECOWAS, AfDB sign funding agreement for the USD22.7-million Abidjan-Lagos highway corridor

The Commission of the Economic Community of West African States (ECOWAS) and the African Development Bank (AfDB) have signed the USD22.7-million grant retrocession agreement for the 6-lane Abidjan-Lagos Corridor Development Project in Abuja, Nigeria. Alongside the agreement, contracts were also signed to cover three lots for the feasibility, socio-economic, as well as environmental impact assessment and detailed engineering design studies for the highway project which is meant among others, to facilitate greater trade, enhance economic integration and boost co-prosperity of the region. The corridor is approximately 1,080 km long. It connects some of the largest and most economically dynamic cities in Africa, (Abidjan, Accra, Cotonou, Lomé and Lagos) while covering a large proportion of West Africa’s population.

Source: Africa Business Communities

Nigeria

Globacom to roll out its Glo2 fibre optic infrastructure in 2019

Nigerian telecommunications Globacom has announced that the company will be rolling out its Glo2 fibre optic infrastructure in 2019 from Lagos to Niger Delta states. Glo2 fibre will provide high-speed broadband services to oil companies as well as link up the cable to the northern states. Globacom’s deputy chief operating officer, Technical, Bisi Koleoso, said that the company was committed to ensuring that Nigerians were not left behind in the march to a digitalised world. “We have invested massively in new technologies to introduce these products which we believe will redefine business, social and personal pursuits”,  he said.

Source: Africa Business Communities

Rwanda

Rwanda signs USD400-million deal to produce methane gas from 'Killer Lake'

Rwanda said it had signed a USD400-million deal to produce bottled gas from Lake Kivu, which emits such dense clouds of methane it is known as one of Africa’s “Killer Lakes”. The project by Gasmeth Energy, owned by US and Nigerian businessmen and Rwandans, would suck gas from the lake’s deep floor and bottle it for use as fuel. This should, in turn, help prevent toxic gas bubbling to the surface. Rwanda already has two companies that extract gas from Lake Kivu to power electricity plants. Gasmeth Energy said it would finance, build and maintain a gas extraction, processing and compression plant to sell methane domestically and abroad.

Source: Business Daily

Rwanda

Rwanda set to get first smartphone factory

A factory to produce smartphones is expected to open in Rwanda and enhance access to digital services, officials have said. The plan was unveiled by the ministry’s officials while appearing before the parliamentary Standing Committee on Education, Technology, Culture and Youth to explain issues related to ICT observed across the country. Paula Ingabire, the Minister for ICT and Innovation, said negotiations with Mara Corporation, a Pan-African technology company, to establish the plant are ongoing and that by April this year it could have started activities in the country although she did not reveal enough details about it. Rwanda Utilities Regulatory Authority recently reported that internet penetration in the country had reached 47.7% by September 2018.

Source: The New Times

Tanzania

Construction of Modern Mbezi Bus Terminal in Tanzania kicks off

Tanzania is set to kick off construction work of the long-awaited new modern upcountry bus terminal at Mbezi Luis outskirt of Dar es Salaam at a cost of USD22-million. Dar es Salaam City Council Director, Sipora Liana confirmed the official commencement of the project and said Hignan Construction Company, the Chinese firm contracted, have already fenced the site with iron sheets and started clearing the site as well as erect signboards and set the equipment ready for next stage of construction. The terminal which will be carried out in two phases will serve 700 buses on a daily basis. Upcountry buses currently using the Ubongo Bus Terminal (UBT) will also be relocated to the new terminal.

Source: Construction Review

Zambia

Zambia to enforce copper import tax-mining minister
Zambia is determined to enforce a new 5% copper import duty, as part of a plan to keep a greater share of mineral resource profits for the country and tackle its debt, Mining Minister Richard Musukwa said. Musukwa was speaking on the sidelines of the Indaba mining conference in Cape Town, where government ministers and mining executives are debating how to attract investment and how to strike the right balance between resource-holding governments and foreign companies. The new taxes, which also include a royalty on copper production that increases as commodity prices rise, were “well-thought-out and logically calculated with the inputs of stakeholders, even the mining companies”, he said.

Source: Africa News


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