ZCCM-IH Backs 600MW Power Project to Strengthen Zambia's Energy Security

ZCCM Investments Holdings Plc (ZCCM-IH) has agreed terms to develop a 600MW thermal power plant in Sinazongwe District, Southern Province, in a move designed to ease Zambia's persistent energy shortfall and reduce reliance on drought-affected hydroelectric supply.

The project will be held within a special purpose vehicle, Ever Great Energy Company Limited, developed alongside Wonderful Group Services Limited. ZCCM-IH will invest US$54.2 million for a 30% equity interest in a total project valued at approximately US$451.7 million, funded through a mix of equity and debt.

The plant aims to help close Zambia's baseload deficit of around 1,400MW while supporting the energy needs of ZCCM-IH's mining portfolio as the country advances toward its target of 3 million tonnes of copper production a year. Development will proceed in two phases, beginning with a 300MW coal-fired facility using Circulating Fluidized Bed Combustion technology, before capacity is doubled within five years.

Chief Executive Officer Kakenenwa Muyangwa said the joint venture embodied shared prosperity, highlighting a transparent dividend framework that unlocks direct value for shareholders once commercial operations turn a profit. Wonderful Group CEO Huang Yaochi described the project as a catalyst for economic growth, job creation, and industrial stability.

The development includes a coal mine on an 8,150-hectare site, with construction delivered on a turnkey basis by Ziquan Group. The transaction is conditional upon approval by the Competition and Consumer Protection Commission.