infrastructure <strong>investor</strong>in the pipelinePaul Runge inspects progress of selected current and upcoming infrastructure projects insub-Saharan Africa, finding oil, mining and power among those at the foreGENERALThe correlation between infrastructure projectsand resource-based programmes remainsmarked. At the Lake Albert Rift Basin oil projectin Uganda, Tullow Oil and Heritage Oil, currentlyengaged in prospecting activities, have alreadyembarked on support infrastructure projects suchas access roads, air strips, clinics and schools.The Belinga iron ore project in Gabon is oneof the most significant of its kind in the world.China has approved a preferential loan to Gabonfor the improvement of the Poubara hydro dam inthe Haute-Ogouee Province, and the additionalpower will be used for the Belinga Project. Thepower stations being constructed by the miningcompany Sherritt International, operating inMadagascar, are another example. They provideproduction capacity of 40MW for the AmbatovyMoramanga nickel and cobalt project, and 5MWfor the Toliara mining operations in the south.POWERAs the subcontinent faces up to its electricitysupply problems, power projects, notably hydropowerinitiatives, continue to dominate. InZambia, the government has launched its US $1billion Itezhi Tezhi hydro plant that will produce750MW. In Burundi, a new 60MW hydro plant willbe constructed on the Kagera River near theTanzanian border, costing about $100m withfunding from the World Bank, the AfricanDevelopment Bank (AfDB), Norway and Sweden.Swaziland faces disruptions in power supply fromSouth Africa and a feasibility study is underwayfor the construction of a 1,000MW power stationat Mpaka. Madagascar’s Andekaleka hydro powerstation has issued tenders for installation of twonew turbines.In evidence of stronger regional cooperation,a major NEPAD-accredited programme is theOrganisation for the Implementation of theGambia River Initiative (OMVG). Guinea has beenable to raise $800m (70%) of the total cost of theprogramme, which will be utilised for theconstruction of the Sambagalou Hydro Dam inSenegal and the Kaleta Hydro Dam in Guinea. Theheads of state of Ivory Coast and Mali haveinaugurated work on the Côte d’Ivoire-Mali H-Ttransmission line. Costing $198m, the work willtake 13 months, with India providing about 50%of the funding.AIRPORTSIn Swaziland, a second international airport atSekhuphe is planned. A 3.5km runway iscomplete and the rest of the project entails theresettling of the populace and the construction ofterminal and maintenance buildings. UK companyVector Management International has beeninvolved in the studies. Work on the extension ofOuagadougou International Airport in BurkinaFaso has been launched, at a cost of about 3.6meuros ($5.7m). It is hoped that the passengercapacity will triple from 300,000 per annum oncompletion in June 2009. Funding is from thestate and the French airport managementcompany ASECNA. The authorities are alsopreparing to construct a new CFA 360bn($867m) international airport at Donsin, 35kmfrom Ouagadougou.ROADSThe South African consulting engineering firm PDNaidoo & Associates (PDNA) is involved in theLugela bridge project in northern Mozambique.Completion of the 270m bridge section of thedual carriageway is expected in April <strong>2008</strong>. TheSwaziland transport authorities will soon beissuing an international tender for a toll roadcontract for the country. The award will be madeto a private entity under a Public-Private-Partnership (PPP) arrangement. The rehabilitationof the Nairobi-Thika autoroute northeast ofNairobi (financed by the African DevelopmentBank) could be seriously delayed because of thecountry’s current political crisis. The project wasdue to commence in January <strong>2008</strong> for a durationof three years, with an estimated cost of 172.5meuros ($273m).PORTSNigeria’s National Ports Agency has signedagreements with Costain West Africa and TreviNigeria for the significant extension of PortHarcourt port. The cost of construction will beabout 34.7m euros ($55m), and the expansionwill benefit companies wishing to export liquefiednatural gas (LNG) to Europe, America and Asia.WATER & SANITATIONAngola has for some time now been the focus forwater and sanitation projects. An affiliate of theIsraeli group Tahal, the company Kardan hassigned a 34m euro ($54m) agreement with thenational water utility for the installation of watertreatment infrastructure. The EuropeanInvestment Bank (EIB) has allocated ZAR 3.2m($395,000) towards a project that will pipe waterfrom the Maguga dam to Goleb in Swaziland. Thewater will irrigate 10,000 to 15,000ha in thedrought-ridden area of the country and theimplementing agency is the Komati Basin WaterAuthority (KOBWA).CONSTRUCTION/COMMERCIAL PROPERTYConstruction of the $4.5bn, Chinese-fundedAl-Morgan commercial complex in Khartoum,Sudan, has begun. Situated on the confluenceof the two Niles, the first phase includesconstruction of offices for petroleumcompanies, banks, telecommunications centresand ten upmarket hotels. The second phasecomprises 1,100 villas and 6,700 high classapartments.The Intercontinental Hotels and ResortsGroup has announced an agreement with LateralHoldings for the development of a new luxuryhotel complex in Mauritius. The IntercontinentalMauritius Resort Balaclava Fort will have 210rooms and 10 suites and will be situated on theseafront 20km north of Port Louis. The Italiangroup Preatoni Investment will be investing$2.2bn in an ecotourism hotel and marina projectin the Tabarka-Ain Draham area of northwestTunisia.Paul Runge is managing director of consultancyfirm Africa Project Access and Head of AfricaBusiness at the research and strategy companyEmerging Markets. For details on his reports andother services, tel: +27 11 465 6770 or email:afric.projs@pixie.co.uk.Lorna/Dreamstime.com82
AFRICA CUP POLO TOURNAMENT25-27 JULY <strong>2008</strong>INANDA CLUB, JOHANNESBURG, SOUTH AFRICARelax and socialize with Africa’s business and government leaders at one of thecontinents leading corporate sporting events at the prestigious Inanda PoloClub, in the heart of Sandton. The Africa Cup attracts players and dignitariesfrom all over Africa and will be broadcast on DSTV Channel SuperSport.For further information contact:Caroline Rose +27 (0) 83 571 7818 caroline@plu.co.zaFor sponsorship opportunities please contact:Melanie Hardiman +27 (0) 11 783 4043 mhardiman@africa-<strong>investor</strong>.comSponsored by:africa<strong>investor</strong>
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