Nordgold Group has confirmed that the 33MW HFO plant it is building to power its Lefa mine in the Kankan region of Guinea will be commissioned by the end of 2021 (AE 414/10). Brian Nel, project manager of the plant, told African Energy that although Covid-19-related restrictions had impacted the start of construction, equipment manufacturing had gone ahead and the construction process had been modified to incorporate restrictions with only minor delays.
Supplying sufficient power to Guinea’s mines has long been a challenge for investors and local communities alike. The $23m HFO plant will replace an existing facility and is expected to reduce fuel consumption by 15% and engine oil by 30%, as well as reducing greenhouse gas emissions by 17,000t/yr. China’s Sumec, part of the China National Machinery Industry Corporation (Sinomach), is the EPC contractor and Hyundai Heavy Industries is supplying the main generating equipment. Financial close was reached in April 2019 and offsite construction began in May 2020, with onsite construction following in December 2020.
Lefa mine began commercial gold production in 2008 and Nordgold acquired the mine in July 2010. In 2018, about 5.3t of gold was produced, making it one of the largest gold mines in Guinea. The plant will generate power for the 15-year lifespan of the mine.
Image: Lefa mine in Guinea. Source: African Energy Live Data
Egypt Power Report 2021
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Investors have good reasons to be wary about the political, economic and sectoral risks associated with major financial commitments in Egypt. African Energy's Egypt report looks beyond standard assessments of government stability to identify where the real risks might lie.
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