By Kim Yoo-chul
Hyosung Group said Monday it had signed a contract with the government of Mozambique to sell energy-saving technology.
The firm hopes the deal will provide more business opportunities in Africa. A strategic partnership with Hyosung will also help Mozambique acquire management know-how in the energy sector, the firm said.
Under the contract, the Mozambique government will pay Hyosung 93 billion won ($85 million) to use the latter’s patented solar-cell and power generation technology.
“The Fundo do Energia of Mozambique, a state-run firm, has asked us to build a 1.3-megawatt solar plant worth 35 billion won,” the firm said.
“We also agreed with the Electricidade de Mozambique, another state firm, to provide power cables and power generators. The deal is worth 58 billion won.”
The Export-Import Bank of Korea will help finance the projects.
Since a vast amount of natural gas was discovered in the African country, its energy market has been booming.
More energy, of course, means that more Mozambicans will have access to electricity, and manufacturing businesses there will need a stable power supply, the firm said.
With the huge demand for power in Africa, international firms and investors are keen to fund power infrastructure projects there.
“That’s why Hyosung is being aggressive in the region,’’ said a company spokesman.
The firm said it will complete the construction of the solar plant, which it claims will be Africa’s biggest solar facility, by the end of 2014.
“We definitely believe our know-how and resources will impress customers in Mozambique and help local industries grow,” the spokesman said.