Mozambique: HCB invests US$98 million in key Matambo–Songo road – Watch

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Mozambique: HCB invests US$98 million in key Matambo–Songo road – Watch

3:40 CAT | 29 Oct 2025

Screengrab: STV

The investment is part of the logistical reinforcement of HCB’s power plant restructuring project, as it will ensure the “safe and efficient” transport of heavy equipment essential for modernising energy production in the country.

The Cahora Bassa Hydroelectric Power Plant (HCB) in central Mozambique has announced that it will invest $98 million (€84.2 million) in paving 117 kilometres of National Road 301 (N301).

“The road contract stipulates one year of construction and then four years of maintenance, which will be guaranteed by the contractor,” said the HCB’s Director of Procurement and Logistics, Ilídio Tembe, quoted today by the media.

The paving of the N301 cover the stretch of road connecting the town of Matambo, in Sofala province, with the town of Songo, in Tete.

According to Tembel, the action is part of the logistical reinforcement of the HCB’s power plant restructuring project, ensuring the “safe and efficient” transport of heavy equipment essential for modernizing energy production in the country.

“The work was awarded to two national contractors, with the aim of speeding up the execution of activities. Maintenance costs are included in the road construction budget,” Tembe explained.

According to Tembe, the project will also address the impacts of climate change, which have severely damaged access roads, compromising mobility and the socio-economic development of local communities.

“Furthermore, we have a projected lifespan of approximately 20 years. The infrastructure will benefit society without exception,” he added.

HCB is a private limited company, 85% owned by the state-owned Zambezi Electric Company and 7.5% by the Portuguese company Redes Energéticas Nacionais (REN). The company holds 3.5% of its own shares, while the remaining 4% are held by Mozambican citizens, companies, and institutions.

The Cahora Bassa reservoir is the fourth largest in Africa, employing nearly 800 workers, and is one of the largest electricity producers in the southern African region, supplying many neighbouring countries.

According to official figures, HCB has paid €1.588 billion to the Mozambican state since 2007.

Source: Lusa