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Global commodities trader Trafigura has reportedly withdrawn from a major cross-border electricity transmission project intended to export Angola’s surplus hydropower to mining operations in the Democratic Republic of Congo (DRC) and Zambia, although other regional energy infrastructure projects continue to move forward.
LUANDA/CAPE TOWN — Commodities trading giant Trafigura has withdrawn from plans to develop a major electricity transmission line linking Angola with the Democratic Republic of Congo (DRC) and Zambia, according to sources familiar with the project.
The proposed 2,000-megawatt (MW) transmission line was designed to transport surplus hydroelectric power from Angola to energy-intensive copper and cobalt mining operations in the DRC and Zambia, where electricity shortages continue to constrain production.
The initiative formed part of broader regional efforts to strengthen energy connectivity across Southern and Central Africa while supporting the growing global demand for critical minerals used in electric vehicles, renewable energy technologies and battery manufacturing.
Feasibility Studies Halted
Trafigura signed a non-binding agreement with engineering company ProMarks and the Angolan government in July 2024 to undertake feasibility studies for the project.
However, according to industry and government sources who spoke to Reuters, the company has now withdrawn from the initiative.
One industry source said simply that “Trafigura has abandoned the project.”
A second source within the Angolan government confirmed the withdrawal but indicated that discussions on the project remain ongoing, with changes being made to the consortium of companies expected to implement the development.
Neither Angola’s Ministry of Energy and Water nor ProMarks immediately commented on the reported changes.
Trafigura, which is also a member of the Lobito Corridor Railway Consortium responsible for transporting critical minerals from the DRC to international markets, declined to comment on the matter.
Other Regional Projects Continue
Despite Trafigura’s reported exit, other privately funded transmission projects aimed at strengthening regional electricity integration are progressing.
One of the largest is being developed by Meridia Energy, a joint venture between Dubai-based Averi Finance and Moroccan engineering company Somagec.
The project includes two major transmission lines:
- The US$450 million Soyo–Inga–Cabinda transmission line, capable of transmitting up to 800 MW of electricity; and
- The US$1.25 billion Lauca–Kolwezi transmission line, with a planned capacity of up to 1,400 MW.
Together, these projects will:
- Connect Angola’s national electricity grid to Kolwezi, one of the world’s most important copper and cobalt production centres;
- Strengthen electricity supply to Cabinda Province, Angola’s oil-producing region;
- Link the northern Angolan city of Soyo to the DRC; and
- Enhance integration with the Southern African Power Pool (SAPP) while reinforcing the strategic Lobito Corridor.
According to João Alvares, Chief Investment Officer at Averi Finance, commercial operations for both transmission lines are targeted to begin by 2030.
Additional Investment in Regional Power Infrastructure
A separate regional transmission initiative is also advancing under U.S.-based HYDRO-LINK.
The proposed US$1.5 billion project would construct approximately 1,200 kilometres of transmission infrastructure linking Angola with the DRC through five new substations.
The interconnector is expected to supply reliable electricity to the DRC’s Lualaba and Katanga provinces, both of which are globally significant producers of copper and cobalt.
Construction is expected to take approximately two-and-a-half years once implementation begins.
Why It Matters
Reliable electricity remains one of the most significant constraints on mining and industrial development across Southern and Central Africa. Regional transmission projects that connect Angola’s abundant hydropower resources with energy-deficient mining economies have the potential to improve energy security, reduce production costs and support global supply chains for critical minerals essential to the clean energy transition. Although Trafigura’s withdrawal represents a setback for one proposed project, continued investment in alternative transmission infrastructure demonstrates growing momentum towards regional energy integration and cross-border electricity trade.
Source: Reuters
Reporting: Miguel Gomes and Wendell Roelf.
Editing: Bate Felix and Louise Heavens.