( dpa ) - Mozambique's Ministry of Energy on Thursday announced an agreement to build an oil refinery with the capacity to produce 350 thousand barrels of oil a day in an investment valued at 8 billion dollars.
The ministry said the Mozambican government had signed a deal with OilMoz company for the construction of the refinery in Maputo province.
The refinery will serve both domestic and regional markets as well as other continents, the ministry said in a press release.
This is the second refinery project in Mozambique. The first planned refinery in northern Nampula province is expected to produce 300 thousand barrels per day.
Construction of that refinery by Ayr Petro-Nacala Logistica started in March and is expected to be finished in 2010 at a total cost of 5 billion dollars.
The two refineries will substantially the southern African country's reliance on imported fuel.