Brazilian engineering and construction firm Camargo Correia is to invest 3 billion dollars in a new dam in southern Africa's Zambezi Valley, Radio Mozambique reported Monday.
Brazil's Ambassador to Mozambique Antonio Sousa e Silva announced the project, saying construction of the Mpanda Nkua dam south of the Cahora Bassa dam would start in 12 months, the report said.
Mozambican President Armando Guebuza last week said Brazil was interested in building the dam in Mozambique's Tete province, where companies from the South American country were already investing extensively in coal mining ventures, the dpa reported.
Cahora Bassa Dam system, built by Mozambique's then Portuguese colonial rulers in the 1970s, is the largest source of hydroelectric energy in the southern African region.