Trafigura has withdrawn from a proposed 2,000-megawatt electricity transmission project that would have carried surplus hydropower from Angola to copper and cobalt mines in the Democratic Republic of Congo and Zambia, marking a setback for one of Africa’s biggest cross-border energy plans.

The project was unveiled in July 2024 under a non-binding agreement between Trafigura, engineering company ProMarks and the Angolan government.

It aimed to connect Angola’s excess hydropower with mining regions facing persistent electricity shortages.

The plan was expected to support mining operations in Central Africa, where reliable electricity remains a major challenge for producers of copper and cobalt.

Demand for both minerals has continued to rise as countries expand electric vehicle and battery manufacturing.

Trafigura’s withdrawal comes as governments and investors continue to pursue regional power projects designed to improve electricity access and strengthen energy links across Southern and Central Africa, even as some large infrastructure plans face financing and execution hurdles.

Angola seeks new partners

Two sources familiar with the matter told Reuters that Trafigura has stepped away from the project.

One industry source said the company had abandoned the initiative, while another source within the Angolan government said discussions are continuing with other companies that could join a revised consortium.

Angola’s Ministry of Energy and Water has not commented on the development.

Trafigura, which is also part of the Lobito Corridor railway consortium that transports critical minerals from the DRC to export markets, declined to comment.

Other regional projects move ahead

While Trafigura’s exit leaves uncertainty over the future of the project, other cross-border electricity developments are continuing.

Meridia Energy, a joint venture between Dubai-based Averi Finance and Morocco’s Somagec, is developing two transmission lines linking Angola’s national grid with Kolwezi, the DRC’s largest copper and cobalt mining centre.

The projects include the $450 million Soyo-Inga-Cabinda transmission line with capacity to deliver up to 800 MW and the $1.25 billion Lauca-Kolwezi transmission line, which will carry up to 1,400 MW. Averi expects both projects to begin commercial operations by 2030.

Separately, U.S.-based HYDRO-LINK is advancing a $1.5 billion, 1,200-kilometre interconnector between Angola and the DRC to supply electricity to mining operations in Lualaba and Katanga.

Trafigura profile

Trafigura is one of the world’s largest independent commodity trading companies, with operations across oil, metals and minerals.

The company has expanded its presence in Africa through investments in mining, logistics and transport infrastructure, including its role in the Lobito Corridor, a key export route for copper and cobalt produced in the Democratic Republic of Congo.

The planned Angola transmission project was intended to complement broader efforts to improve regional energy security and support the mining industry.

Although Trafigura has exited the proposal, investment in cross-border electricity infrastructure remains a priority for governments and private developers seeking to unlock Africa’s growing mineral sector.