CMEC provides $238 million supplier credit for 120MW Imboulou Hydropower Plant Project (Linked to Project ID#1049)

On March 25, 2003, China Machinery Engineering Corporation (CMEC) and the Republic of Congo signed a $238 million supplier's credit agreement for the 120MW Imboulou Hydropower Plant Project. This oil-backed loan reportedly carried the following terms: 20-year maturity, 5-year grace period, and a 0.2% interest rate. In order to finance its supplier credit agreement with the Republic of Congo, CMEC obtained an export seller’s credit from China Eximbank. The export seller’s credit from China Eximbank reportedly covered 85% of the $280 million commercial contract. This project involved the construction of a 120 MW (4x30 MW) Imboulou hydroelectric power plant, which is located on the Léfini River near Ngabé in Ngabe District. CMEC was the contractor responsible for implementation. A formal groundbreaking ceremony took place on September 23, 2003. Construction began in November 2004 and the project reportedly employed 400 Chinese workers, 2,000 Congolese workers, and 20 German workers (from a company called Ingénieur Conseil Fichtner). On January 26, 2009, the project successfully achieved dam closure. Then, on January 27, 2010, the first power generating unit was put into operation. This project was provisionally accepted by the Republic of Congo on November 10, 2010. It was officially inaugurated on May 7, 2011. However, according to the Republic of Congo, it was not completed until May 22, 2012.

Additional details

1. This project is also referred to as the 4x30 MW Imboulou Hydroelectric Power Plant Project. The Chinese project title is 英布鲁水电站 or 刚果（布）4*30MW水电站项目 or 刚果（布）英布鲁120MW水电站项目. The French project title is Aménagement hydroélectrique d'Imboulou or La centrale hydroélectrique d'Imboulou. 2. Project ID#1049 captures a related loan for the Power Transmission Network Associated with the Imboulou Hydropower Plant Project. 3. In the database of Chinese loan commitments that SAIS-CARI released in July 2020, it identifies the maturity length of the CMEC loan that supported the 120MW Imboulou Hydropower Plant Project as 15 years. It does not identify the interest rate or the grace period. AidData records the borrowing terms (20-year maturity, 5-year grace period, and 0.2% interest rate) that were publicly disclosed at the time of the project’s groundbreaking ceremony.

Number of official sources

14

Number of total sources

30