ZCCM-IH Backs 600MW Power Project to Strengthen Zambia’s Energy Security and Drive Growth
ZCCM-IH Invests US$54.2 Million in 600MW Power Plant to Boost Zambia’s Energy Security and Support Mining Growth
LUSAKA, Zambia – June 1, 2026 – ZCCM Investments Holdings Plc (ZCCM-IH) has announced a major investment in Zambia’s energy sector through the development of a 600MW thermal power plant in Sinazongwe District, Southern Province, aimed at addressing the country’s power deficit, enhancing energy security, and supporting economic growth.
The project will be developed through a special purpose vehicle, Ever Great Energy Company Limited (Ever Great), a joint venture between ZCCM-IH and Wonderful Group Services Limited (WGS).
Under the agreement, ZCCM-IH will invest US$54.2 million to acquire a 30% equity stake in the company.
Valued at approximately US$451.7 million, the project will be financed through a combination of equity and debt and is expected to play a significant role in reducing Zambia’s estimated 1,400MW baseload power deficit.
It will also help diversify the country’s energy mix and reduce reliance on hydroelectric generation, which has become increasingly vulnerable to drought conditions.
The investment comes as Zambia seeks to expand copper production to three million tonnes per annum, a target that will require a reliable and sustainable energy supply to support mining operations and industrial growth.
Phased Development Strategy
The project will be implemented in two phases. Phase One will involve the construction of a 300MW coal-fired thermal power plant comprising two 150MW generation units utilizing Circulating Fluidized Bed Combustion (CFBC) boiler technology.
The phase will also include supporting infrastructure such as a water treatment facility and transmission lines connecting the plant to the Muzuma Substation in Choma.
Phase Two will see the plant’s capacity expanded to 600MW within five years of the completion of the first phase.
In addition to power generation infrastructure, the development will include the establishment of a coal mine on an 8,150-hectare site in Southern Province to secure fuel supply for the plant.
Engineering, Procurement and Construction (EPC) services will be delivered on a turnkey basis by Ziquan Group (Singapore) Pte Limited, a seasoned energy contractor with experience delivering thermal power projects in Zimbabwe, the Democratic Republic of Congo, and China.
Delivering Value and Energy Security
Commenting on the partnership, ZCCM-IH Chief Executive Officer Kakenenwa Muyangwa described the project as a strategic investment that combines financial returns with national development objectives.
“This joint venture embodies shared prosperity. Wonderful Group brings a proven track record and exceptional capability in capital mobilisation and the execution of complex projects on time.
Crucially for our shareholders, we have established a transparent dividend framework, with predetermined dividends that unlock direct value for ZCCM-IH as soon as commercial operations turn a profit.”
Wonderful Group Chief Executive Officer Huang Yaochi highlighted the broader economic impact of the initiative.
“This joint venture combines ZCCM-IH’s investment strength with Wonderful Group’s industrial expertise.
Our 600MW project goes beyond power generation; it is a catalyst for economic growth, job creation, and industrial stability in Zambia.”
Supporting Zambia’s Development Agenda
The project is expected to contribute significantly to Zambia’s industrialisation agenda by improving power availability for mining, manufacturing, and other productive sectors. It is also anticipated to create employment opportunities during both the construction and operational phases.
The transaction remains subject to approval by the Competition and Consumer Protection Commission (CCPC).
According to the Lusaka Securities Exchange Listing Requirements, the transaction consideration represents approximately 4.24% of ZCCM-IH’s market capitalisation as of 15 May 2026 and is not classified under any transaction category due to its size.
With Zambia’s demand for electricity continuing to rise alongside ambitious economic expansion plans, the Ever Great Energy project marks a significant step toward strengthening the country’s energy resilience while supporting long-term growth in the mining and industrial sectors.
