Latest news with #Sinohydro
Mint
19-05-2025
- Business
- Mint
China fills the US void in the Americas
Chinese dictator Xi Jinping hosted his fourth annual Latin American and Caribbean ministerial meeting in Beijing last week. His message to the more than 30 countries represented was simple: As the U.S. retreats from trade with the Americas, China is ready to step into the void. China has been methodically working toward greater political influence in the region for more than two decades. But Mr. Trump's tariff increases have opened new inroads for the Middle Kingdom. In July I noted that JD Vance's selection as Mr. Trump's running mate raised the odds that a second Trump presidency would 'double down on Biden protectionism." As I pointed out, that would be 'nothing but upside" for Mr. Xi. And here we are. Mr. Xi's Latin gathering was no free-trade bonanza. Rather, China made a point to publicize its preference for Latin suppliers over Americans and its intention to continue influence-buying with loans. Given Chinese corruption, this isn't likely to end well. But in the meantime, U.S. security risks will go up. Brazil is so far the biggest Latin American winner in the Trump trade war. To punish the U.S. for higher tariffs on its imports, China is cutting back on its purchases of U.S. farm exports and buying more from Brazil. During his visit to Beijing, Brazilian President Luiz Inácio Lula da Silva signed more than a dozen bilateral trade deals and discussed more than two dozen potential new ones, according to Infobae, an Argentine news outlet. In exchange for buying more Brazilian exports, China is supposed to gain greater access to the Brazilian market for its cars and machinery. How much is unclear. Domestic Brazilian manufacturers, which have substantial political power, are already complaining about threats to their protected markets. The opening between the two countries may be less than advertised. Still, excitement among politicians like Colombia's President Gustavo Petro, a left-wing former terrorist, around the reported Chinese offer of $9.2 billion in new lines of credit for the region can't be overstated. The unreconstructed Marxist has dollar signs in his eyes. More trade with China doesn't threaten Latin sovereignty, and in the absence of U.S. openness, it might even be a positive. But it won't happen in any significant way without infrastructure upgrades. That's where the danger for the Western Hemisphere appears, as China uses its Belt and Road Initiative to increase poor countries' indebtedness, send thousands of workers to the Americas, and become a player in ports, railways and communications. Ecuador learned the costs of such entanglements the hard way with the Coca Codo Sinclair Dam, a hydroelectric project built by Chinese contractor Sinohydro. Initially financed with a $1.7 billion loan from Beijing and inaugurated in 2016, its final price tag, with delays and cost overruns, was about $3 billion. Design flaws, shoddy construction and alleged corruption have kept it from meeting its promised capacity. The U.S. Army Corps of Engineers has been called in to try to fix the dam while Ecuador has spent a decade selling discounted oil to China to repay the loan. Ecuador borrowed an estimated $14 billion from China during a decade of rule by Rafael Correa, its leftist anti-American president from 2007-17. Servicing that debt has been a burden for the little country and only after much renegotiation has it slowly recovered. Countries with stronger institutions may fare slightly better. The Peruvian deep-water port of Chancay, completed last year, is 60% owned by China's Cosco Shipping. The port is an emblem of China's ambitions in the region. It can handle ultralarge container vessels that can't unload elsewhere on South America's Pacific coast. The modern facility is good for trade. But it also gives China a place to dock military ships. The Chinese agricultural conglomerate Cofco International and China's state-owned port developer are already investing heavily in Brazil, as is China Railway. Both countries, along with Peru, talk of connecting Chancay to Brazil's Atlantic coast by rail, a journey of about 2,700 miles. China is offering to finance the project. Brazil's recent history in building railways isn't encouraging. The first 333-mile phase of a 950-mile rail line crossing the state of Bahia, begun in 2011, was supposed to be completed by 2014. But the project has been repeatedly delayed by financial, legal and logistical problems. In March it was put on hold indefinitely. As Diogo Costa, president of the Foundation for Economic Education in Atlanta and the former head of Brazil's National School of Public Administration, puts it: 'When it comes to building infrastructure, Brazil's problem isn't money. It's execution." That's true for most of Latin America, where transparency and the rule of law are foreign concepts, and piling on Chinese debt will inflict more pain. It isn't too late for the U.S. to push back by re-engaging commercially. Write to O'Grady@
Zawya
14-05-2025
- Business
- Zawya
South Africa: Lesotho Highlands Water Project contractor suspended for polluting rivers
A construction company working on Phase II of the Lesotho Highlands Water Project (LHWP) has been forced to suspend operations because it has been dumping acidic and oily wastewater into nearby rivers and the Katse reservoir. The Katse reservoir provides drinking water to South Africa. After receiving a suspension letter, the company, Kopano Ke Matla Joint Venture, 'indefinitely' sent home 1,400 workers for the M42-billion (M1.00 = R1.00) binational project between Lesotho and South Africa. Kopano Ke Matla is a joint venture between Chinese-owned companies Yellow River Company and Sinohydro Bureau 3 and South African company Unik Civil Engineering. The company is responsible for constructing a M7.68-billion, 38km transfer tunnel connecting the under-construction Polihali Dam to the existing Katse Dam. This will add 2,325-million cubic meters of storage capacity to the water scheme, increasing the amount of water the scheme provides annually from 780-million cubic meters to 1,270-million cubic meters. Chief Masiphole Sekonyela of Tloha-re-buoe village near the under-construction Polihali Dam told GroundUp that the contractor's wastewater discharge has directly impacted his community. Wastewater removed from under-construction tunnels was dumped into the Sekoai River near the village, said Sekonyela. He described the wastewater as oily and 'black like sewage'. 'We now don't know where to take our animals to drink. Women used to do laundry at the Sekoai River, but the water is now contaminated,' Sekonyela said. 'We have seen the contamination ourselves. The company has not even bothered to warn the community that they have a problem with the water,' he added. Mpho Brown, spokesperson for the Lesotho Highlands Development Authority, told GroundUp that the company has until 26 May to rectify the environmental non-compliance issues. Brown said that the suspension is not expected to affect the overall progress on the project. The deadline for Phase II was previously moved from 2027 to 2029. Delays were due to a combination of factors, including protracted negotiations with Lesotho, changes in leadership within the South African Department of Water and Sanitation, and allegations of political interference and potential corruption. An internal memo, seen by GroundUp, from the office of the project director at Kopano Ke Matla states that staff will be laid off indefinitely, 'until the engineer formally lifts the suspension … during this period, the principle of no work, no pay will apply.' In a suspension letter dated 5 May, seen by GroundUp, the supervising engineers cited Kopano Ke Matla's continued non-compliance with wastewater treatment specifications, 'despite multiple correspondences and discussions in this regard, including more recent warnings of pending suspensions.' The letter instructed Kopano Ke Matla to suspend all work associated with the non-compliant wastewater discharge systems. The consultants had inspected the company's five wastewater treatment plants on 5 May and found that the systems remained non-compliant. The suspension letter also reveals that Kopano Ke Matla had addressed only three of the 26 issues flagged as non-compliant. The company had failed to provide its effluent test results and the sulphuric acid dosing pump was malfunctioning, resulting in high pH levels of the treated water and evidence of hydrocarbon (oil) contamination of the treated water. The documents attached to the suspension letter, seen by GroundUp, highlighted other concerns, including: - discharge of untreated construction wastewater into the Ntšupe River, - overflow from the peracetic acid settlement pond - discharge of chemical toilet waste outside the project site, - discharge of untreated tunnel effluent into the Katse Reservoir (a source of drinking water for South Africa), - lack of construction wastewater method statements, - inadequate water quality monitoring equipment, and - failure to maintain sewage and water treatment plants. The letter also accuses Kopano Ke Matla of failing to submit a method statement for managing construction wastewater for review. This document should outline how wastewater generated during construction activities will be managed, treated, and disposed of safely to meet environmental and legal standards. Representatives for Kopano Ke Matla did not respond to GroundUp 's questions by the time of publication. This article was originally published on GroundUp.
Yahoo
21-04-2025
- Business
- Yahoo
Genmin signs MoU with Sinohydro for Baniaka iron ore project in Gabon
African iron ore producer Genmin has signed a binding memorandum of understanding (MoU) with Sinohydro for the development of its wholly-owned Baniaka iron ore project in Gabon. The agreement facilitates the project's advancement through engineering, procurement, and construction (EPC) proposals and funding procurement assistance. The MoU outlines key terms, including the sharing of information to aid in technical and commercial proposals, a period of exclusivity for Sinohydro to prepare and negotiate an EPC contract, and assistance in securing at least $250m in funding for Baniaka's development. The MoU is valid for three years but may be terminated early under specific conditions, such as legal restraints, permit expirations, insolvency, or if Genmin declines the proposal. Genmin CEO Andrew Taplin said: 'We are extremely pleased to have signed a binding memorandum of understanding with Sinohydro, who has a demonstrated track record in Gabon having built the Grand Poubara hydroelectricity power facility near Baniaka, as well as extensive construction experience in power and transport infrastructure. 'Sinohydro provides the opportunity for Genmin to rapidly advance critical path construction activities at Baniaka thereby minimising the timeframe to bring high-grade, green iron ore to market.' The Baniaka project has secured key regulatory approvals, including a 20-year large-scale mining permit and a Certificate of Environmental Conformance, as well as a signed Mining Convention with the Gabonese Government. These approvals enable Genmin to construct and operate what is set to become Gabon's first commercial iron ore mine. Genmin plans to develop Baniaka with an initial production rate of five million tonnes per annum (mtpa), aiming to scale up to at least 10mtpa over time. Commercial production is expected to begin in late 2026, with securing project financing being the next key milestone. The company is currently in discussions with various potential funding partners. Additionally, Genmin holds exploration tenements at its Bitam project in north-west Gabon, near Oyem, which are prospective for polymetallic mineralisation. "Genmin signs MoU with Sinohydro for Baniaka iron ore project in Gabon" was originally created and published by Mining Technology, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
Zawya
29-01-2025
- Business
- Zawya
Egypt to reopen bidding for Ataqa Mountain pumped storage power plant
Egypt is planning to reoffer the Ataqa Mountain pumped storage power plant project in Suez to investors, after Chinese company Sinohydro failed to secure the needed funding for the project, Asharq Business cited an unnamed government official. In 2015, the government signed a framework agreement with Sinohydro to implement a 2,100-megawatt (MW) hydroelectric power plant on the Red Sea with initial investments of $2.3 billion. The official highlighted that the Chinese firm called on the government to participate in securing financing, but the request was declined. Indian, Chinese, and European firms have shown initial interest in implementing the project, according to the official. The official said the project has a surplus of electricity in the grid, amounting to about 15,000 MW, expecting further large capacities of new and renewable energy into the grid during the coming years. Meanwhile, the state has completed studies to establish two projects to produce electricity through hydropower through pumping and storage systems with capacities of up to 2,000 MW. The two projects in Qena and Luxor have combined investments of $2.5 billion. Egypt aims for renewable energy to reach 42% of its electricity generation mix by 2035. © 2020-2023 Arab Finance For Information Technology. All Rights Reserved. Provided by SyndiGate Media Inc. (
Zawya
28-01-2025
- Business
- Zawya
Egypt to reissue tender for 2,100 MW pumped storage hydro plant: Report
Egypt plans to reissue the tender for the pumped storage hydro power plant in Ataka Mount after China's state-backed Sinohydro failed to secure funding for the project, Asharq Business reported, citing an unnamed government official. Cairo signed a framework agreement in 2015 with the Chinese company to implement a 2,100-megawatt (MW) project at the cost of $2.3 billion, the report said. The project was withdrawn from the Chinese firm after it requested government participation in securing financing, which was declined. The project plans remain intact and will be presented to investors following interest from Indian, Chinese and European companies, the report said. In October 2023, Energy China had signed an agreement with Egypt's Electricity and Renewable Energy Ministry to prepare a technical and financial study for a 2,000 MW pumped storage power plant. Read more: Government to implement $4bln hydropower projects with private sector in Egypt (Writing by P Deol; Editing by Anoop Menon) ( Subscribe to our Projects' PULSE newsletter that brings you trustworthy news, updates and insights on project activities, developments, and partnerships across sectors in the Middle East and Africa.
