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New funding to help unlock Zambia's energy potential (Image source: Adobe Stock)

Energy

New investment in Zambia’s energy sector will help fund generation and transmission projects in the country and open up network and trading opportunities across southern and eastern Africa

Bordering eight countries and sitting within the Southern African Power Pool, with growing links to East and Central Africa, Zambia is positioned as a natural hub for regional power trade.

It follows a US$250mn financing deal between Swiss energy and commodities group Mercuria with Africa-focused investor Exergy.

Specifically, the funds will help to finance generation and transmission projects by two Exergy subsidiaries: Lunzua Power Company and Lusitu Transmission and Distribution Company.

• US$250mn investment will boost Zambia’s power infrastructure

• Projects will strengthen regional electricity trade

• Investment supports Zambia’s 10,000 MW power target by 2031

Exergy operates in the power sector through three subsidiaries: Lunzua Power in generation, Lusitu Transmission and Distribution in transmission, and Kanona in trading, balancing surplus and deficit positions.

It trades in the southern African power market and is developing a pipeline of infrastructure projects, including a transmission highway linking Zambia to the East African power market.

“Through its subsidiaries, its pipeline will contribute to Zambia’s target of 10,000 MW of supply by 2031, a central pillar of the Grow Zambia agenda, and to the reliable supply needed by mining, agriculture, manufacturing, tourism, and industry,” an Exergy statement noted.

“Regionally, its trading and cross-border ambitions support Mission 300, the World Bank and African Development Bank initiative to connect 300 million Africans to electricity by 2030.”

The financing agreement, signed in Lusaka and subject to regulatory approvals, marks one of the largest private capital commitments to Zambia’s energy sector, as well as Mercuria’s entry into the region’s power market.

Zambia confidence

According to Exergy, the deal signals confidence in Zambia, in the region, and in the ability of global partners to finance African energy at scale on commercial terms.

The company also added that Mercuria brings more than capital: as one of the world’s largest energy traders, active in over 50 countries, it offers a global view of energy and commodity markets, and of how power, metals and trade connect.

According to Mercuria, Zambia’s stability, growth plan and regional position underpinned its decision to commit long-term capital.

The company “is pleased to play its part in resolving the power infrastructure bottlenecks that have traditionally hindered Africa’s growth,” a Mercuria statement read.

“In doing so, it sought power industry expertise, a disciplined team and an execution-ready project pipeline, and found all three in Exergy—a scalable regional platform it wants to help build.”

Zambia has seen a wave of new investment and projects in renewable energy in recent years, in addition to traditional hydro and thermal capacity (First Quantum diversifies Zambia energy supply).

Private capital

Mercuria added that it sees private capital playing a critical role in developing strategic energy infrastructure, alongside the traditional development finance model.

Both parties credited Zambia’s power sector reforms, including open access in the electricity market, with enabling independent companies to build and grow.

As well as investment in renewables, the country continues to develop traditional energy sources, such as hydro (Anzana Electric nets US20mn for small hydropower) (Globeleq completes Lunsemfwa hydro acquisition).

Telehandlers are among the Wacker Neuson compact machines supplied by newly appointed dealer Welgro in Mpumalanga (Image source: Wacker Neuson)

Construction

Wacker Neuson South Africa has expanded its dealer network and reinforced its presence in Mpumalanga with the appointment of Welgro Engineering and Mining Supplies

“Welgro’s established sales network, fully equipped workshop and service infrastructure, together with its proven track record across the mining, engineering, construction and agricultural sectors, made the partnership the natural choice,” said Eric Berrington, Wacker Neuson’s regional manager for Gauteng, Limpopo, and Mpumalanga.

Welgro Engineering and Mining Supplies is a provider of industrial and construction equipment solutions that has served the region for 40 years.

“The dealership also represents several respected international brands that demand a high standard of technical expertise and aftersales support, giving us further confidence in Welgro’s ability to successfully support customers over the long term,” added Berrington.

He said Welgro’s alignment with Wacker Neuson’s core values, together with recommendations from multiple industry contacts, prompted Wacker Neuson to initiate discussions.

“Welgro Engineering and Mining Supplies has built its business on long-term relationships, practical product knowledge and dependable service, with a steadfast focus on first understanding each customer’s operation before recommending the right solution to support sustainable operations,” said Kyle Handley, managing director at Welgro.

“Because every site and operation faces unique pressures, from production deadlines to safety requirements and downtime challenges, we adopt a hands-on, consultative approach, supporting customers with a wide range of industrial and construction solutions, backed by experienced sales and technical staff and a well-equipped workshop.

”Playing a vital role in the national economy, Mpumalanga is central to Wacker Neuson’s dealer expansion strategy, with the company’s approach anchored around three key hubs – Mbombela, eMalahleni and Secunda – and aligned to the industries driving growth across the province.

Handley outlined key reasons why Welgro was eager to partner with Wacker Neuson, including product quality and reliability, as well as strong reputation in construction, plant hire and infrastructure development.

He said customers want high-performing, dependable equipment that helps optimise their operations, and highlighted Wacker Neuson’s machines as well-engineered, robust and built for tough working environments.

“The machines are practical, intuitive and productivity-driven – qualities that resonate with operators.”

Under the dealership agreement, Welgro will supply Wacker Neuson’s full range of compact machines, including mini excavators, telehandlers and wheel loaders; construction equipment, including pumps and lighting towers; compaction equipment, including rammers and plate compactors; concrete technology, including external vibrators; and other specialised worksite solutions.

The range is positioned to support the diverse requirements of customers across the construction, agricultural, mining and related industries.

“Our immediate focus is on building a strong, reliable offering around Wacker Neuson’s products already in demand locally, expanding the range over time in line with customers’ changing requirements,” said Handley.

“Compact machines and equipment are especially well-suited to the market, with the capability to perform efficiently in confined spaces – a quality that is highly valued across the sectors. We also expect to see strong demand for lighting towers, particularly in mining, where reliable site illumination is critical for safety and productivity.”

He said there are also “compelling growth prospects” for electric and zero-emission equipment.

“We are ready to introduce more of Wacker Neuson’s electric product ranges to support customers with sustainable, efficient, environmentally conscious and forward-looking solutions.” 

ESB adds its first Liebherr LICCON3 crane. (Image source: Liebherr)

Mining

ESB Kranverleih Transport u. Hebetechnik GmbH is continuing to modernise its crane fleet with the addition of a new Liebherr LTM 1055-3.3 equipped with the LICCON3 control system

The 55-tonne mobile crane is the first LICCON3 model in the Biberach-based company's fleet and has been selected to meet the demands of confined construction sites and regional lifting operations.

At the same time, ESB is preparing for its next phase of development with a generational change in its management team. Larissa Maurer, representing the third generation of the family-run business, joined the management team on 1 January 2026.

First LICCON3 crane joins ESB fleet

ESB ordered the three-axle LTM 1055-3.3 at the Bauma trade fair. Its compact dimensions, manoeuvrability and lifting performance made the crane particularly suitable for the company's operating area around Biberach and within a radius of approximately 40 kilometres.

“ In our operating area around Biberach and within a radius of around 40 kilometres, confined construction sites and limited space are daily challenges,” explains Managing Director Karl Engeser Jr. “The three-axle crane is highly manoeuvrable, quick to get to the job site as a ‘taxi crane’ and, thanks to flexible driving modes, offers maximum operational freedom – with or without a permit under Section 29, the road permits required for certain transport configurations in Germany.”

The LTM 1055-3.3 combines a compact three-axle configuration with a boom of approximately 40 metres. This enables the crane to operate effectively on urban construction sites, including applications where access is restricted and lifting operations need to take place around existing structures and obstacles.

Liebherr fleet supports regional lifting operations

The latest acquisition forms part of ESB's ongoing investment in modern lifting equipment. The company currently operates 11 Liebherr mobile cranes with lifting capacities ranging from 35 to 230 tonnes.

“We are regularly investing in our fleet so that we can offer our customers modern, high-performance technology at all times,” says Engeser. “This is the only way we can remain flexible and reliable in meeting a wide variety of requirements.”

ESB also highlighted its relationship with Liebherr and the availability of local service support as factors behind the investment.

“We benefit from the close proximity of Liebherr in Ehingen, the service works well, and we’re seeing a high level of satisfaction with the products in the region.”

The LTM 1055-3.3 entered service at the end of May and has since been used for a range of lifting operations. According to ESB, the new crane has already demonstrated its suitability for narrow access routes and uneven terrain.

“Our new 3-axle crane has been very well received by customers and stands out as a new model with modern design. It has also managed to get through easily so far, even on narrow access routes and uneven terrain,” reports Engeser.

The new 55-tonne crane replaces an older machine as part of ESB's fleet modernisation programme. The company is also planning a further fleet upgrade in the second half of the year, when an existing 130-tonne crane is scheduled to be replaced by a 150-tonne model.

“We will then replace our existing 130-tonne crane with a 150-tonne model and, at the same time, expand our fleet’s capacity range,” says Engesser.

Third generation joins ESB management

Fleet modernisation is being accompanied by a generational transition within the family-owned business. Company founder Karl Engeser Sr. has stepped back from day-to-day operations while continuing to support ESB with his experience and expertise.

Karl Engeser Jr. is responsible for the commercial side of the business, while Larissa Maurer joined the management team on 1 January 2026.

“Carrying on our family-run company into its third generation and helping to shape its future is something I am particularly proud of,” she says happily.

Founded in 1981, ESB Kranverleih Transport u. Hebetechnik GmbH currently employs 11 crane operators in addition to its management team. The company says its lean organisational structure and stable business situation provide a foundation for continued development.

“We have a lean organisational structure and are benefiting from a stable business situation,” reports Larissa Maurer, adding: “We are very satisfied and look to the future with confidence.”

MND launches Casablanca base for African cable transport. (Image source: MND)

Logistics

French industrial group MND, which specialises in ropeway transport, snowmaking systems, mountain safety and leisure infrastructure, has established MND Africa, a new subsidiary headquartered in Casablanca, Morocco

The new company is intended to support and accelerate MND’s development of urban mobility and tourism solutions across Africa and the Indian Ocean. The move forms part of the Group’s international expansion strategy, with more than 70% of its business already generated outside France and projects and references in around 50 countries.

Cable transport responds to urban mobility challenges

Cable transport is gaining relevance as cities look for mobility solutions that can overcome difficult terrain, rivers and other geographical constraints. The technology can also provide an alternative where conventional heavy transport infrastructure, including metro and tramway systems, is difficult to deploy because of land, topographical or urban limitations.

Across Africa and the Indian Ocean, interest in urban cable transport is growing. North Africa already has several urban cable transport systems, while new developments are emerging elsewhere on the continent, including projects supported by major international financial institutions.

"This mode of transport has a clear role to play in the new mobility solutions being developed across the continent. In the future, African cities will also move by cable. We want to contribute to this transformation, with humility and a long-term commitment," said Xavier Gallot-Lavallée, chairman of MND.

Casablanca base to support regional development

MND describes the establishment of MND Africa as a long-term commitment to the region. The Casablanca-based team will focus on developing projects across Africa and the Indian Ocean while maintaining close engagement with customers.

The subsidiary will work with governments, cities and financial partners to develop urban and tourism cable transport projects designed around reliability, sustainability and long-term operation.

Morocco was selected as the base for the new entity because of the maturity of its urban cable transport market and the number of projects being developed in the country. This includes initiatives linked to preparations for the 2030 FIFA World Cup.

MND is also monitoring opportunities in Algeria, Tunisia, Côte d’Ivoire and Senegal, alongside projects in the Indian Ocean, including Madagascar and Mayotte.

ZÈL La Montagne demonstrates MND’s capabilities

MND is also drawing on its current project in La Réunion Island as a reference for its African ambitions. The Group is building ZÈL La Montagne, which is planned to become the world’s first energy self-sufficient urban cable car.

“We are bringing a powerfull demonstration of our expertise with us,” siad Xavier Gallot-Lavallée. “This is the same level of ambition we want to bring to the African continent.”

The project adds to MND’s experience in urban transport infrastructure, including the renovation of the Montmartre funicular in Paris and the cable car in Huy, Belgium.

Mehdi Caillis-Menadjlia to lead regional expansion

MND has appointed Mehdi Caillis-Menadjlia as director of Africa & Indian Ocean Development to lead the subsidiary’s regional growth.

He brings experience of the African and Indian Ocean markets, as well as knowledge of the financing mechanisms used for infrastructure projects of this type. His previous work includes responsibility for MND’s urban cable car project in La Réunion Island.

Africa can still thrive amid global geopolitical upheaval (Image source: Adobe Stock)

Finance

Africa has an opportunity to convert geopolitical tensions and shifting global trade patterns into a catalyst for industrialisation and long-term economic resilience, according to a new Afreximbank report

Leveraging Geopolitics for Trade and Industrialisation in Global Africa examines trade and economic developments across the continent and globally, and outlines strategies for African nations to benefit from supply chain realignments and changing geopolitical dynamics.

“Africa stands at a critical juncture,” said Dr Yemi Kale, group chief economist and managing director of research and trade intelligence at Afreximbank.

“Geopolitical tensions and economic fragmentation are reshaping global trade patterns, but they also present a historic opportunity for the continent. By strategically leveraging these shifts, Africa can build a more resilient, competitive and inclusive economic future.”

Despite a challenging global backdrop, the report highlights Africa’s strong recent economic performance.

While global economic growth slowed to 3.4% in 2025 and is projected to ease further to 3.1% in 2026, Africa’s real GDP growth accelerated from 3.4% in 2024 to 4.5% in 2025, outperforming the global average.

Africa’s merchandise trade also expanded by 6.1% to approximately US$1.5 trillion, while aggregate inflation fell significantly from 21.6% in 2024 to 13.1% in 2025.

According to Afreximbank, these gains reflect improved macroeconomic management, ongoing policy reforms and the role of development finance institutions in supporting economic stability.

However, the report warns that significant structural challenges remain.

Africa’s trade finance gap is estimated at approximately US$74bn in 2025, limiting the continent’s ability to fully capitalise on trade and industrial opportunities.

The situation is compounded by foreign exchange constraints and a continued decline in correspondent banking relationships.

The report also notes that evolving shipping routes and persistent disruptions in global logistics networks are increasing freight costs and extending delivery times, particularly for economies dependent on imported inputs and external markets.

To strengthen resilience, Afreximbank identifies accelerated implementation of the African Continental Free Trade Area (AfCFTA), expansion of the Pan-African Payment and Settlement System (PAPSS) and reforms to the global financial architecture as key priorities.

The report notes that stronger industrial ecosystems, increased intra-African trade and sustained financial support will be critical if the continent is to transform geopolitical disruption into sustainable and inclusive economic growth.

“It is imperative for the continent to act decisively to strengthen regional value chains, deepen industrial capacity, expand access to trade finance, and accelerate continental integration,” said Kale, adding that Africa “cannot afford to delay.”

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Beyond expanding battery production, the gigafactory is expected to generate significant economic benefits for Morocco.

Manufacturing

The African Development Bank (AfDB) Group has approved a €100mn (approx. US$117mn) loan to Gotion Power Morocco to support the construction of an integrated lithium iron phosphate (LFP) battery gigafactory in the Rabat-Salé-Kénitra Free Trade Zone, marking a significant step in the development of Africa's electric vehicle manufacturing ecosystem

In addition to its direct financing, the Bank intends to mobilise up to a further €141mn (approx. US$165mn) from financial partners under the New African Financial Architecture for Development (NAFAD), where it will serve as the Mandated Lead Arranger. The blended financing package is designed to accelerate delivery of one of the continent's largest battery manufacturing investments.

Building Africa's battery manufacturing capacity

The project is being developed by Gotion High-Tech Co. Ltd., a leading global battery producer headquartered in Hefei, China, and listed on the Shenzhen Stock Exchange. Once operational, the facility will become the first fully integrated cathode-to-cell LFP battery manufacturing plant in both Africa and the Middle East and North Africa (MENA) region.

Phase one of the project will deliver an annual production capacity of 10 gigawatt-hours (GWh) of battery cells and battery packs for electric vehicles, with long-term plans to increase output to 100 GWh. The investment is expected to reinforce Morocco's position as an emerging global centre for electric mobility manufacturing and green technology supply chains.

The project also reflects growing investment in battery production as demand for electric vehicles and renewable energy storage continues to expand worldwide. By establishing large-scale local manufacturing capacity, Morocco aims to strengthen regional supply chains while supporting the transition towards cleaner transport and energy systems.

Kevin Kariuki, the Bank group's vice-president for Power, Energy, Climate and Green Growth, said, "Battery storage is the missing link in Africa's clean energy transition. A facility of this scale, powered primarily by renewable energy, strengthens the foundations for the large-scale integration of solar and wind power, which our grids increasingly depend on. This is exactly the kind of project that will deliver reliable, low-carbon energy while creating green industrial jobs and building the resilient value chains Africa needs to sustain its energy transition."

Supporting industrial growth and local value creation

Beyond expanding battery production, the gigafactory is expected to generate significant economic benefits for Morocco. During its initial phase, the development is projected to create more than 600 direct jobs while achieving a 70% local industrial integration rate, supporting skills development and strengthening domestic manufacturing capabilities.

The project is also intended to encourage the growth of local supplier networks and increase value addition within Africa's critical minerals sector, helping retain more economic value from resources that are essential to global energy transition technologies.

Achraf Tarsim, the African Development Bank group's country manager for Morocco, commented, "This gigafactory will be a major catalyst for strengthening Morocco’s industrial competitiveness and for accelerating its emergence as Africa’s manufacturing hub for sustainable mobility industries. It will help foster an African industrial ecosystem for batteries and electric vehicles while promoting the local beneficiation of critical minerals essential to the energy transition."

Advancing Africa's clean energy ambitions

The investment supports the African Development Bank Group's Four Cardinal Points strategic vision by promoting resilient infrastructure, accelerating industrialisation, increasing value addition to Africa's natural resources and strengthening regional integration.

As demand for battery storage continues to rise alongside renewable energy deployment and electric vehicle adoption, projects of this scale are expected to play an increasingly important role in positioning Africa within global clean energy and electric mobility value chains. By expanding domestic battery manufacturing and energy storage capabilities, the initiative is set to support the continent's transition towards a lower-carbon economy while enabling wider deployment of renewable energy technologies.

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