January 29 (SeeNews) - Turkish power plant operator Aksa Enerji [IST:AKSEN] said it will increase the installed capacity of its heavy fuel oil power plant located in Mali, in West Africa, by 20 MW to 50 MW via a new agreement signed with state-owned energy utility Energie du Mali (EDM).
The agreement was signed on January 27 between EDM, Aksa Enerji and its 100% owned subsidiary Aksa Mali, the power plant operator said in a bourse filing on Thursday.
According to the stock exchange filing, this step is part of Aksa Enerji's strategy for strengthening of its position on the African market.
In accordance with the agreement, power generated by 30 MW out of 40 MW installed capacity in the power plant will be purchased by EDM for three years based on a guaranteed euro-denominated price, Aksa Enerji said.
"On top of existing power plant, Aksa Enerji will initiate a power plant with an installed capacity of 20 MW within the second quarter of 2021. Power generated by 20 MW installed capacity will also be purchased by EDM for three years based on a guaranteed euro-denominated price," the bourse filing read.
Aksa Enerji has four power plants in Turkey and Northern Cyprus and three power plants with 476 MW total installed capacity in Africa. The company entered the African market with power plants in Ghana, Madagascar and Mali and established local companies in 2019 to develop projects in Cameroon and the Republic of Congo, according to information published on its website.
Last year, Aksa Enerji said it has inked an agreement with Uzbekistan's energy ministry for the construction of a 240 MW natural gas combined cycle power plant in Tashkent.