Cameroon Awards CFA176bn Limbe Gas Power Project to Sunon Asogli and China Energy After Decade-Long Delay

Cameroon Awards CFA176bn Limbe Gas Power Project to Sunon Asogli and China Energy After Decade-Long Delay

Cameroon has officially awarded the long-delayed Limbe combined-cycle gas power project to a consortium of Sunon Asogli Power (Ghana) Ltd and the China Energy Engineering Corporation Ltd, bringing closure to more than ten years of uncertainty and stalled negotiations.

The deal, worth CFA176 billion (approximately $312 million), will deliver a 350-megawatt plant in the country’s southwest. It is expected to play a vital role in strengthening Cameroon’s electricity supply, particularly in industrial regions such as the Southwest, Littoral, and West.

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A Long Journey to Completion

The project was first conceived in 2014, when Cameroon signed an agreement with utility group Eranove, but the deal collapsed without progress. A renewed international tender process launched in 2020 attracted bids from major global energy firms, including ACWA Power (UAE), AKSA Enerji (Turkey), and China Power Construction, but only the Sunon Asogli–China Energy bid met the technical and financial requirements.

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By 2022, the consortium had secured the top score—81.7 out of 100—in the ministry’s evaluation. Their track record, combining Sunon Asogli’s success in Ghana’s gas-fired energy sector with China Energy’s engineering expertise, gave them a decisive edge.

Despite the strong bid, political, financial, and environmental consultations dragged the process out for another three years before the government’s final confirmation in August 2025.

 Financing & Timeline

The Limbe gas project will be executed under a public–private partnership (PPP) structure. The government will provide CFA26 billion (15%), while the private consortium finances the rest. Construction is set to begin before the end of 2025 and conclude by 2029, with gas supply guaranteed by Société Nationale des Hydrocarbures (SNH).

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Why It Matters for Cameroon

With only 2,000 MW of installed power capacity, Cameroon faces frequent shortages that constrain industries and households. The Limbe project’s 350 MW capacity will help move the country closer to its target of 5,000 MW by 2030, easing chronic supply gaps and boosting economic growth.

For Sunon Asogli, the project expands its footprint in West Africa beyond Ghana, while China Energy deepens its role in Africa’s energy infrastructure. For Cameroon, it represents the long-awaited breakthrough in a project that has been on the table for over a decade.

Source: Accra Street Journal

Last Updated on August 27, 2025 by Samuel Kwame Boadu

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