This is a best prospect industry sector for this country. Includes a market overview and trade data.
Last Published: 11/1/2016

Overview                                                                   

 In 2014, the governments of Lesotho and South Africa launched Phase II of the multi-billion-dollar Lesotho Highlands Water Project (LHWP). Initiated in 1986, the project is designed to capture, store, and transfer water from the Orange River system and send it to South Africa's Free State and Gauteng provinces. Another component of the project is electricity generation for Lesotho: Muela power station was constructed in Phase I, and supplies Lesotho with 72 megawatts of electricity.
 
Phase II, estimated to cost 15 billion maloti ($1.4 billion), will include construction of 165 meter high concrete-faced rock-fill dam at Polihali, a 40km tunnel connecting Polihali reservoir to the Katse reservoir, a pump storage hydropower plant, transmission lines, access roads to the Project sites, camps, and administration centers. Preparations for the implementation of Phase II of the LHWP involved a number of baseline studies and the appointment of CDM International as the Project Management Unit. According to the project schedule, major tenders for the engineering designs and construction works will awarded between 2014 and 2017.    

Construction/Engineering Sub-Sector Best Prospects   

  • Engineering and design
  • Construction contracts
  • Consultants
  • Concrete
  • Conveyor systems/lifts
  • Cement
  • Environmental impact studies 

Opportunities   

There will be tenders for dam, tunnel and infrastructure design consultants, as well as studies on the environmental impact. The project is also envisaged to require a large number of engineers; this is an opportunity for U.S. engineering companies to tap into the Lesotho market. Preference will be given to Lesotho, South Africa, and SADC contractors. However, there are opportunities for U.S. companies to form joint ventures with local and regional companies. There will also be opportunities to supply building and construction materials and equipment required for the construction of the dam and the hydropower plant.
 
For more information on the project and upcoming tenders please visit:
ttp://www.lhwp.org.ls  
http://www.tcta.co.za/tenders.aspx
 
Web Resources                                                                             
 
Lesotho Highlands Water Project: http://www.lhwp.org.ls/
Lesotho Highlands Development Authority: http://www.lhda.org.ls/tenders/default.htm
Trans-Caledon Tunnel Authority (TCTA): http://www.tcta.co.za
 

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