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Congo feasibility study

SNC-Lavalin (SNC) of Canada has prepared a pre-feasibility study to establish a hydroelectric facility at Magnesium Alloy Corporation’s (MAC’s) Kouilou hydroelectric site on Republic of Congo’s Kouilou river. This facility will meet the electricity needs of MAC’s proposed magnesium facility. A study of the mine by Salzgitter Anlagenbau (SAB) of Germany, combined with SNC’s study of the hydro power supply, indicate that the Kouilou project could become the world’s lowest-cost producer of magnesium and magnesium alloys. SNC-Lavalin says that the project will produce power at US$0.016/kWh, with the potential to lower the rate to US$0.010/kWh. In addition to the project’s needs of 120MW, the development could help meet the energy demands of the local petroleum industry. MAC could also develop another 50MW to sell to the local grid.