Mota Engil to construct port and power stations in Malawi

Malawi government has signed a memorandum of understanding with Portugal’s largest builder Mota Engil for the construction of a port in Nsanje and two hydroelectric power stations. Mota said in a statement on May 26 that the projects would be public-private partnerships but gave no financial details. The statement said the memorandum covered the potential to construct the port and power stations and to operate the facilities. The memorandum also included its potential involvement in future mining exploration in Malawi, Nyasa Times reported.

According to the Memorandum of Understanding, Malawi intends to sign a Concession Contract for the design, construction, operation and maintenance of the port of Nsanje. Additionally, the memorandum adds the interest of Group Mota- Engil to participate in future concessions related to the mining industry in partnership with entities with recognised experience in the sector.

Malawi's Muluzi to defy rally ban

Malawi's former leader Bakili Muluzi has told the BBC he will continue to campaign for next year's presidential elections despite efforts to stop him.

Mr Muluzi was released on bail on Friday, five days after his arrest for allegedly plotting to overthrow the current government.

He said he was prevented from attending a rally on Sunday by armed police who surrounded his house.

Police fired tear gas to break up a crowd of his supporters.

His supporters threw stones at riot police at the rally in a slum area near the commercial capital Blantyre.

"I can't just be locked up in this house," he told the BBC.

"I'm a presidential candidate for the 2009 elections and I have to go around and campaign."

"It is important for me to address the people of Malawi and I will do that," he added.

Mr Mutharika fell out with his predecessor after becoming president

Mr Muluzi was president from 1994 to 2004 and wants to stand in next year's election against President Bingu wa Mutharika.

Earlier this month, President Mutharika accused his predecessor of being behind a plot to remove him from office by 16 May.

In April, Mr Muluzi won a contest to be named the presidential candidate of the United Democratic Front (UDF) in next year's polls.

It is not clear if he would be eligible to stand, as the constitution bans a president from more than two consecutive terms.

President Mutharika was elected as the UDF candidate in 2004 but soon afterwards fell out with Mr Muluzi and formed his own party.

He said his former political associates were opposed to his anti-corruption drive.

Mozambique: Reconstruction of railroad between Nacala and Malawi to cost US$18 million

Maputo, Mozambique, 2 June – Management company Corredor de Desenvolvimento de Nacala (CDN) requires funding of US$18 million to re-build a stretch of railroad between Cuamba and Entre Lagos, which is part of the railway linking Mozambique to Malawi.

According to Manuel Macopa, director of the railroad, contacted by macauhub, reconstruction of that 77 kilometre section would help to move goods traffic from Nacala to Malawi.

"At the moment we are not able to meet demand,” Macopa said noting that CDN was looking for solutions.

At peak times, between June and December, each months 32,000 tonnes of cargo is transported.

One of the solutions found is to rebuild a section just 7 kilometres long, which would cost CDN US$500,000.

Corredor de Desenvolvimento de Nacala has managed the Nacala railroad system since January 2005. (macauhub)