Exergy and Mercuria Seal $250 Million Financing Deal to Accelerate Power Infrastructure Across Southern and Eastern Africa

LUSAKA, Zambia — Africa-focused integrated energy investor Exergy and global energy and commodities group Mercuria have signed a $250 million financing agreement. The transaction represents one of the largest private capital commitments to Zambia’s power sector and marks Mercuria’s official entry into the region's power market.

Subject to regulatory approvals, the capital will finance key generation and transmission projects spearheaded by two Exergy subsidiaries: Lunzua Power Company and Lusitu Transmission and Distribution Company. Several of these infrastructure projects are already underway.

Scaling Generation and Cross-Border Transmission

Exergy operates across the entire power value chain through its specialized subsidiaries, including Kanona Power Company for trading and market balancing. The newly funded pipeline directly supports Zambia's ambitious target of achieving 10,000 MW of power supply by 2031 under the national Grow Zambia agenda, providing reliable electricity to critical industries such as mining, agriculture, manufacturing, and tourism.

Regionally, the partnership bolsters cross-border transmission initiatives, including a transmission highway linking Zambia to the East African power market, aligning with Mission 300, the joint World Bank and African Development Bank effort to connect 300 million Africans to electricity by 2030.

"This deal signals confidence in Zambia, in the region, and in the ability of global partners to finance African energy at scale on commercial terms," noted Exergy leadership. "Mercuria brings more than capital: as one of the world's largest energy traders, active in over 50 countries, it offers a global view of energy and commodity markets."

Leveraging Private Capital and Market Reforms

Both parties credited Zambia's progressive power sector reforms, specifically the introduction of open access in the electricity market, with enabling independent companies to scale infrastructure development.

Beyond deploying long-term capital, Mercuria will provide advanced trading risk management, market analytics, and international relationship networks to back Exergy's operational platform.

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