SA, Lesotho companies unite in LHDA contract

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SA, Lesotho companies unite in LHDA contract
SA, Lesotho companies unite in LHDA contract

Africa-PressLesotho. According to the Minister of Water Hon. Samonyane Ntsekele Lesotho Highlands Development Authority (LHDA) has awarded the first contract in the startup labor of phase II of the Lesotho Highlands Water Project (LHWP) to a duo of South Africa and Lesotho companies who opted for a joint venture.

The two companies in subject are Lesotho’s Nthane Brothers and Sinohydro SA from South Africa. They have been awarded a contract valued at approximately M235 million, to construct a 16 km tarred road from Mapholaneng to the river where the Poli-hali Dam wall will be built.

The companies according to Ntsekele, have merged efforts to tender for the contract as one. He said, the two companies in accordance to their tender, decided that Nthane Brothers will take up 60 percent while the remaining 40 percent will be for their South African partners.

Ntsekele said the percentage allocation was based on their overall capacity and magnitude of the equipment they possess. Ntsekele highlighted that in line with the tendering strategy geared towards achieving the policy objectives of the Phase II agreement, construction works for advanced infrastructure including roads is restricted to contractors registered in Lesotho or South Africa.

“To foster capacity building and economic growth, the governments have also made provisions in the policy for sharing of the value of all infrastructure works on an equal monetary basis between consultants and contractors registered in Lesotho and South Africa,” said Ntsekele.

He dubbed the awarding of the first contract a success as it is Lesotho and South Africa’s preference to empower their black citizens with job opportunities in the Phase II of the project.

The totality of Phase II of LHWP comprises of the construction of Poli-hali Dam and Transfer Tunnel, Hydropower generation, social and environmental programs.

Their work is expected to take 20 months starting from November this year. The LHWP is a multi-phased multi billion project between the governments of Lesotho and South Africa.

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