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Exergy, an Africa-focused energy investor, and Mercuria, a global energy and commodities group, have signed a US$250 million financing deal in Lusaka, Zambia.
The deal marks Mercuria’s entry into the region’s power market and is described as one of the largest private capital commitments to Zambia’s power sector.
The deal was signed on 25 September 2026. The money will pay for generation and transmission projects run by two Exergy subsidiaries, Lunzua Power Company and Lusitu Transmission and Distribution Company. Several of these projects are already underway. The financing is subject to regulatory approvals.
Exergy is an energy company focused on Africa. It operates in the electricity sector through three main divisions: Lunzua Power Company, which develops power generation projects; Lusitu Transmission and Distribution Company, which builds the infrastructure for power transmission and distribution; and Kanona Power Company, which trades electricity and manages supply and demand.
The company is active in the Southern African power market and is working on projects like a transmission line connecting Zambia to East Africa. The company aims to maximize value across Africa’s electricity markets with its integrated approach.
Exergy says its pipeline will support Zambia’s target of 10,000 MW of power supply by 2031, a key part of the government’s Grow Zambia agenda. The power is also meant to serve mining, agriculture, manufacturing, tourism and other industries.
Its trading and cross-border plans also support Mission 300, the World Bank and African Development Bank initiative to connect 300 million Africans to electricity by 2030.
Mercuria will assist Exergy with market insights, risk management, and global industry connections. Exergy believes this partnership reflects confidence in Zambia and its potential for financing energy projects in Africa.
They emphasised that Zambia’s energy needs are crucial for their development goals and expressed a commitment to avoiding past energy challenges.
Exergy noted that Mercuria offers valuable expertise beyond just financial support, with a presence in over 50 countries that connects power, metals, and trade.
Mercuria Energy Group is one of the world’s largest independent energy and commodities groups. It was founded in Geneva, Switzerland, and operates across crude oil and refined products, natural gas and LNG, power, renewable energy, metals and carbon markets.
The $250 million will fund generation and transmission projects by Lunzua Power Company and Lusitu Transmission and Distribution Company across Southern and Eastern Africa, subject to regulatory approvals.
