Magnesium International Ltd, with ABN Amro advising, was granted a development approval for its SAMAG magnesium smelter in 2001. Under that approval, SAMAG is permitted to construct a 400MW gas-fired base load power station.
Current projections indicate there will be insufficient power generation capacity in SA by 2006-07 unless some new capacity is commissioned with power requirements currently rising in the state by more than 60 MW a year.
A spokesman said they would examine the EOIs for a couple of weeks and then move to a final bid stage in September. He said financial close is expected at the end of October.
