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Anti-Niger Sanctions Forces Chinese Company To Suspend Work on Dam Project

The China Gezhouaba Group Announced on Aug. 10 that it has suspended work of the Kandadji Hydroelectric Dam project in Niger due to sanctions, which has led to the suspension of financing for the project, according to a letter that Reuters claims to have seen.

The project entails 500 billion CFA franc ($808 million) and would have a capacity of 130 MW, enough electricity to avoid importing from Nigeria. It was scheduled to be completed by 2025. The dam is located 187 km northwest from Niamey, and would also help provide irrigation and boost food security.

The financing of the Kandadji Niger Basin Water Resources Program, known as the Kandadji dam project, which includes other programs in addition to the dam, has also been suspended. According to the official statement on the suspension, “given this unforeseeable circumstance, we are regrettably compelled to halt all construction activities for a period of one week. Furthermore, we are left with no alternative but to gradually terminate the contracts of our local workers.”