Finnish firm Wartsila has clinched a $181m deal to build Mozambique’s biggest ever gas-fired power plant.

The plant will also be the second largest running exclusively on gas engines to be constructed on the African continent.

As well as building the plant, the turnkey contract includes the construction of a sub-station and a gas pipeline.

The deal has been signed with a joint venture called Central Termica de Ressano Garcia, which is owned by Sasol New Energy from South Africa and Mozambique’s state utility, Electricidade de Moçambique (EDM).

The plant will be powered by a total of 18 of Wartsila’s 34SG engines running on natural gas, with the gas coming from the Pande and Temane gas fields.

The plant is scheduled for completion by May 2014 and the electricity produced will be sold to EDM.

With Wartsila having already built 470 power plants in Africa with a total output of 5000 MW, Vesa Riihimaki, the company’s president of power plants, said Wartsila’s “presence in southern Africa is becoming increasingly significant, and is likely to strengthen further as the use of natural gas fuel continues to be developed”.