Angolan President João Lourenço has approved a US$12.9 million contract awarded to a Chinese company to improve the electricity supply in the northeastern Angolan town of Dundo, Novo Jornal reports,

The Angolan newspaper says the Ministry of Energy and Water gave China Gezhouba Group Co. Ltd the contract to build a transmission line linking the Luachimo hydroelectric power station to Dundo, and to improve the electricity distribution network in the town.

The report says China Gezhouba is in charge of increasing the capacity of the 61-year-old Luachimo power station to 34 MW from 8MW, and is due to try out the improved facility in the first half of this year.

A Chinese bank provided the US$212 million needed to increase the capacity of the power station, Novo Jornal says.