India’s Jindal Power has reportedly secured an offshore loan of approximately US$470 million to support its 700MW coal-fired power plant in Botswana, the Jindal Mmamabula Energy Project. The nine-year financing facility was provided by three Indian lenders: Axis Bank, ICICI Bank and Export-Import Bank of India (Exim Bank). The loan is being syndicated, with international institutional lenders expected to participate. The financing will also support Jindal Power’s expansion in southern Africa, where growing mining and industrial demand is increasing the need for reliable electricity supply.
Jindal coal-fired power plant in Botswana: Project overview
The Jindal Mmamabula Energy Project is being developed by Jindal Energy Botswana, a subsidiary of Jindal Power. It is located in the Mmamabula area of Botswana and is designed to deliver 700MW of net coal-fired generation capacity.
According to the developer, the facility is scheduled for commissioning in December 2026. Once operational, it will supply electricity to Botswana Power Corporation and support regional power exports through the Southern African Power Pool (SAPP).
Project capacity and development scope
The Jindal Mmamabula Energy Project in Botswana is planned in two phases. The first phase will provide 350MW of baseload electricity. The second phase will add another 350MW, bringing the planned generation capacity to 700MW. This phased approach is also intended to strengthen domestic electricity supply. This is while creating additional capacity for regional power trading. Additionally, the power plant also lies within the wider Jindal Mmamabula Coal Mine project that will serve as its fuel source.
Furthermore, Jindal Energy Botswana has outlined longer-term plans to expand the facility’s capacity to 1,200MW. The proposed expansion also includes integrating solar power into the energy mix. However, the additional capacity and renewable energy component remain longer-term development plans.
Financing structure and lenders behind the Jindal coal-fired power project in Botswana
The reported US$470 million loan has a nine-year repayment period. It also carries an interest margin of 300 to 325 basis points above the Secured Overnight Financing Rate (SOFR). According to the sources, borrowing costs could decline after the power plant becomes operational. International institutional lenders are also expected to join the syndication.
The financing also follows Jindal Power’s earlier overseas fundraising activities. The company reportedly raised US$500 million in February 2026 to support its international expansion.
In addition, legal adviser Shardul Amarchand Mangaldas disclosed a separate financing arrangement in March 2026. That disclosure covered senior secured financing of up to US$1 billion for Jindal Energy Botswana, with Phase I financing documents totaling US$507.5 million. However, the relationship between that earlier financing and the new US$470 million facility has not been clarified by involved officials.
Contribution to Botswana’s electricity sector
The Mmamabula project is intended to increase Botswana’s domestic generation capacity and reduce reliance on imported electricity. It will also support power requirements from mining and industrial operations. In addition, the planned connection to regional electricity markets could also enable surplus generation to be exported to neighbouring countries through the Southern African Power Pool.
Furthermore, Botswana has substantial coal resources. The country continues to explore ways to use them for domestic energy and industrial development. Consequently, the Jindal project represents a major investment in thermal power generation. Its progress will be relevant to the country’s electricity security, industrial growth and regional energy trade.
Jindal Mmamabula Energy Project (JMEP) Fact Sheet
Location: Mmamabula, Botswana
Project type: Coal-fired power project
Installed capacity: 700MW
Phase 1: 350MW baseload generation
Phase 2: Additional 350MW
Developer: Jindal Energy Botswana
Parent company: Jindal Power Limited, India
Latest financing: US$470 million
Lenders: Axis Bank, ICICI Bank and Export-Import Bank of India
Loan tenure: 9 years
Offtaker: Botswana Power Corporation
Regional power market: Southern African Power Pool
Commissioning target: December 2026
Current project status: Built; commissioning scheduled
Long-term expansion plan: Up to 1,200MW, including planned solar integration
Principal Companies Involved in the Project
Project developer: Jindal Energy Botswana
Parent company: Jindal Power Limited
Lead financing institution: Axis Bank
Financing institutions: ICICI Bank and Export-Import Bank of India
Power offtaker: Botswana Power Corporation
Legal adviser to Jindal Group: JSA Advocates & Solicitors
Legal adviser to the Axis Bank-led lender consortium: Shardul Amarchand Mangaldas & Co.
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