Mozambique's second-largest aluminum smelter, Mozal, may cease operations in March 2026 if operator South32 cannot secure a new electricity supply agreement. The current negotiations with power supplier Eskom are at a standstill over a proposed new tariff.

The potential closure threatens the jobs of 2,500 employees and contractors. The smelter is a major contributor to Mozambique's economy, with aluminum exports valued at US$1.1 billion last year. South32 has already taken a US$372 million write-down in anticipation of the shutdown.

The closure could, however, free up 950 megawatts of power, which Mozambique’s state-owned power company might trade regionally.