The project, which is scheduled for completion in 2015, will connect all the districts in North-Western Province including Lukulu in Western Province, Zambia Daily Mail reports.

Under the two-year engineering, procurement and construction contract, Eltel Networks will construct a new network of around 190km long 132kV transmission lines from Lumwana Mine substation to Mwinilunga, while the other lines from Lumwana Mine to Mufumbwe, Kabompo, Mumbeji and Zambezi will be constructed with a total length of around 518km.

The contract also includes the construction of a 93km long 132kV transmission lines from Mumbeji to Lukulu and 80km long 132kV lines from Zambezi to Chavuma.

Zambia deputy minister of mines, energy and water development Charles Zulu said, "Eltel was selected as the best evaluated bidder following an open international competitive bidding process carried out through public tender."

Zulu said that the corporation is planning to build new 132/33kV bulk supply substations in Mwinilunga, Mufumbwe, Kabompo, Mumbeji, Zambezi, Chavuma and Lukulu districts.

The new overhead transmission lines will be connected to the existing Lumwana 330/132/33kV substations.

"It is expected that the contractor will mobilize to commence construction works before the end of year 2013. Some districts will be connected to the grid much earlier as commissioning will be done in stages with the last one coming towards the end of 2015." Zulu added.

The project will be funded by Nordea Bank of Sweden and Standard Bank of South Africa.