The German and French governments are financing a study of the power potential of the Zambezi river in northwestern Mozambique. The cost of the study is estimated at US$7M. A joint statement issued by the German and French embassies said that the money would be used for a feasibility study of hydroelectric potential in the river reach between Cahora Bassa hydro power station and Tete City. A consortium jointly formed by engineers from Germany, France and Britain has signed a contract with a Mozambican hydroelectricity company to study the project. The feasibility study, which is estimated to take two years to complete, will start early this year.