October 20 -- The effective controller of Sichuan Hongda (RCode: 600331:), Sichuan Hongda Group, plans to establish a joint venture in Tanzania with Tanzania National Development Corporation (Tanzania NDC) which will invest $3 billion on two projects in the African nation, reports Shanghai Securities News, citing a company filing.

Hongda Group will hold an 80 percent stake in the joint venture, while Tanzania NDC will hold the remaining 20 percent on behalf of the Tanzanian government.

The joint venture will build four 150MW coal-fired power generation plants in Mchuchuma and a steel production facility capable of producing one million tons of steel per year for the building sector.

The projects are expected to bring in annual revenue of $1.2 billion after completion.