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Tlou Energy receive RFP from Botswana government for 100 MW CMB project

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World Coal,

Tlou Energy Ltd, an AIM and ASX listed company focused on delivering power in Botswana and Southern Africa through the development of coalbed methane (CBM) at its Lesedi CBM project, has received a detailed Request for Proposal (RFP) from the government of Botswana to develop up to 100 MW of CBM power in Botswana.

The RFP requires details of the proposed field development, the installation of power generation facilities and supply of power into the grid in Botswana.

Tlou’s Managing Director Tony Gilby said: “We are pleased to receive the RFP from the Botswana Government and look forward to providing them with a detailed, compelling and compliant tender for our pilot power generation project at Lesedi.”

“This is the next step in the path to a binding offtake agreement and is testament to the fact that the Botswana Government remains committed to see CBM power projects developed in Botswana so that CBM can become a long term indigenous source of cleaner energy for the country. Lesedi is a scalable project and being the first company in Botswana to achieve independently certified CBM gas reserves in 2016 as well as the first to receive Environmental Impact Statement approval we are clearly well placed to deliver on our objectives. We look forward to updating the market in due course as we make progress towards fulfilling our vision to become a significant provider of energy in Botswana and the wider region,” Gilby continued.

As previously announced in July 2016, Tlou is one of two companies selected to bid for the development of up to 100 MW of power using CBM in Botswana as an Independent Power Producer.

In a recent announcement, Tlou indicated that this indicates the government’s commitment to facilitate the development of a CBM industry in Botswana. The proposed government power purchase agreement (PPA) will assist in fast-tracking the development of the gas industry in the country and creates a new market for Tlou’s independently-certified gas reserves and significant contingent gas resources of ~3.3 trillion ft3.

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