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Rukwa production update published by Edenville

Published by , Editor
World Coal,


Edenville Energy Plc has provided a production update regarding its Rukwa Coal Project.

A total of 594 t of coal were washed at Rukwa in March 2023. Of this, 512.5 t of coal were washed from 20 – 31 March 2023, due to improved weather conditions and operational performance of the wash plant.

As stated in the operational update announcement on 28 March 2023, the company had established a substantial stockpile of run of mine (ROM) coal. However, the subsequent washing of the ROM has been hampered by its moisture content, given the ongoing rainy season in Tanzania. In dry periods the moisture content is reduced sufficiently to enable the ROM coal to be processed and washed. Such a period was experienced during the second half of March, which enabled the wash plant to operate for at least four hours per day (50% of the current eight-hour shifts) on six occasions. On these days the wash plant averaged over 10 tph of throughput, the company’s target production rate to achieve an initial 2500 tpm of washed coal.

Accordingly, whilst Edenville expects washed coal figures to continue to be volatile during April 2023, the company is encouraged by the results and evidence suggesting following the end of the rainy season (typically May in Tanzania) Rukwa will be in a position to deliver on its initial production targets. As reported on 9 February 2023, the company has agreed terms to supply 2000 tpm of washed coal at a pre-transport price of US$98/t (net price to the company of US$55/t), from June 2023.

The company also continues to investigate the merits of bringing an additional wash plant to Rukwa given the ongoing discussions with potential customers that have indicated demand for an additional 8000 – 10 000 tpm of washed coal. Non-equity avenues of funding to acquire an additional wash plant continue to be explored.

Additionally, the company has undertaken significant work over the last few months with a view to expanding the resource and has identified an additional accessible coal seam at Rukwa to increase the potential of the project.

Noel Lyons, CEO of Edenville, comments:

“Performance at Rukwa during the second half of March was much improved and suggested we have the potential to achieve our initial and contracted base case production target of 2500 tpm once the rainy season concludes. Confirmation that when the plant is able to operate it is doing so at a rate that will achieve these levels of production is very encouraging.

“There are also other areas where we will continue to target improvements and work at site has also now identified a further potential seam to be mined. Additionally, in conjunction with the work at Rukwa, we remain focused on securing potential new and exciting coal opportunities.”

Read the article online at: https://www.worldcoal.com/coal/19042023/rukwa-production-update-published-by-edenville/

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