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Feasibility study completed for Ngaka project

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World Coal,

Sinohydro Corp. has released the commercial and technical feasibility study for the Ngaka minemouth power plant project in southeast Tanzania. The project is owned by Intra Energy Corp.

Financial evaluation of the project is expected to be released in early October.

According to the feasibility study, there is potential for a commercially viable 270 MW power plant, comprising 2 x 135 MW PCI boilers with super-high pressure and natural circulation. Maximum coal consumption would be 1.215 million tpy with coal mined from the North Ngaka mine site and trucked to the power plant.

Construction of the project would take about 33 months from financial close.

“This represents a great opportunity for Tanzania to develop its first baseload electricity generation based on the high-quality Ngaka thermal coal,” said Intra Energy Chairman, Graeme Robertson.

Transmission was not included in the feasibility study and would be via a double circuit 220 kV line to Madaba – a distance of some 100 km. Coal mining and supply would be undertaken by Tanzanian mining company, Tancoal ,on a long-term contractual basis. Tancoal already mines coal in the Ngaka coalfield for supply to the industrial market.

The Ngaka coalfield hosts a JORC coal resource of 423 million t.

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