Sign up Australia
Proactive Investors - Run By Investors For Investors

Kibo Mining signs Memorandum of Understanding with Tanzanian power utility

The signing of the MOU marks the initiation of a new, official, phase in the development of Mbeya
power plant
Mbeya could deliver first power to the Tanzanian grid just 36 months after putting funding arrangements in place

Kibo Mining PLC (LON:KIBO) has signed a Memorandum of Understanding with the Tanzania Electric Supply Company, known as TANESCO, with regards to a Power Purchase Agreement for power that will be produced from Kibo’s 300MW Mbeya coal-to-power project.

The MOU constitutes the precursor to the finalisation of the PPA with TANESCO.

READ: Kibo Mining makes progress on three fronts in Tanzania and Botswana

This could happen as early as the end of the current financial quarter, in accordance with the timeline previously agreed with TANESCO and the Ministry of Energy.

The MOU sets out clear guidelines, deliverables and timelines for the conclusion of the PPA. The PPA will enable Kibo to move towards execution and conclusion of the final development phase of Mbeya, construction and commissioning.

Kibo hopes to complete funding arrangements for the construction and commissioning of Mbeya during the second half of this year.

READ: Kibo makes further progress with Tanzanian government over Mbeya power purchase agreement

The company believes it can deliver first electricity into the grid 36 months after construction begins.

"This is a seminal moment for Kibo as a signed MOU signals the official engagement by TANESCO and the Ministry in the formal implementation of the MCPP and moves us to just one step away from finalizing the PPA,” said Kibo chief executive Louis Coetzee.

“We will continue to work closely with all the relevant parties and remain positive that the Ministry will honour its commitment to deliver a signed PPA by the end of Q1."

 

View full KIBO profile View Profile

Kibo Mining PLC Timeline

Related Articles

diamond
January 30 2018
Tango Mining is looking forward to a strong 2018, as diamond production comes on stream from two mines
NioCorp Developments steadily de-risking giant Nebraska super-alloys project
October 25 2017
Elk Creek is a superalloy materials project in southeast Nebraska...
Tesla,_electric_car,_battery,_Lithium.png
March 23 2017
Having both lithium and graphite resources places Noram at a considerable advantage in the lithium-ion battery sector.

No investment advice

The information on this Site is of a general nature only. It does not take your specific needs or circumstances into consideration, so you should look at your own financial position, objectives and requirements and seek financial advice before making any financial decisions. You acknowledge and understand that neither the Company, its related bodies corporate, the information providers or their affiliates will advise you personally about the nature, potential value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter. You should read our FSG and any other relevant disclosure documents and if necessary seek persona advice prior to making any investment decision.

You understand and agree that no Content (as defined below) published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person.

You understand that in certain circumstances the Company, its related bodies corporate, the information providers or their affiliates may have received, or be entitled to receive, financial or other consideration in connection with promoting, and providing information about, certain entities on the Site and in communications otherwise provided to you.

You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate. From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.

Before you act on any general advice we provide, please consider whether it is appropriate for your personal circumstances.

© Proactive Investors 2018

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use