JOHANNESBURG (miningweekly.com) – Aim-listed coal mine and energy project developer Edenville Energy expects the submission process for a mining licence application for its Tanzania-based Rukwa coal project to be completed by the end of the month.
The company said data and documents, including a mining plan, an employment plan and a corprorate and social responsibility framework, to accompany the application had now been completed and reviewed.
“We continue to work closely with our in-country consultants Tansheq, [which is] in the process of submitting the mining licence application and supporting documents to the Tanzanian Ministry of Energy and Minerals,” the company said in a statement.
Securing the mining licence well ahead of any power plant development would allow the company to present a significantly advanced and derisked project to its investors and potential partners.
In addition, it presented an opportunity to generate early stage cash flow, with the mine to supply regional coal users should commercially viable terms be agreed.
Edenville CEO Rufus Short noted that once the mining licence was in place, options for development would be enhanced and significantly derisked.
“Coupled with progress in the power plant feasibility and the upcoming visit to Tanzania by Shandong Electric Power Construction No 2 (Sepco 2) company, the project is increasingly taking shape as a potential major contributor to western Tanzania's economy and development,” he added.
The company had also started ground magnetic survey work in the Namwele area as part of its 2015 exploration programme and expected to expand this work as the dry season continued.