Name and Location
Rukwa coal-to-power project, Tanzania.
Client
Edenville Energy.
Project Description
A scoping study completed on the Rukwa coal project has indicated an economically sound project with a relatively low capital expenditure (capex) cost and a 50-year life-of-mine. A small-scale mine and power plant (coal-to-power) scenario to provide electricity for local markets has been identified as having the best balance for shareholder return, deliverability and achievable capital requirements.
The Rukwa coal-to-power project hosts 171-million tons of measured and indicated coal, sufficient to support a 120 MW power station over the life of the project.
Net Present Value/Internal Rate of Return
Not stated.
Value
The capex to deliver a combined mine and power plant is estimated at between $35-million and $50-million.
Duration
Not stated.
Latest Developments
Edenville was expected provide the Tanzania Ministry of Energy and Minerals (MEM) with additional information about the company’s mining licence application for the Rukwa project by the end of September.
The company submitted the mining licence application to the MEM in July, after which the MEM requested further information on the technical aspects of the calculation of the project’s Joint Ore Reserves Committee-compliant resource of 170-million tons.
Edenville CEO Rufus Short has said he is pleased with the progress made to date regarding the granting of a mining licence.
“Having a mining licence in place will significantly enhance our options for development and positively affect our discussion with potential partners and sources of finance for project development.
“Coupled with the progress we are making in the power plant feasibility process and discussions with potential partners, the project is moving towards the stage, expected to be later this year, when a multiparty plan for project development can be agreed,” he has said.
The company has met with potential engineering, procurement and construction management partners, including potential partners in China.
The company will update the market on the negotiations once it reached a conclusion.
Key Contracts and Suppliers
None stated.
On Budget and on Time?
Not stated.
Contact Details for Project Information
Edenville Energy, tel +44 20 7653 9850 or email info@edenville-energy.com.