Name of the Project
Rukwa coal-to-power project (RCPP).

Location
Tanzania.

Client
Edenville Energy.

Project Description
A feasibility study completed on the project has indicated an economically sound project with a 30-year, 120 MW coal-fired power plant. There is the possibility that the power plant could be scaled up to 300 MW.

The Rukwa coalfields comprise the Mkomolo, Namwele and Muze deposits.

The project hosts 173-million tons of measured and indicated coal, sufficient to support the station over the life of the project.

Output has been estimated at 10 000 t/m.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
Independent power modelling consultancy Diamond Energy has completed a new financial model for Aim-listed Edenville Energy’s RCPP.

The new financial model builds on and validates the results and integrity of the financial model compiled from the results of the 2015 power plant feasibility study.

It has resulted in a 14% increase in the project’s pretax net present value to $252-million, from the previous estimate of $220-million, while the internal rate of return has improved to 23.4%, compared with 23.1% in the 2015 study.

Value
The capital expenditure to deliver a combined mine and 120 MW power plant is estimated at between $180-million and $200-million.

Duration
Not stated.

Latest Developments
Edenville Energy is planning to complete the upgrade of the processing plant at its Rukwa coal project by the end of September, which will allow for increased throughput.

A Lamella clarifier water treatment plant is nearing assembly-stage completion and will be installed on site for commissioning later this month.

After reviewing a number of options for acquiring a prescreening plant to remove the majority of coal fines before they reach the washing circuit, in Tanzania and overseas, a suitable configuration has been selected, the company has said. 

The equipment is already in Tanzania, which negates the need to ship and import. Construction and commissioning are expected to be completed on site over the next six to eight weeks.

Meanwhile, Rukwa processed about 17 530 t of run-of-mine (RoM) coal, producing 5 259 t of washed coal and 7 639 t of fine coal from May 25 to August 9.

Of the 5 259 t of washed coal, 3 231 t have been sold and shipped, the company has said.

This, Edenville explained, equates to an average daily throughput of RoM coal of about 230 t from May 25 to August 9, with average daily sale shipments of 43 t.

For July, the average daily sale shipments were 51 t.

Key Contracts and Suppliers
Not 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.