Kibo Energy’s 60%-owned UK subsidiary, MAST Energy Developments (MED), has secured an exclusive option, for a nominal fee, to undertake due diligence and negotiate the potential acquisition of three peaking power sites, totalling 31.3 MW, in the UK.
MED has until January 31 to complete its due diligence on the first 5.3 MW, 11 kVA
site and until February 15 to complete due diligence on the other two sites – 6 MW, 11 kVA and a 20 MW, 33 kVA projects.
In a statement issued on Monday, Kibo indicated its belief that, subject to due diligence outcomes, these sites may have the potential to lead to revenue generation for the company during the latter part of 2019.
The company noted that despite entry into the option, no assurance could be provided that a commercial transaction would ultimately be concluded, or on what terms.
“Successful completion of due diligence and this potential acquisition by MED would be a significant step closer towards realising Kibo’s first near-term revenue generating assets,” commented Kibo Energy CEO Louis Coetzee.
In addition to activities through MED, Kibo is also developing the Mbeya coal-to-power project, in Tanzania; the Mabesekwa Coal independent power project, in Botswana; and has entered into a joint venture agreement with Mozambique energy company Termoeléctrica de Benga regarding the development of the Benga independent power project, in Tete, Mozambique.