Rukwa Coal to Power Project update

RNS Number : 3638L

Edenville Energy PLC

11 January 2016

 

11 January 2016

EDENVILLE ENERGY PLC

("Edenville" or the "Company")

Rukwa Coal to Power Project update

Edenville Energy plc (AIM: EDL) the company developing a coal to power project in south western Tanzania, is pleased to update shareholders and provide an overview of the work programme for Q1, 2016.  This builds upon the considerable progress made during 2015.

Quarter 1 2016 Work Plan - Collaboration Agreement, Project Development

Following on from our recent Collaboration Agreement, Edenville and Runh Power have agreed on a work programme for Q1 2016.  The initial phase of the work programme comprises of multiple meetings with Tanzanian Government Organisations and technical analysis at the Rukwa site, to progress the Rukwa Coal to Power Project in accordance with Tanzania's Power Development Plan. 

Edenville and Runh Power will work closely to action the remaining bankable feasibility work, expanding the Lahmeyer Rukwa Power Plant Feasibility Study (2015) to generate a definitive technical study and financial model which will underpin Power Purchase Agreement ('PPA') negotiations with the Tanzanian Government and advance financing options with suitable institutions.

Mining Licence Update

The mining licence application process is ongoing. The application has reached the stage of being placed on the MEM Cadastre system with the status of "Application Recommended".  It is now awaiting the input of senior officials in the Ministry of Energy and Minerals (MEM) to complete the process.

Geophysics

The geophysical survey (ground magnetics) initiated in early 2015 aims to better delineate the boundaries of the coal basins and possible extensions outside the existing resource has been completed over the Namwele - Mkomolo region. A total of 116 survey lines at a spacing of 250m over the entire 16kms of Karoo basin was completed. This work totalled over 400 line km of survey work.

This data base will be forwarded to a geophysical consultant for final analysis and interpretation during 2016.

Outlook

The Company sees 2016 as a transformational year for the Rukwa Coal to Power Project, and continues to focus on securing a Power Purchase Agreement and project level finance prior to commencement of construction.  

Contact
Edenville Energy Plc Rufus Short - CEO	[phone]
Cantor Fitzgerald Europe (Nominated Advisor and Corporate Broker) Stewart Dickson Jeremy Stephenson Phil Davies	[phone]
IFC Advisory (Financial PR and IR) Tim Metcalfe Graham Herring Heather Armstrong	[phone]

 

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