Kibo Mining Plc Mbeya Coal to Power Project MOU Update (0182B)
January 05 2018 - 2:00AM
UK Regulatory
TIDMKIBO
RNS Number : 0182B
Kibo Mining Plc
05 January 2018
Kibo Mining Plc (Incorporated in Ireland) (Registration Number:
451931)
(External registration number: 2011/007371/10) Share code on the
JSE Limited: KBO
Share code on the AIM: KIBO
ISIN: IE00B97C0C31
('Kibo' or 'the Company')
Dated: 5 January 2018
Kibo Mining Plc ('Kibo' or the 'Company')
Mbeya Coal to Power Project MOU Update
Kibo Mining Plc (AIM:KIBO; AltX:KBO), the multi-asset African
focused energy and resource company, is pleased to confirm that
further to the meetings held with the Ministry of Energy ('ME') in
late December 2017, the ME has called a meeting on Monday 8 January
with Kibo and the Tanzania Electric Supply Company ('TANESCO') to
finalise the Mbeya Coal to Power Project ('MCPP') MOU; accordingly,
the Company remains optimistic that the MOU will be completed as
announced on 18 December 2017. It should be noted that the
Tanzanian holidays differ from the UK, with fewer 'working days'
over the Christmas period.
The Company had arranged to present at a Proactive Event in
London on 11 January 2018, however, the meeting with the ME has
taken precedence and accordingly Kibo has postponed its attendance
at the event.
Kibo's CEO, Louis Coetzee, said: "Given the continued urgency by
the ME to fast-track the MCPP as the Tanzanian Government focuses
on delivering 5GW installed generation capacity by 2020 with a
further 7GW to be added in the following five years, we remain
optimistic for 2018. During the year, we anticipate hitting various
value trigger points regarding the MCPP including the completion of
the MOU and the final Power Purchase Agreement during Q1, and look
forward to building Kibo as a strategic regional electricity
supplier."
**ENDS**
For further information please visit www.kibomining.com or
contact:
Louis Coetzee louisc@kibomining.com Kibo Mining Chief Executive
Plc Officer
Andreas Lianos +27 (0) 83 River Group Corporate Adviser
4408365 and Designated
Adviser on JSE
Jon Belliss +44 (0) 207 Beaufort Securities Broker
382 8300 Limited
Andrew Thomson +61 8 9480 RFC Ambrian NOMAD on AIM
2500 Limited
Isabel de +44 (0) 207 St Brides Investor and
Salis / Priit 236 1177 Partners Ltd Media Relations
Piip Adviser
This announcement contains inside information as stipulated
under the Market Abuse Regulations
(EU) no. 596/2014 ("MAR").
Notes to editors
The Mbeya Coal to Power Project ('MCPP'), comprises the
development of the Mbeya Coal Mine, a 1.5Mt p/a mining operation
and the Mbeya Power Plant, a 300 MW mine-mouth thermal power
station.
The Mbeya Coal Mine has a defined 120.8 Mt NI 43 101 thermal
coal resource. A Definitive Feasibility Study has been conducted on
the project which underpins its value with an indicated IRR of
69.2%. The 300 MW mouth-of-mine thermal power station has long term
scalability to 1000MW, with a full Power Feasibility Study that has
been completed, highlighting an annual power output target of 1,8
GW based on annual average coal consumption of 1.5 Mt. An
Integrated Bankable Feasibility Study report for the entire project
indicated total potential revenues of US$ 7.5-8.5 billion over an
initial 25-year mine life, post tax equity IRR between 21-22%, debt
pay-back period of 11-12 years and a construction period of 36
months.
To assist in the execution this critical power project of the
MCPP, Kibo has assembled a team of international team of advisors
and partners including Engineering Procurement and Construction
('EPC') contractors and financial teams that are assisting in the
development of. These include ABSA/Barclays as Financial Advisor,
China based EPC contractor SEPCO III, General Electric, Tractebel
Engineering (Power), Minxcon Consulting (Mining) and legal advisors
Norton Rose Fulbright.
Johannesburg
05 January 2018
Corporate and Designated Adviser
River Group
This information is provided by RNS
The company news service from the London Stock Exchange
END
UPDSSAFILFASEFF
(END) Dow Jones Newswires
January 05, 2018 02:00 ET (07:00 GMT)
Kibo Energy (LSE:KIBO)
Historical Stock Chart
From Mar 2024 to Apr 2024
Kibo Energy (LSE:KIBO)
Historical Stock Chart
From Apr 2023 to Apr 2024