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DTE - suggest you check out membership of SAPP before diving head first into an empty swimming pool.
Member Status
The Botswansa Power Corporation, Electricidade de Mocambique, ESKOM, Eswatini Electricity Company, Lesotho Electricity Corporation, NAMPOWER, Societe Nationale d'Electricitite, Zesco Limited, and the Zimbabwe Electricity Supply Authority are operating members of the Power Pool.
The Electricity Supply Corporation of Malawi, Empresa Nacional de Electricidade, and the Tanzania Electricity Supply Company Ltd are the non-operating members of the Power Pool.
The Copperbelt Energy Corporation is the only Independent Transmission Company of the Power Pool.
Between us we may have answered Whizzer's query on the funding/placing timing.
The placing and funding most certainly addressed Lesedi to Serowe, both are now on the horizon and will be tapped this year (hopefully).
Orapa is another story - it can be considered a separate entity - Mamba to Orapa (gas) pipeline!
It strikes me that Orapa could fund this and it could be organised independently of Lesedi power (cbm/solar). I wonder if Orapa actually own much of the plant needed to open Mamba!
I'm getting carried away here - just suppose that the Orapa/Tlou liaison was always on the cards going back to TG's decision on Botswana - it makes sense to me!
Has Lesedi been an audition involving Orapa, the Govt and Tlou? An audition that is intended to have a future in the West End of course - not a scam but a parallel business and ultimately the main business! (Unless 90MW is just an audition at Orapa for bigger things).
There's a book in this fantasy.
Thanks DTE, we both know you are right but in winding me up they are misleading new investors whom we need for the sp to rise. If I knew everyone thought as you do I'd have been content to drop it (as I hope now). But I am anxious that I am in turn misleading people inadvertently, so I need feedback on whether I am missing something in my very few assertions.
And they imply TG is not telling us the whole/correct story - and that really galls me!
On MM's post, the close date for tenders only means future tenders won't be accepted.
Yesterday I might have agreed with MM suggestion/question on the PPA.
Today's post at 9:38 possibly denies that idea imho
"Independent Power Producers (IPPs) or non-utility generator (NUG) are private entities (under unbundled market), which own and or operate facilities to generate electricity and then sell it to a utility, central government buyer and end users."
Orapa is a utility, and we'd be supplying gas not electricity, so I am unconvinced the PPA is relevant to this tender.
Brad, why do you allow yourself to be baited by a deluded-schizo-fantasy investor, who's sole objective on here is to wind you up? If an RNS states that Tlou can sell into SAPP, then they can. Simple. Ultimately Tony will have an exit strategy and he clearly believes that that in the long term the value of the company will be greater if there is a significant PPA with the government in place.
As usual, more interested in transmitting his own point of view (which we have all heard and read for years - and nothing changes) that stepping back and thinking about some really good information.
Information that will help all of us perhaps question ourselves, our research and our conclusions.
As for on/off filter - do it or don’t do it. But stop talking about it. And stick with it.
LSE are doing weird things again with posts missing.
I used my search engine to try and find TG talking about selling to SAPP countries with no success.
In so doing, I was reminded that during the RFP procedure there was a general election too!
OB, from memory, asked why in the last 5 years we did not sell to Sapp countries? This is reminscent of Donkey asking me to prove that TG spent time and money choosing which country was best for CBM outside Australia! Everything needs to be spelled out to tose indivials/aleter-egos!
How many times have I said a large PPA was never wanted by tlou - they ALWAYS siad they'd build build the business from the roots upwards to keep capex down (reinvesting earnings).
Apart from that, all we had to sell was Selemo power and we are making good use of that ourselves without the cost of poles/wires over 100Km.
What I did find was a post from me in 2018 that quotes IPPS, we never seemed to offer proof by link in those days (pre-moagi perhaps!). It was an advert for experts to appraise the preferred bidders , presumably from local newspapers.
I'm putting this to bed, OB is back on filter, I think it belies the tom-fool's idea of BPC being the only game in town! Sorry Tom Covid a poster I respected many years back on here - long gone under that name.
"BradSmith
Posted in: TLOU
Posts: 4,540
Price: 5.75
No Opinion
RE: 2 CBM tenders for 100Mw Saturday 30 Jun 2018 12:04
Tender offers are invited for the provision of Owner’s Engineer for the development of a maximum of 100MW of Coal Bed Methane (CMB) fueled pilot power plants in Botswana by Independent Power Producers (IPP).
Tender offers are invited for the procurement of Transactional Support for the development of a maximum of 100MW of Coal Bed Methane (CBM) fueled pilot power plants in Botswana by Independent Power Producers (IPP).
+++++
---------
Independent Power Producers (IPPs) or non-utility generator (NUG) are private entities (under unbundled market), which own and or operate facilities to generate electricity and then sell it to a utility, central government buyer and end users. IPPs may be privately-held facilities, cooperatives or non -energy industrial concerns capable of feeding excess energy into the system.[1] [2]
IPPs invest in generation technologies and recover their cost from the sale of the electricity. They can be great help to country's energy sector (especially when the public sector do not have the required financial capacity for investment).
----------
The above looks more like an advert for an engineer in the first instant, and lord knows what in the other?"
Goodness his world is crashing down. All those hours spent reading and researching for online gospel; so many posts selling his own ideas; so much time wasted arguing with anyone daring to disagree - and all he needed to do was make a phone call.
If I didn’t know better, I would say this was the biggest string along of the century.
However, assuming OB is actually factually correct - then does this not put the spotlight back on TG and Tlou management for how they have informed the market about selling into the SAPP ??!!
Now there is something worth thinking a lot further and deeper about.
Moagi rubs his bottle and out pops his genie!
The link appears quite useless amounting to a maroon map of southern africa.
The genie simply has to be moagi in a different pantomime part, surely.
They have identical blinkers , 360 degrees!
Read this, research TG and find TG's early mission statement that escapes me, open your eyes and brain!
"SAPP commissioned new generation capacity amounting to as follows: ? A total capacity equivalent to 4,180 MW was commissioned in 2016. The projects were commissioned by both Public Utilities and Independent Power Producers (IPPs). ? Independent Power Producers (IPPs) contributed 54% (2,236 MW) of the new generation capacity in 2016."
Can someone sit the genie on your knee, and read that to it one word at a time please?
On page 17 , 8 countries are listed with IPPS ,
Zimbabwe, Angola, South Africa, Malawi, Zambia, Tanzania, Namibia, and Mozambique.
Botswana expect to have a new IPP soon called TLOU , with a boss who has floated 2 previous CBM companies - if he says it possible , and 8 countries have managed it already, why would I believe a word that you have to say that contradicts that????
Posters can judge which of us provides the better links once the look at page 17 of mine.
www.sapp.co.zw/sites/default/files/SAPP.pdf
Mr Smith, the fact that you type something in all caps, does mot make it so.
Here is the "spot market" in Southern Africa. Except that only BPC can access the SAPP. We cannot - it is an exclusive club for the various national utilities to trade. Prices mostly vary from 2c/kWh to 12c/kWh.
http://www.sappmarket.com/
As for private PPA's... It is not possible in Botswana (yet) because BPC is the designated buyer of all energy. Phone BERA to confirm if you want to.
Or you can do the obvious... if we could sell to anybody, why has this not happened in the last 5 years or so?
Not trying to disagree with you for the sake of disagreeing with you - this place will be a better place if there is less wild conjecture and more facts.
I thought that the raise gave back a certain amount of control to tlou and that once awarding a contractor we could start the installation of the poles and wires, all the while we would be securing the rest of the funding!
That is how gilby sold it to us all!
On the face of it at the moment it looks like that raise was to keep the lights on!
We should be getting an influx of news but it’s just deadly silence again.
"The Company plans to sell power to potential customers, either on the 'spot market' OR through Power Purchase Agreements (PPA) with one or more customers. Sale of power is planned to be through the Botswana power grid which facilitates the sale of power within Botswana and regionally via the SAPP. "
The link supports my understanding of what TLOU said in the early days,WE ARE NOT DEPENDENT ON BOTSWANA BUYING OUR POWER!, hence my insistence the PPA is not as important as described by others! They also said NO PPA MEANS THEY CAN TAKE ADVANTAGE OF PREVAILING PRICES (which are expected to rise with time).
https://www.energy-pedia.com/news/botswana/tlou-energy-provides-update-on-the-lesedi-cbm-project-174643
I've put off the spring cleaning long enough - the real reason for my many posts!
Parkinson's Law is , in fact, laziness to some degree.
I remember that TV programme.
Good to see an unfiltered message on here Whizzer.
Hopefully they'll stop soon because everybody must be sick of their repetitive nonsense with nothing new whilst ignoring alternative logic.
There isn't enough history to match or unmatch OB and Moagi , both very recent additions to our numbers here , but think they are the major contributors who are qualified to speak for us all.
The fact that moagi can tell us OB will respond to me tells me a lot!
There are very few explanations of that.
If either of them casts sensible doubts instead of repeatedly twaddling on about how even the preferred bidders must be even to gain that status, OR how we need a PPA despite messages from the Govt saying our 2MW is being processed and they back CBM etc etc etc , please let me know! They never say where I am wrong - imho because I am not!
Donkey even claims to knows more about how Govt works than TLOU do? You cannot make it up - with ex-Minister GG on the board! Was he employed because he does not know how Govt works?
Will the Govt issue a PPA to us for 2MW without supplying one for t'others or reneging on their preferred bidder status? Are the letters of intent enough to get funding from Govt or elsewhere?
I'd expect a few different opinions on that.
Whizzer, do you know what the current lockdowns are in Botswana? Genuine question, I don't know, but it is very pertinent to resuming drilling etc.. I'm more hopeful of getting info on the poles and wires first.
Poppy treats and beer time!
Whizz, they don’t have sufficient cash to finish whatever work they start on the transmission line. And to get the necessary dollars, they need to secure material funding, and to secure material funding they need a bankable PPA.
Anyone that tries to tell you otherwise is a snake oil salesman!
So I think you should prepare yourself for Tony telling us in the end July quarterly update that maybe the PPA has just been negotiated but more likely I expect they will tell us it have been extensively negotiated and is nearing final agreement.
Then hopefully they secure the material funding in Qtr 3 so we can be properly under starter’s orders. But any slippage on this and guess what, we are again in the world of extended Xmas and New Year shut down, meaning real work only starts Feb 22.
All I am saying is, prepare yourself for the possibility .... hopefully I am well wrong. And happy to be so!
I simply however cannot see how TG would sanction spending the bulk of the recent funds raised starting the transmission line when he doesn’t have the money to pay for completion. Would the Contractors sign up on this basis? If they do, for sure they will be pulling progress payments regularly or maybe even demanding upfront payment.
Also would shareholders agree with such a gung Ho front running type of business strategy - I ain’t sure they would.
So - we need a PPA to then secure funding, to then get the real work on the transmission line underway. No doubt they can do easy and Low spend parts in the interim - but not the heavy lifting, high spend part.
Just my opinion - happy to be wrong.
This week I’d really like to see work on the ground start, it’s been a while since the raise so it’s time we see the money put to use!
If the work doesn’t start soon, we will have the funding arrive, if that happens then why did we raise funds!
Everything is so slow in happening. I thought the fund raise was to make a head start on the ground while we wait for funding!