(Alliance News) - Kibo Energy PLC on Tuesday said it has made progress on the Benga power plant project in Mozambique.
The Irish energy company said it has agreed with Vale Mozambique SA to supply coal to the Benga project in Mozambique. The have signed a supply agreement that will meet the full operational coal requirement of a 150 megawatts coal fired power plant.
Turning to operations, Kibo said Lesedi Nuclear Services (Pty) Ltd has completed and delivered a final draft of the Benga project optimised definitive feasibility study to Kibo. This optimisation study focused on conducting various trade-off studies.
The company said it is currently reviewing the findings from the study and a final version of the optimized definitive feasibility study will be delivered to Kibo in early January 2021.
"We are extremely pleased with the progress on the Benga project, as the technical work is now nearing completion and seamlessly integrates with the commercial and statutory developments," said Chief Executive Louis Coetzee.
"The ongoing and increasingly negative impact of Covid-19 has caused numerous delays during the past year, most notably regarding the inability to travel freely and conduct on-site work in an unfettered manner. Despite these constraints the Benga project made significant strides forward during 2020 and we have been able to sustain forward momentum and in fact gain significant new momentum towards the end of 2020," added Coetzee.
Kibo Energy shares were trading 3.1% higher in London on Tuesday at 0.19 pence each, while in Johannesburg, the stock was flat at ZAR0.07 a share.
By Evelina Grecenko; evelinagrecenko@alliancenews.com
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Kibo Energy (KIBO)