(Alliance News) - Tlou Energy Ltd said Wednesday said that steady progress has been made on the 66 kilovolts transmission line connecting the company's Lesedi project to the Botswana Power Corp's electricity grid.
Engineering consultants from Mott MacDonald appointed by the Botswana-focused power producer have worked on the engineering and design of the transmission line.
So far, they have successfully defined a transmission line route in consultation with the BPC, and has secured a wayleave - or right of way - from the Serowe Substation to the proposed power plant.
In addition, the environmental & social impact assessment plan for the project has been completed and the necessary statutory approval obtained.
Mott MacDonald is now working on the implementation stage of the transmission line, with includes a detailed design of the line, the Serowe extension substation and Power Plant intake substation.
There is also a tender document specification including the preparation of pre-qualification documents with the objective of Tlou making a short-list of pre-qualified bidders that will be invited to bid for construction.
Tlou also said that it remains in talks with potential project funders including the Botswana Development Corp, talks which the company has described as "a slow process" as a result of waiting on a revised term sheet by the BDC.
"Mott MacDonald have been doing an excellent job and we are very pleased with progress to date. The lifting of some Covid-19 related restrictions enabled a recent productive site visit with Mott MacDonald and BPC and activity is increasing across both public and private sectors in Botswana," said Managing Director Tony Gilby.
"Project finance remains a key objective for the company and we remain very focused on securing the necessary development funds to enable the construction of transmission lines and development of the power plant at Lesedi. Whilst we have been in advanced discussions with BDC for some time and await a response, shareholders should note that these financing conversations are not exclusive and that there are a number of ongoing positive discussions with other parties as well," Gilby added.
Shares in Tlou Energy were down 8.2% at 2.02 pence on Wednesday in London.
By Dayo Laniyan; dayolaniyan@alliancenews.com
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Tlou Energy (TLOU)