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Its not clear from the announcement as to exactly what is required to be submitted by 19.10.18. The process is described as an RFQ and if a quotation is the submission I'd suggest that only Kibo is in a position to respond. If I'm correct, I see this as Tanesco going through the motions of turning the Kibo project from an unsolicited offer to supply power to one that has been through Competitive Tender.
Considering the 2018-20 timescale I'd say that once all (sic) the responses are in it will move rapidly
Hi Gillie, relevant text as follows. Deadline is 19.10.18
This Invitation for Tender follows the intention of the Government of the United Republic of Tanzania through Tanzania Electric Supply Company Ltd (TANESCO) to competitively engage qualified applicants to develop coal power projects with a total capacity of 600MW at different locations within Tanzania.
TANESCO intends to procure power generation from a set of Integrated Gasifrcation Combined Cycle (IGCC) or superior technology coal based power projects with total capacity of 600 MW between years 2018 and 2020.
TANESCO, is therefore, pleased to present this opportunity to prospective developers to undertake feasibility study, finance, build, own, operate and transfer coal power projects of a capacity not less than 150MW and not more than 300 MW in one location.
Tendering will be conducted through international Competitive tendering procedures specified in Regulation 1 19 of the Public Procurement (Regulations Government Notice 446 of 2013, and is open to all Applicants as defined in the Regulations. Prospective developers who have earlier expressed their interests to develop coal power projects by way of concept note, MoU or any other form and have submitted documents to TANESCO are advised to participate in this tendering process.
what the article completely ignores is that Tanzania has already studied the mix of power sources in expert and extensive detail, comparing demand, cost, energy balance, and environment - the Power System Master Plan 2016 published by EWURA. This 139 page document describes the optimum mix for generation expansion as Gas 40%, Coal 35%, Hydro 20% and others 5%.
The article has been written in an academic bubble
Andrew its a double whammy. Not only is Tanz now short of 400MW for which it had planned, but even the bulldozer has to recognise that banking on Stieglers to come on stream before 2030 is a nonsense
Published this morning
East African countries that were banking on Ethiopia for cheap electricity could be forced back to the drawing board given the uncertainties on the future of the Grand Ethiopian Renaissance Dam....
...construction of the $4 billion hydropower plant started in 2011 and was supposed to be completed in a span of five years, no single turbine is operational seven years down the line ...
....Kenya and Tanzania are among countries that have signed MoUs with Ethiopia to import 400MW each....
..“The upshot is that the hydropower plant may well not reach full capacity for another decade,” said a report by the UK-based research firm Africa Energy.
http://www.theeastafrican.co.ke/business/No-cheap-power-for-East-Africa-yet/2560-4752074-cm5b7mz/index.html
If you add Sonic, who faded away some weeks back, to Wimbo and Yaki, we have lost a very significant balance to this board in the form of well researched, informative, usually positive and comedic comments.
I can understand their reasons and that is why I simply have not been bothered to post during this period of waiting. However without sounding like a snowflake that's just been dumped - I'll miss them
It has always been a concern of mine that, even just considering MCCP, that Kibo did not have the financial or organisational footprint to front a multi-billion deal.
However it is now becoming clear that Kibo will be the lead partner in a wider coalition of Energy companies. Yes, it would be great to have the SML/PPA but would anyone prefer to be waiting for only the MCCP to come off or seeing a much more diverse portfolio of projects developing. The sp reflects the fact that nothing concrete has materialised. If PI's don't think it ever will - then sell up.I believe, more than ever, that LC has a strategic vision for the Company and I will be rewarded for holding.
there is always the possibility that the GoT want to coordinate the MCCP announcement with other news for political gain. There has been a raft of news surrounding power - stop using diesel power, interconnector, Stiglers Gorge, natural gas etc. and MCCP will be a massive coup for a govt that has been long on talk of industrialisation
Kibo Mining Plc (AIM:KIBO; AltX:KBO), the multi-asset, Africa-focused, energy company, is pleased to
announce that the Mining Commission, a constituent of the Tanzanian Ministry of Mines (“MoM”) responsible
for the issuance of new mining licences, is ready to consider Kibo’s application for a Special Mining License
(‘SML’) for the Mbeya Coal to Power Project (‘MCPP’) following the inclusion of a Local Content Plan (‘LCP’)
and the Integrity Pledge (‘IP’) announced by the MoM on 13 July 2018.
Separately, Kibo anticipates submitting a mining licence application in Q3 2018 for its Mabesekwa Coal
Independent Power Project (‘Mabesekwa’) in Botswana, where it is developing a similar project to the MCPP.
Kibo’s CEO, Louis Coetzee, said, “This latest development in relation to finalizing the SML for the mining
component of the MCPP is most welcome as we now have a clearly defined procedure to follow under the new
mining act in order to finalize our existing SML application. Kibo will prioritise providing the Mining
Commission with the LCP and IP within the next two weeks, thereby ensuring that our SML application is fully
compliant and ready for review. With the LCP and IP regulations now clearly defined and in place there are
no outstanding components to the SML application, however in any event Kibo has always been compliant with
almost all of the LCP and IP requirements, even before these became statutory requirements.
“I’d very much like to extend my gratitude to Kibo’s staff for all the hard work done over the past few months,
enabling us to enter the final stages of preparation to submit a mining licence application for the Mabesekwa
project as well. We are optimistic that both licences shall be approved expeditiously although it should be noted
that following submission the progress of the process is not within Kibo’s control.”
Further Information
An LCP requires that the first consideration should be given to procurement and use of services and goods
produced and manufactured in Tanzania and in employing and training staff, priority should be given to
qualified Tanzanians, whilst the IP is a formal and concrete expression of commitment to abide by ethical
business practices and support a national stand against corruption. Kibo is focused on fast-tracking the delivery
of this information.
SML’s are awarded to projects with a capital expenditure requirement in excess of $100 million, following
production of a positive feasibility study and meeting all other criteria. They are issued for the life-of-mine,
which in Mbeya’s case is 25-32 years. The SML will be subject to a comprehensive Mining Development
Agreement with the government. On receipt of the SML, the Company can exploit the 121 Mt Coal Resource
at the MCPP as part of its strategy to construct a 300MW mine-mouth coal fired power station, which could be
expanded to 1000MW.
Kibo also anticipates submitting a mining licence application in Q3
I for one have set my time frame far longer - my reward from staying with Kibo is the Rugby World Cup in Japan Sept 2019. The majority on here seem to have nothing better to do than clap or moan - get a life. I would guess that most of us are lth so all that is being posted is vented frustration - over and over and over and over..........
I'm bored and will stay away from this bb until (and thats a when not if) news drops
Apologies to any female/french holders
This story shall the good man teach his son;
And PPA’s shall ne'er go by,
From this day to the ending of the world,
But we in it shall be remembered-
We few, we happy few, we band of brothers;
For he to-day that holds his shares with me
Shall be my brother; be he ne'er so vile,
This day shall gentle his condition;
And gentlemen anywhere now-a-bed
Shall think themselves accurs'd they were not here,
And hold their manhoods cheap whiles any speaks
That held with us on PPA day.
Great week end all
Just caught up and managed to read the Peak story. If a PPA cannot be signed without an SML and I don't think anyone is putting pen to paper on a 28 year coal to power agreement without any coal, we have a specific reason for the delay and a reasonable time scale (weeks not months) on when it will come through. I for one am even more relaxed about the prospects for this share and will now treat myself to a shandy watching England win dirty this evening