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Absolutely.......Wonder what has got them so excited and confident?! ;-)

News can emerge from unofficial sources but still affect market sentiment (to the good and bad). Just becasue it hasn't been officially announced doesn't mean it isn't true. The issue here - amongst the many - is that is unofficical news on a connected/ related matter, not on a direct matter. It'd be something else if EDM had said tariff approved via an unofficial disclosure to a PI.

That said, I am confident that the transmission line is of direct relevance to new power coming out of Tete, where the Main Ncondezi Power Project is the only advanced proposition.

Some while back, I had been informed by a World Bank officical, the following:

"The Moz-Malawi interconnection [...] The project is connecting Matambo substation in Tete, central region of Mozambique to Malawi..."

"Power to be evacuated from Matambo substation is provided by sources of energy in Tete region. Both governments of Mozambique and Malawi have already signed a power purchased agreement for energy between the two countries. Additionally, Malawi will have access to the SAPP market through this interconnection and can sign bilateral contracts for energy trade."

There is a link between our work/ NCCL and the wider transmission infrastcuture, including linking into Malawi. Please see below:

“#Mozambique takes another step towards expanding the transmission network into #Malawi #NCCL's recently completed transmission study accounts for these exciting developments ensuring an optimal supply strategy into the grid”

https://twitter.com/Ncondezi_Energy/status/1291659356841431040

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NCCL inputted into the study that laid out the plan for the transmission plan (it seems), which would have then supported the tendering process (am guessing).

Great post and massive news Hammerphil!

For me, the award of the contract to L&T from India is a huge signal that the project is going ahead. Why award the contract (following World Bank approval of the evaluation of the tenders) to build the transmission infrastructure if there is no new source of power? Similarly, World Bank and EDM would not approve this award if they had not receieved guarantees from CMEC the project would go ahead.

On an additional but related note, it may not have been necessary for CMEC to have been awarded these as a precondition; instead, their interested in making sure that the transmisison infrastructure is going to be built, paid for by someone else.

Looking excellent!

Extrader, the word 'should' in the '"China’s Belt and Road Initiative should stop financing new coal power" shows this as being a mere suggestion. There will be no traction coming out of that statement.

News soon on some important fronts, it would seem.

The $17, 000 per month goes some way to bolstering existing funds and will be helpful for covering basic operational costs.

In the meantine, we are due to hear about the result of Interconnector Line tendering process, where CMEC is in the running (thanks to the sluething of one of our trusted holders).

#NCCL Mozambique President reaffirms "Energy for All" (from Thurs 1st July)

"Mozambican President Filipe Nyusi on Thursday pledged that over 10 million households will have access to electricity in their homes for the first time by 2024"
https://allafrica.com/stories/202107010888.html

Great to hear, political ambitions and will is in place. Just a matter of time and believe it will be soon!

GGG, that is one of the posts of the year on this NCCL LSE BB - and very likely is THE post of the year here.

Great stuff!

Garykc; you not alone trawling the internet LOL

They in sensitive negotiations. Negotiations over the tariff are the most sensitive, as future national growth and corporate profitability depends on it. Indeed, the Subscription Price and NCCLs main project outright sale price (if it came to that - and I think it could very well), depends on it. So can imagine CMEC pushing to get highest possible tariff for supporting margins; and NCCL playing a supporting role as that means a more impressive windfall for shareholders; while EDM and Moz pushing for reductions as that produces a more affordable tariff for domestic consumers. While according to the World Bank, there's already an agreement in place for the electricity being carried by the Interconnector linking Tete (where we are), and Malawi.

Hang in there - and kerp the faith, as BENJAN1 says.

Some good points GGG

Am certain most folks have invested for the returns they expect from the main project. This includes Scott Fletcher, as well as AFC and Polenergia.

The Solar project is piggy backing on the main project. I can see why they did it. The main project is providing the launch pad for the C&I programme (you can imagine the main project windfall that can then be reinvested into Ncondezi Green Energy etc). However, while this may not appeal to many/ most holders here, the C&I programme would struggle without the main project coming off. SF alone has invested a lot here and can only imagine that he is significantly down on that investment. Even Hanno with small holding, if he wants to have an appropriate stake, he needs the main project to happen. If the main project doesn't come off, the solar project will be scant consolation. So, when all is said and done, the vast majority of parties with a meaningful interest here, all want - and need - the main project to come off. The solar project is not a distraction. Everything pretty much hinges on the main project. They and we all know that.

We funded to September end. That's 3 months. Plenty of time within which to hear about the tariff. Any shortfall will be covered easy. Look who we got board. Scott Fletcher has bought millions££ worth of stock. A £200, 000 gap-filling loan ahead of re-rate on tariff news, would be cinch (not to mention it'd protect his investment). And yes, buying up those warrants would be one way.

There has been some good 250, 000 chunk-buying lately - so someone is buying up loose stock. Whoever is selling, imo, os making a bad mistake.

Tariff was always going to be the big negotiation. Following investment, the tariff establishes what level of profit CMEC/ China and partners make; and what degree of savings consumers/ Moz make. The project will happen because it is in everyone's interests - including the World Bank, who need/ want not Moz having near universal access to power but neghbouring countries that are not as resource rich as Moz i.e. Malawi etc.

Keep the faith, as others have said.

The SP down here is a pain in the a ss. However, this was bound to happen. The haggling over the tariff is critical. A penny equates to shed loads of additional profit (for CMEC/ China) or additional savings (for the consumer/ Moz).

Am in no doubt the project is happeninng. It is the most advanced project of its type not only in Africa but got to Asia. Large players have already invested plenty and expect to invest more. In turn Moz gets opportunity to create jobs, raise standards of living and generate tax revenues and royalties. And if the country gets richer, so do the politicians.

Am with Benjan1 here. I think we are close.

Keep the faith folks!

Just noting, from Jan 4th RNS on Historic Costs:

"As the Project power tariff is currently being negotiated with EDM, both parties have agreed to finalise the historical development costs once negotiations with EDM have been completed, as this will also have an impact on CMEC's subscription price to be agreed for the 60% share in the Project and the Project developers' fee."
https://www.investegate.co.uk/ncondezi-energy-ltd--nccl-/rns/us-21m-historical-costs-agreed--in-principle-/202101040700093202K/

Seems that they expect the Historic Costs to be a key part of the formula for determining the Subscription Price. Have said before, that the Subscription Price will similar process to an outright sale, so is a good likelihood that an outright sale could involve the Historic Costs amount in the eventual formula. For me, that paragraph also signals some degree of confidence of getting to the Subscription Price stage, meaning they believe tariff negotiations will be sorted and they expect to move on from there.

#NCCL Market Cap just £11m, when

- Historic Costs owed to NCCL $26.7m ($21m audited);

- Have binding JDA with CMEC for Billion$$ Project

- Currentlyy negotiating tariff for said Billion$$ Project ;

- Have BIG Plans for solar ie NESA deal, with 1st solar project commissioned June-end and revenues thereafter!

NCCL now massively undervalued meaning there's HUGE upside!!

Some good thoughts as usual. I only differ on the waiting to FC/ 12months. They way the solar project is going and recent RNS regarding working with NESA, I think we going to be bought out of the main project earlier. And that Tariff landing is the critical catalyst.

Agreed BENJAN1 me ol mucker!

I think the recent RNS was a sign of strength. General Market Sentiment/ Outlook would have it that we hanging by a wire. But that RNS showed that we are looking to grow significantly. Then that Proactive interview helped to relax market somewhat about the main project. On top of all that, we really need to be looking at the players involved here, from the main project to even the solar programme. Though it may seem it to some, we not at a standstill.

BIG rewards not far off, in my view. And as momentum builds here, with market realisation of prospects and likely news, that tight free float is going to do some damage.

Agreed HoopedBaron, this is happening. Fully expecting - as others are - an outright sale of our stake.

Relatedly, thinking about how the susbcription price or an outright sale might be determined, I went back to the Histroic Costs RNS of 4th Jan:

"As the Project power tariff is currently being negotiated with EDM, both parties have agreed to finalise the historical development costs once negotiations with EDM have been completed, as this will also have an impact on CMEC's subscription price to be agreed for the 60% share in the Project and the Project developers' fee."
https://www.investegate.co.uk/ncondezi-energy-ltd--nccl-/rns/us-21m-historical-costs-agreed--in-principle-/202101040700093202K/

If we remember, there was a total of $26.7m in provisional, with $21m agreed in principle. I did wonder why they had to wait for Tariff negotiations were completed, as in essence, there should be no link - i.e. HIstoric Costs are Historic Costs. Led me to wonder if the Subscription or Outright Sale (which would be similar processes and similarly determined), would be connected to Historic Costs i.e. a formula involving Histroic costs -- for example, multiples of Historic Costs.

Personally, and as others are suggesting, once tariff negotitations are positively concluded, we are headed towards a full sale.

Really is pointing to an all out sale, with things to be wrapped up sooner than many think :-)

IMHO.

Excellent interview and perhaps his best ever.

Really is pointing to an all out sale.