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It means nothing if they can't afford to get the water level any lower

RNS stated:
'The Lesedi 3 and 4 pods are producing water in isolation which makes dewatering a slower and more difficult exercise than would otherwise be the case in a full field development. In a field development scenario, an array of wells would be located adjacent to each other which would serve to facilitate dewatering.'
This is what causes me most concern, we've been told by TG that the volume of water being extracted indicates good permeability of the coal, but it also suggests to me that water pumping from 2 pods is not enough to bring down the level of water sufficiently to generate sufficient negative pressure within the gas wells. I think Tlou are in a 'catch 22' situation, the only way of getting water level down to the required level are more pods, but where's the money coming from to pay for these new pods? It seems to me that the management are planning (or hoping) to have a temporary PPA awarded by the Bots government to then convince the proposed lenders to provide funds for more gas pods. These proposed pods, if successfully working together in unison, may ultimately then provide more than enough gas for all the pods (including the existing ones at Lesedi 3 & 4). This is a big risk for any lender, because as we have been reminded of many times recently that Tlou are the first CBM company working in this area. I can't see that level of risk being taken by a lender without some form of significant dilution to shareholders. Also, constructing and operating (say) 10 new pods to the point that the area is fully dewatered is probably 18 months away, assuming that Tlou can secure the funds very soon.
It was a month ago that Colm was saying 'were almost there, hang in guys, don't lose hope etc etc..' yet another month goes by without progress. Then in the RNS we're reminded of (again)the desperate power grid situation in Southern Africa. We know that! That's why we invested. I don't think the Bots government really care! if they did, this whole process would have been fast tracked by now. Three years ago we were invited to tender for 100 MW of power, plate techtonics move faster than the Bots Government, why on earth would it take nearly a year to review a tender?

I wonder who's the person, that is so hard up, that they need to sell 26p worth of shares?

Bit a lame SP response to what I think is very good news today. The worst situation would be if the election was disputed and thankfully that hasn't happened. Also I think normal bureaucratic process has been put on hold until the result of this election has been established.

Current government takes a commanding lead with 30% of the votes counted.

https://www.africanslive.com/botswana-polls-ruling-bdp-takes-commanding-lead-29-results/

We're not going to hear anything regarding the PPA until at least a few weeks after the Botswana elections. Surely Tony recently buying 250,000 shares on the open market is a signal everything going to be just fine, he's clearly a very frugal man and he's not going to spend that sort of money if there are problems around the corner.
I'm interested in the latest update with regards to 10MW and $30 million funding with no mention of the 2MW pilot project progressing to 10MW. I'm wondering if part of the PPA negotiations the BG have said they want to go straight to 10MW and dispense with the pilot project. Clearly lesedi 3 & 4 pods must be good if we are going down this road as we will need to add around another 8 pods at lesedi.

Also they have confirmed that operations have commenced in Mamba, as per their proposed schedule.

I wouldn't say it was th same old update. From the update it looks to me like they intend to go straight to 10 MW rather than the 2MW pilot project.

The 300k's look like a rollover to me, they are only a few seconds apart and the price of the second one is higher than the first.

Why is it unlikely? I've been watching this for just a few weeks now and the SP has almost halved in that time. Another 30% off and it will be in single digits, doesn't seem that unlikely to me.

This statement from March suggests that Lesedi 4 will produce more gas than Lesedi 3:

'Very importantly, when the lateral wells intersected the vertical production wells, a significant amount of gas was observed bubbling from the production wells. This occurred on both the Lesedi 3P and 4P intersects but particularly on Lesedi 4P. In the Lesedi 4 development pod, the Company targeted the upper portion of the coal seam. This may be very significant for future drilling campaigns and, when combined with recently evaluated structural trends, may provide the key to unlocking significant amounts of new gas reserves.'

http://www.kylesconverter.com/energy,-work,-and-heat/cubic-feet-of-natural-gas-to-megawatt-hours

Using this converter 1 MWh of electricity will require 3412 cubic feet of gas, if you multiply this by 24 hours that means we require 80,000 cubic feet of gas per day from each pod. We were at 20,000 after only a month, so 80,000 by the end of the year would seem quite achievable. If we only get to 60,000 then Lesedi 5 will need to be completed to ensure that there is enough gas for the 2MWh generators.

Brad,
Selemo is part of the same licence block as Lesedi 3 & 4, I presumed that they can't be separated for a possible sale.

'Previous exploration activity' I wonder if this means they have a potential buyer for Lesedi, can't be Mamba because they are only just about to start the drilling.

'The Company has recently completed a capital raising which is expected to fund ongoing operations and working capital requirements for the next 12 months. Subject to the results of these operations the consolidated entity may need to raise additional capital to expand and develop the project further. Accordingly, the consolidated entity is in the process of investigating various options for the raising of additional funds which may include but is not limited to an issue of shares or the sale of exploration assets where increased value has been created through previous exploration activity.

At the date of this financial report, none of the above fund-raising options have been concluded'

Barry was talking ******......... again!!!! People were wrongly dismissing Gorillacramp as a deramper, should have paid more attention to what he was saying, he's been here for years.

Is 102331 your lucky number?

Hi Gorilla,
Is it the same 'Barry' that 2 years ago said the following on this forum about this very company:
"In addition, and according to estimates provided by TMR (Transparency Market
> Research), Richland holds a ‘ready to sell’ sapphire stockpile of 326,000
> carats of heated, cut and polished sapphires. At an average price of US$35.20
> per carat, this stockpile is worth $11.4m or £8.9m"

I actually contacted Bernard Olivier at that time and this was his response:

"Thanks very much for contacting me and bringing this to our attention.
The post and statements are incorrect and it was not in any way instigated or supplied by Richland."

Careful what you read on forums.....

Somebody bought 102,331 shares this morning and sold again a few hours later at a several hundred £ loss!....... why??????

Don’t forget that there is a Lesedi 5 pod that was only drilled vertically and has not been dewatered. If the flow rates from the combined Lesedi 3 and 4 pods are insufficient to power the 2 MW generators, then I’m sure that they will complete the Lesedi 5 pod and use the gas from all three for the 2MW. It almost seems to me that they are trying to keep it simple i.e. 1 pod = 1 MW of power generating about $1 million per year per pod. Also, don’t forget the company has permission to drill up to 200 wells.

It’s worth remembering that although it’s taking a long time to get to this stage, it’s going to take the competition even longer to clear all the same red tape. It is likely that for a significant length of time we will be the only CBM producer in Botswana and therefore highly attractive for acquisition. Once all the technical issues and bureaucracy is out the way, it will be very simple for energy companies to value this company based on their proposed investment and expected return going forward. You only need 2 or 3 major energy companies interested in investing and this could be a billion dollar company 18 months from now once we are selling power into the grid.

Patience will ultimately be rewarded here.