Member Info for JDwag

https://www.ozy.com/fast-forward/the-bigger-hidden-cost-behind-tanzanias-2b-hydropower-project/87255 If it happens (if) it will be years and years away. JD

http://www.theafricareport.com/East-Horn-Africa/energy-power-pitfalls.html Very relevant to our situation, shows why both Kibo and the GoT HAVE to get this right first time and at a price that can be afforded long term. The rewards are huge if (when) Kibo cracks it. You can understand why the visits and revisits to SEPCO to ‘sharpen their pencils’ all about convincing JPM of value for money and being the partners they can do business with. JD

And 300 Code at the end? I like good omens.....lads, prepare for Glory. JD

If you want that you can look on the ‘other side’. Apparently Kibo are in a ‘precarious’ financial position, being debt free I scratch my head on that one, but hey ho!

JD

This is where we hold them. This is where we fight! And this is where they die! On these shield, boys! Remember this day, men, for it will be your PPA / SML for all time! (might have added the PPA / SML bit).

JD

So by the end of next week / the beginning of the following week (AGM Week) we should have all applications and supplementary information submitted for the PPA and SML and it will be in the GoT’s court? Not the worst situation to be in.

Ultimately, this will soon (immediately) be on JPM’s desk to approve, and make no mistake, if he is happy with it, it goes over and the PPA and SML will happen at all but at the same time. I am hoping the Chinnes can then help shove it over the line. In a bright scenario we could be only a handful of weeks away from this realisation.

JD

No, that’s all true of course, the Chinese aren’t wading into this on the back of a hunch. JD

I was in there only at the end of June with friends, 400g Ribeye medium-rare, bearnaise sauce, creamed spinach and beef dripping chips, washed it down with Rioja (plural) then went up town and watched the England / Belgium game, great little night.

I love that restaurant, all the way down to the decor, a great place to eat.

JD

Lol, 'when' this comes in i'm going to buy to you Steak Dinner as mere pay back for the enthusiasm you have provided this board over the years.

JD

Mikemike, i would think / hope that will all be laid out in the new upcoming Kibo Energy Presentation that will go with the shinny new website that they will launch after the AGM (assuming it's after).

JD

Also a country is which nominal GDP per capita is 10 times that of Tanzania, isn’t it funny what effective government can do for your Citizens / Economy.

JD

Seems to suggest that you first need a Mining Licence (ML) before moving on to a Generation and Export Licence, of course, we already have the environmental clearance certification. Does suggest it could move pretty quickly!

JD

If anyone has a quick answer, ill do some research over the weekend, has anyone got any examples of a mining licence being applied for in Botswana and how long it took before being submitted to being approved (a specific company example)?

JD

Mikemike, that is very much how I see it as well, the PPA / SML will be extremely closely aligned and will be issued practically simultaneously IMHO. The same ‘reformatting’ issues that have effected the PPA have now effected the SML. LC hints in the RNS that almost all of the information in the local content part of the Licence already exists, this is just another excercise of rearranging the world’s onto a different format, it’s just pure bureaucracy, plain and simple. Think we will be in Q4 before we get both the SML and PPA, sorry if I have my negative hat on today, but that’s how it looks to me. Maybe SEPCO3 can help push those dates along. JD

Around in the dark for the last 18 months suns up the GoT pretty well, rather remarkable that you treat your citizens this way, and rather remarkable you allow your government to treat you this way. You can see why LC has branched out. You could be looking at MCIPP first here, at least for a Licence. JD

Letting you punt 400k before a hint on NT, someone wants them.

JD

As SGB said yesterday, there is still clearly a huge amount that the GoT are fumbling around in the dark on trying to sort out their game, the latest Content Plan / Integrity Pledge are just the latest that have been spawned from the complete Mining Regulations re-write of the last year, I am hoping they are the last material ones. From a Westerner’s point of view I am left scratching my head at all this bureaucracy and procrastination, from a developing nations point of view (Tanzania) by procrastinating on these licence and deals they are robbing themselves of precious GDP in one of the poorest States in the world, and not just a little bit, either, but I guess that is the African way?

Schumba, Sanderson and Sepco3 have all taken large exposure here over the last few months, that says to me that all here is fine (over time), what the time is only the GoT can answer.

JD

Going to work in Tanzania: https://www.ippmedia.com/en/news/chinese-minister-unveil-lighting-african-project-dar-es-salaam JD

Hope so mate, a definitive 'proceed' from the GoT and we should power forward.

JD

Follow up question then?

Judging by the Strategic Development Agreement (SDA) subject of the RNS on 3 July, was that ‘rushed’ through in order to help out on negotiations going in tandem with the GoT in relation to financing? The deferment of the SP in which SEPCO will purchase at is an odd omission from an RNS like that, was it ‘come in now to help with this ASAP and we can sort out the specifics by 30 September?’ This is all hypothetical of course! SEPCO3 is the Chinese State, so there is no problems in them stumping up the money in whatever guise they do it (OBOR, etc.).

The RNS on 3 July states ‘Significant advantages of having an international recognised industry leader’s support and resources in both project fulfilment, development and financing negotiations….’ It’s probably has a bigger meaning this statement than we initially thought.

It also makes it a lot easier for SEPCO (Chinese State) to easily mop up the prizes here in Equity and Funding in the MCPP SPV if is a large equity holder in the parent company (Kibo Energy). Also makes sense to have a folks (LC, etc.) with African accents and addresses in your corner rather than just a straight up Chinese company, Kibo will have done all the groundwork on this (and so will be the case on Bots and Moz) so why not utilise that if you are SEPCO3?

JD