Member Info for jollychippy

I’m sure this has been posted before, apologies if it has as it’s 6 weeks old.

a time when power and energy prices are soaring in Bangladesh, the old issue of developing its proven domestic coal reserves comes to the fore. For over 15 years, energy planners in Bangladesh have dabbled with import-only fossil fuels to keep wheels of the economy turning. Undoubtedly, the country prospered in the fields of agriculture and industry. Things began to go awry due to external geo-political issues that have resulted in import-only fuel supply prices on its head and made it literally impossible for Bangladesh to foot the energy bills.

With the growing political influence of the import lobby came one decision after another (at policy level) to build a power sector that is heavily dependent on imported fossil fuels. The issue of developing its own proven coal reserves were left on the backburner, despite having generated interest of international mining companies and having access to foreign finance to develop these mines. The government caved in to unrealistic demands of a small coterie of so-called intellectuals and so-called 'experts' and did not heed the warnings of its own professionals engaged in publicly owned companies and energy professionals.

https://thefinancialexpress.com.bd/views/columns/will-government-make-use-of-local-coal-reserve

Will Phulbari get a mention, coal extraction is surely on the agenda

The Centre for East Asia Foundation (CEAF) has organised a roundtable discussion on 'China-Bangladesh Relations and The Belt and Road Initiative' at the Abdullah Farque Conference Hall of the Faculty of Business Studies of Dhaka University on Monday.

The four-member high-level delegation led by Prof Dr Wang Jian, Director of the Shanghai Academy of Social Sciences (SASS), China attended the programme. Dean, Faculty of Business Studies, University of Dhaka Prof Dr Muhammad Abdul Moyeen attended as the chief guest, and former Ambassador and Chairman of CEAF Mahbub Uz Zaman moderated and chaired the event.

The chief guest Prof Dr M Abdul Moyeen mentioned that Bangladesh, as a member of the BRI cooperation alliance of China, has already started benefiting from the BRI, including China's financial investment and contractual construction obligations.

https://thefinancialexpress.com.bd/trade/roundtable-discussion-on-china-bangladesh-relations-and-the-belt-and-road-initiative-held-at-du

Prime Minister Sheikh Hasina Thursday asked the authorities concerned of all ministries and divisions to speedily complete the foreign aided and grant projects with additional efforts if required to expedite further the development spree of the country.

https://en.samakal.com/bangladesh/170829995/pm-for-speedily-completing-foreign-aided-projects

The government is set to increase budget allocation for quick completion of the Rooppur nuclear and Matarbari coal-fired power plant projects.

https://www.thedailystar.net/news/bangladesh/news/rooppur-matarbari-and-metro-projects-get-highest-adp-allocation-3610991

(Where is the coal coming from and what cost)

Slightly off topic, but emphasis of importance of power to the economy

State Minister for Power, Energy and Mineral Resources, Nasrul Hamid, has said that a roadmap that integrates artificial intelligence with modern technology to advance Bangladesh's power and energy sector is being developed.

Speaking at the closing session of a seminar titled “The Engineers for Transforming Technology Driven Smart Bangladesh” at the Engineers Institution, Bangladesh (IEB) on Monday, Hamid emphasised the pivotal role of power and energy as the main drivers of Bangladesh's economy.

https://thefinancialexpress.com.bd/trade/nasrul-advocates-for-ai-in-enhancing-bds-power-and-energy-sector

The net foreign exchange reserves in Bangladesh, as per International Monetary Fund guidelines, fell to $13.76 billion, with the gross reserves dropping to $18.26 billion on May 12, marking a 10-year low, according to Bangladesh Bank data...

https://www.newagebd.net/post/Banking/235088/bangladesh%5C%27s-net-forex-reserve-plunges-to-$13.8b

I like these bits of the article , although not new news

On March 11, GCM said in the notification that the company has received letters of interest to purchase Phulbari coal from Bangladesh's private sector coal producer SS Power's 1,320 MW Banshkhali coal-fired power plant and Barisal Electric Power Company's 350 MW Barisal coal-fired power plant. It is noteworthy that China's state-owned company Power Construction Corporation of China Limited (Power China) has a stake in these two power plants that want to buy coal from Phulbari. GCM has signed a $1 billion deal with Power China to 'cooperate' in the mining of Phulbari coal.

Quoting the Ministry of Energy, BBC Bangla informs that within the month of April, a proposal made on the basis of data from various surveys and feasibility studies conducted in the country's coal mines will be presented to the highest level of the government and sought approval. Despite the threat of destruction of agricultural land and water resources if coal mining is done, the rationale behind this initiative to extract coal is to deal with the future energy crisis and reduce import dependence. (New initiative for open pit coal mining in Bangladesh, BBC Bangla, 15 March 2024)

https://www.prothomalo.com/opinion/column/4oxptaf347

Bangladesh has an installed capacity of over 27,000MW. Half of the capacity stays idle because of fuel shortages.

Bangladesh’s power system is overwhelmingly fossil fuel-dependent, where $33 billion has been invested over the past 14 years.

Idle power capacity generated Bangladesh Tk 1 lakh crore over the same period.

Bangladesh announced 100 per cent electrification in March 2022, months before introducing rotating power cuts because of the fuel crisis owing to the dollar crisis.

https://www.newagebd.net/post/country/233420/load-shedding-more-frequent-in-villages

Load shedding continues

https://thefinancialexpress.com.bd/national/load-shedding-hits-1000mw-amid-soaring-demand-spurred-by-heat

It’s a shame this BB has turned into a slanging match with a minority of idiots lately.

Normally a very informative BB, no issues with points of views Good or Bad, but this is getting childish boys and girls.

Must be in north of the county, not seen him in the south Steve (LTF ?)

A funny old week

Well our fund raise agreed out the way,

Professionals doom, this won’t pay.

Well he does spout some dribble.

A few pennies drop no real quibble.

Once he logs off who should appear.

That’s our Jamesss now that’s queer.

Now there’s a comical double act,

No ideas and with his form of tact.

They pick on a few, claim this is crap,

And always appear opening their trap.

Why post for attention if this is a Dog,

Move on elsewhere and kiss and snog.

We may be barking up the wrong tree,

It’s our money and our choice is free.

Some research and share their find,

Others can check if they have the mind.

If good news comes, we’ll be singing,

After all we’re here to make a shilling.

We all hope you don’t take it too bad,

We’re all happy and both of you are Sad.

Now it time I was off to get my tea,

Enjoy your weekend I’m off to the sea.

Walking my dogs not thinking of you,

Possibly will though whilst picking up poo.

And yet we have buys 4 times that of sold shared and the price comes down.

Seems a similar pattern following the last fund raising at 1.9 - 2.1p ranges.

Just hope it follows the same pattern once it settles down

4.5 million delayed trade from yesterday just showed up

Only 3 trading days left until the Energy & Power meeting.

What can be higher on their agenda than own coal v continue to import unaffordable coal. ?

😂

I believe that Sunday/ Monday we may see a mention in the press following Sunday’s meeting. It’s far to important an issue to delay any further

Now fully loaded, so let the games continue, I’ll be holding tight until at least £2.50, picked a few more tokens today.

GL to all LTH , hopefully next week will see a move towards 15-20p

Notes

27 Nov 2018 07:00

RNS Number : 5530I

GCM Resources PLC

27 November 2018

· The equity holdings of the coal mine and power plants generating 4,000MW shall be agreed in a future Joint Development Agreement;

RNS Number : 4075N

GCM Resources PLC

17 January 2019

Under the terms of the JV Agreement, GCM shall be the lead party on a newly created joint venture company ("JVC") to own the Power Plant. Subject to a mutually agreed valuation of the Power Plant and investment appraisal, the Company will be entitled to an 80% interest in the Power Plant, with POWERCHINA receiving the remaining 20%. The salient roles and responsibilities of each party are:

· GCM shall be responsible for obtaining the necessary approvals from the Government of Bangladesh and facilitate preparation of the Environmental Impact Assessment;

RNS Number : 0138M

GCM Resources PLC

09 January 2023

· GCM, POWERCHINA, and DYANI, shall:

o  Participate in the Solar Project with the interests, rights and liabilities of the Parties within the Solar Project be in the following percentage proportions:

§ GCM Resources plc 50 %

§ PowerChina International Group Limited: 20 %

§ Dyani Corporation Limited: 30 %

o  GCM's roles and responsibilities shall include

§ Facilitate to obtain all requisite licenses and approvals/ permits from Government of Bangladesh,

§ Assist and Coordinate residents' resettlement, infrastructure replacement and land acquisition,

§ Facilitate Powerchina to raise debt finance,

§ To provide technical input and assistance for the Project's feasibility study report,

§ Provide details of Mining Project power requirements and land availability schedule,

China Nonferrous Metal Industry's Foreign Engineering and Construction Co. Ltd ("NFC"), one of our Key Development Partners, have confirmed they are moving to resume a normal working status and that they are gearing-up to make progress on commitments for coal mine development as set out in the Framework Agreement signed between the parties on 15 October 2020.

RNS Number : 6113S

GCM Resources PLC

17 March 2021 

Power Construction Corporation of China, Ltd ("PowerChina"), have additionally confirmed and re-iterated their strong commitment to the Project and to making progress under the extended JV Agreements, as announced on the 19 January 2021. PowerChina are focused on working with the Company to develop the Project using the most advanced mining and power generating technology, while adhering to the strictest compliance of health, safety and environmental standards. Their stated aim is to produce clean and sustainable energy and power for Bangladesh.

Sorry DYANI not Dyson (Spell check on an IPhone)

From my notes and figures (all in RNS if you go back far enough)

The original MOU for the coal mine, GCM 80% - Power China 20%. With Power china arranging finance to GCM agreement on terms.

Thermal power plants, GCM 50%, power China 20% and Dyson 30% with the same split on the solar park. With Power China arranging the financing to all to agree terms. There is also a schedule of responsibilities assigned to each party.

Although the MOU’s have been extended and moved forward etc, I believe the split remains.

May need to recheck these as they were noted at the time of the agreements.

So should Bangla Government get involved, one would think GCM would surrender 10-15% on a free carry.

Just my take on that one.