Member Info for Lekka

Additionally, Botswana’s Ministry of Mineral Resources, Green Technology and Energy Security invited the Company to the opening of the financial bids, being the third and final section of review of the Company’s CBM gas-to-power tender submission (as per the market announcement on 10 October 2018). At the meeting it was stated that an outcome from their assessment of tender submissions is expected in the coming weeks. The exact timing is difficult to forecast due to the independence and innate complexity of the government run process.

TLOU is pleased to confirm that it has successfully completed an equity placement to Sophisticated Investors totalling approximately AUD$1.2 million (approximately £0.65 million).
Highlights
• Placement has been completed at AUD$0.10 per share, approximately a 5% premium to the closing ASX share price on Friday, 5 April 2019 of $0.095
• Funds have been raised from long-term existing shareholders
• The shareholders have agreed to the voluntary escrow of the shares for a period of 12 months

TLOU is pleased to confirm that a new prospecting licence has been issued to the Company by the Government of Botswana.
Highlights :
 The new licence, designated “Boomslang” is located on‐trend with the Lesedi CBM Project, where
independently certified gas reserves are already in place;
 The Boomslang area is considered highly prospective and provides significant potential
development flexibility;
 The licence covers ~1,000 Km2 , bringing the total licence area held by the Company to ~9,300 Km2
.
New CBM Prospecting Licence awarded
The Company has been awarded a new coal bed methane prospecting licence by the Department of
Mines at the Ministry of Mineral Resources, Green Technology and Energy Security in Botswana. The
new licence, PL011/2019 designated “Boomslang” is valid for an initial term of 3 years. The licence area
is approximately 1,000 Km2 and is situated adjacent to the Company’s existing licences. The Boomslang
area is located on‐trend with the encouraging results observed to date at the Lesedi project and is
considered to be highly prospective.
With initial development operations ongoing at the Lesedi gas field, the award of the adjacent
Boomslang area along with the Mamba area provides the Company with further flexibility and
optionality.

Found this when searching for Sekaname (Pty) Ltd.

https://www.ecosurv.com/sites/default/files/BACKGROUND%20INFORMATION%20DOCUMENT%20TO%20STAKEHOLDERS.pdf

Of interest?

....as the MMs' try to encourage sales today, what would the SP be at the end of the first trading day should TLOU get 50% of the tender?

My guess is 16p !

All I can find is that Orapa is dual fueled/fired by diesel or gas.

A couple of years ago it was waiting for connection to a gas supply, nothing found to suggest the project was completed.

My guess is that until we know what Sekaname (a private company) has in respect of mining licences/certified CBM resources etc. that are comparable to TLOU's we can expect a favourable tender result.

As an afterthought, can anyone confirm that Orapa is using CBM or is the project still on-going?

Sorry Olda, Superjim points out that it was from 2015 (see post at 9:39).

I was trying to clarify what Zippytrader posted at 9:23.........apologies for confusing anyone.

All below from 8 May 2015!

Ocean Ridge is a citizen-owned company. According to previous BPC estimates, converting the Orapa plant from diesel to gas could save up to 60 percent of operating costs in the long term. Experts say initially, the infrastructure costs of developing and supply gas to Orapa would limit the initial cost savings.

“However, in the long term, gas would always be preferable to diesel, in terms of costs,” an analyst told BusinessWeek. This week’s tender was open to international bidders, after an initial one floated last year and made exclusive to local companies.

However, procurement insiders say the fact that no external bidders participated, would give government an idea of the uniqueness of CBM development. “With the latest tender, a bidder could have come in saying ‘I can bring in gas from Siberia,’” said an analyst.

“The fact that none did shows you the economics of gas development and that supplying to Orapa will require a local company. You cannot afford the cost of bringing gas across the border.”

Four bidders race to convert Orapa power station

Four local natural gas developers were on Wednesday unveiled as the front-runners to convert the 90-megawatt Orapa power station from diesel to gas, a contract that could potentially lead to a multi-million Pula power purchase agreement in future.
ByMBONGENI MGUNI Fri 08 May 2015, 15:27 pm (GMT +2) 0 Comments Email Share
: Orapa power turbines currently run on diesel
Expand this Image

Under the Expressions of Interest tender opened this week, one of the four bidders could supply the Orapa power station with natural gas on a trial basis, as a means of testing the plant’s conversion.

At present, Orapa, an emergency plant for periodic shortages, consumes 17, 000 litres of diesel per hour at its two turbines. The Botswana Power Corporation (BPC) often runs the plant at its full 10-hour cycle due to perennial electricity shortages and the station is among the drivers of the utility’s annual multi-billion Pula subsidies.

Chairing the tender opening this week, PPADB board secretary, Masingoaneng Ramodimoosi, revealed the four bidders as Tlou Energy, Sekaname Pty Ltd, KS Energy and Ocean Ridge Pty Ltd.

“The Ministry of Minerals, Energy and Water Resources will assess the responses and make an appropriate recommendation to the Board on the way forward,” PPADB public relations and education manager, Ditapole Chibua-Tsheboeng told BusinessWeek. Led locally by former MMEWR permanent secretary, Gabaake Gabaake, the Australian Securities Exchange-listed Tlou Energy boasts of being “one of the most advanced Coal Bed Methane projects” in Botswana.

The developer has one of the few independently certified resources in the country’s emerging gas sector, with holdings of approximately 2.3 trillion cubic feet in the Central District. The company recently inked a deal with General Electric for a “gas to power solution” in relation to the Orapa power station and a proposed 300MW gas-fired power station elsewhere in Botswana.

Two other bidders, KS Energy and Sekaname Pty Ltd, were formerly partners in the joint venture that was awarded the operation and maintenance contract for

the Orapa power station in July 2008.

Sekaname – which trades as Kalahari Energy – and Tuten, a Turkish energy developer, were also contracted to build and supply a 180MW gas-fired power station for the BPC at Mmashoro.

The two developers hold leases over thousands of square kilometres of rich gas fields in eastern Botswana. Ocean Ridge, on the other hand, has nine CBM exploration licences near Orapa, which spill over into Debswana’s mining lease area.

The licences measure 5,357 square kilometres and thus far, the four-year-old company has drilled more than 6, 000 metres of samples.

Just to clarify:

PPADB board secretary, Masingoaneng Ramodimoosi, revealed the four bidders as Tlou Energy, Sekaname Pty Ltd, KS Energy and Ocean Ridge Pty Ltd.

“The Ministry of Minerals, Energy and Water Resources will assess the responses and make an appropriate recommendation to the Board on the way forward,” PPADB public relations and education manager, Ditapole Chibua-Tsheboeng told BusinessWeek. Led locally by former MMEWR permanent secretary, Gabaake Gabaake, the Australian Securities Exchange-listed Tlou Energy boasts of being “one of the most advanced Coal Bed Methane projects” in Botswana.

The developer has one of the few independently certified resources in the country’s emerging gas sector, with holdings of approximately 2.3 trillion cubic feet in the Central District. The company recently inked a deal with General Electric for a “gas to power solution” in relation to the Orapa power station and a proposed 300MW gas-fired power station elsewhere in Botswana.

Two other bidders, KS Energy and Sekaname Pty Ltd, were formerly partners in the joint venture that was awarded the operation and maintenance contract for the Orapa power station in July 2008.

Realised my post was rather curt dvh, so sorry! ;>)

Feel the lack of an update means the 'large' customer will forego the first quarterly payment in 3 months but could call on stock any time before 1st June and only pay difference between pre-paid amount and actual price.

Am I being clear/correct?

RNS Number : 7001Q Strategic Minerals PLC 07 June 2018

SMG has agreed the following arrangements in relation to the Contract:

-- The Client is to pay, quarterly in advance, a non-refundable prepayment of US $375,000 against future deliveries (payments are due in June, September and December 2018)

-- The minimum 4,000 tons per month sales requirement, currently stipulated in the Contract, will be suspended until 1st MARCH 2019, offset by the US $375,000 quarterly prepayment

Like accuracy dvh!

Tlou Energy has drilled all six wells which comprise the Lesedi 3 and Lesedi 4 development pods (each
pod comprising one vertical production well and two lateral wells) as part of the recent field drilling
program. The drilling program was carried out efficiently and safely as a result of the excellent work of
the field personnel. The Lesedi 3 and 4 development pods are located adjacent to the Company’s
proposed central gas gathering and power generation facility. This is in a geological region that has
intersected a gassier trend based on an extensive geological review of the sub-surface using all
available geological and production data to date.*
Prior to starting the program, the Company purchased a significant amount of drilling equipment
which enabled Tlou to control costs and timing of the program. The net result is that the drilling
program was completed on time and in line with budget. This is a significant achievement and
demonstrates the Company’s ability to deliver a cost effective and timely program in the Kalahari
Desert.
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.

The two development pods (comprising three wells in each pod) have been completed and are
de-watering prior to controlled gas being produced;
? Strong gas indications were observed while drilling and initial water flow is similarly very
encouraging;
? All wells in the current program have now been drilled with expenditure to date in line with
budget.

Hope to hear shortly that the FE will take weeks not months!

.....Approved:

The Botswana Public Procurement and Asset Disposal Board (“PPADB”) approves the request
from Ministry of Mineral Resources, Green Technology and Energy Security (MMGE) to open
the financial proposal in relation to the Company’s gas to power tender;
Tlou has now received confirmation of the PPADB decision to approve the Ministry’s request to open
the Financial Proposal in respect of Tlou Energy Limited and Sekaname (Pty) Ltd which both submitted
proposals for the 100 MW project and which achieved technical scores of 89.8% and 86.4% respectively
in the tender.
The Company looks forward to a positive decision on its Financial Proposal (the final stage of the RFP
process) in due course.

The two 1m trades look like a roll-over/bed 'n ISA to me!

From RNS 7 June 2018:

"The Client is to pay, quarterly in advance, a non-refundable prepayment of US $375,000 against future deliveries (payments are due in June, September and December 2018)

The minimum 4,000 tons per month sales requirement, currently stipulated in the Contract, will be suspended UNTIL 1 March 2019, offset by the US $375,000 quarterly prepayment"

Should we not have information regarding this agreement by now?