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Tanzania Rukwa Coal To Power Project Shows Potential To Double In Size

Posted on : Tuesday , 20th January 2015

Kibo Mining PLC  has announced the results of the power pre-feasibility study for the Tanzania Rukwa Coal to Power Project (RCPP) showing the potential to expand the power station and double the current size of the project, which could be used in alternative energy-conversion technologies, such as coal to liquids.

tanzania-rukwa-coal-to-power-projectResults of the study indicate the total project cost will be between USD 640 million and USD 760 million depending on the final plant option selected.

According to the CEO of Kibo Mining, Louis Coetzee, results of the power pre-feasibility have shown the robust nature of the project with opportunities to find energy solutions to address the deficit in Tanzania.

“The purpose of the power pre-feasibility study is, in part, to identify any major technical flaws that could be project fatal. This report has confirmed no such flaws were identified,” he said, “The technical quality and financial robustness of the project were expected to be very strong, but the reports received have still exceeded expectations.”

Following the completion of the power pre-feasibility study, work is now set to begin on the power definitive feasibility study and on the creation of a financial model that will be sent to the company's independent financial and technical advisers for assessment.

The generation, transmission and distribution of electricity in the Tanzania energy sector is channeled through the Tanzania Electric Supply Company (TANESCO), which is fully owned by the government and is responsible for 98% of the electricity in the country.

The primary sources of commercial energy in the country are generated from petroleum, hydropower and coal.

Source : www.tanzaniainvest.com

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