Business
Edenville Energy Strategy Update
Edenville Energy Strategy Update.
About this update from Shuka Minerals Plc
[{"type":"text","content":"\n \nRNS Number : 8907T Edenville Energy PLC 26 November 2013 \n \n\n \n26 November 2013\nEdenville Energy plc\n('Edenville' or 'the Company')\nEdenville Strategy Update\nEdenville Energy plc, the African coal exploration and development company, today announces its intention to progress its Rukwa coal project towards development with the aim of supporting a power station capable of producing at least 100MW of electricity, supplying energy directly into Tanzania's proposed new power grid. This development follows recent indications by the Government of Tanzania of its commitment to begin construction of the country's main power grid during 2014. \nDeveloping the Edenville Project \nTanzanian governmental organisations have indicated the construction of the 'Western Power Line' between Mbeya and Sumbawanga, forming part of the new grid system, will commence in 2014. Construction of this section of the grid is expected to be completed during 2016, which is earlier than previously anticipated. Edenville's Rukwa coal deposit has the potential to support the build of a 100MW plus coal-fired power plant, with its size, quality of coal and location, to supply electricity to the Sumbawanga-Mbeya power line. \nThe previously announced Scoping Study completed in September 2013, by Sound Mining Solutions of South Africa, indicated it was commercially attractive for Edenville to build a small power generation facility which would operate independently of the main grid and utilise only a small proportion of the Company's much larger overall coal resource. However, the accelerated progress of the 'Western Power Line' gives Edenville the opportunity to move towards development of a larger power station, utilising Edenville's entire coal resource, which would feed directly into the new grid infrastructure. \nEdenville Strategy\nThe management team is currently in early stage discussions with potential partners from Asia with relevant experience and expertise to develop the project. These potential partners are highly experienced in the feasibility, construction and funding of projects similar in scale to Rukwa, and using a similar quality of coal to that defined in Edenville's Rukwa deposit in the March 2013 JORC compliant resource estimate. \nDiscussions are underway with qualified engineeri...