Edenville awarded mining licence over Rukwa
JOHANNESBURG (miningweekly.com) – The Tanzania Energy and Minerals Minister Sospeter Muhongo has awarded a mining licence for Tanzania-focused miner Edenville Energy’s Rukwa coal-to-power project.
The mining licence would be formally released to Edenville later this month, following the completion of certain minor administrative tasks.
"We are delighted that the mining licence for our Rukwa coal deposit has been granted. We would particularly like to thank Minister Muhongo and his Tanzanian government colleagues for the help and support they have provided.
“They have expressed the strong desire to see Edenville start producing coal in the second half of this year and have indicated their full support to progressing our coal-to-power project to completion," said Edenville CEO Rufus Short.
The company had agreed on a work programme with engineering, procurement and construction company Runh Power to advance the Rukwa coal-to-power project during the first quarter of this year.
The work programme sought to expand on the Rukwa power plant feasibility study from last year, aimed at generating a definitive technical study and financial model underpinning power purchase agreement negotiations with the Tanzanian government and advancing financing options with suitable institutions.
The 173-million-tonne coal resource is expected to be sufficient to support the proposed 120 MW power station.
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