Name of the Project
Rukwa coal-to-power project (RCPP).

Location
Tanzania.

Project Owner/s
Edenville Energy.

Project Description
A feasibility study completed on the project has indicated an economically sound project with a 30-year, 120 MW coal-fired power plant. There is the possibility that the power plant could be scaled up to 300 MW.

The Rukwa coalfields comprise the Mkomolo, Namwele and Muze deposits.

The project hosts 173-million tons of measured and indicated coal, sufficient to support the station over the life of the project.

Output has been estimated at 10 000 t a month.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
Independent power modelling consultancy Diamond Energy has completed a new financial model for Aim-listed Edenville Energy’s RCPP.

The new financial model builds on and validates the results and integrity of the financial model compiled from the results of the 2015 power plant feasibility study.

It has resulted in a 14% increase in the project’s pretax net present value to $252-million, from the previous estimate of $220-million, while the internal rate of return has improved to 23.4%, compared with 23.1% in the 2015 study.

Capital Expenditure
The capital expenditure to deliver a combined mine and 120 MW power plant is estimated at between $180-million and $200-million.

Planned Start /End Date
Not stated.

Latest Developments
The majority of the planned plant upgrades at the RCCP have been completed.

One of the key upgrades was further modifications to the prescreen, which had been installed in January 2019.

The initial introduction of the prescreen, which removes hard to process material, such as fine coal, has resulted in a lower use of consumables, such as, in the main plant, such as magnetite.

Going forward, Edenville will also ensure the more efficient sorting of material prior to its entering the main wash plant circuit, which has the potential to provide more coal for washing and a cleaner recovery as it travels through the plant.

With this in mind, Edenville will process sections of the existing fines stockpiles, thereby recovering a significant amount of coal that can be washed.

Additionally, the company has introduced a coal sizer at the start of the prescreen to deal with any oversize material before it reaches the screen.

The sizer is being assembled on site and is expected to be operational in July.

A comprehensive spares package for the plant has also been put in place, with additional purchases made. These parts are now either on site or due for delivery in the near term, which Edenville has said should help to prevent any significant downtime in the future in the event of machine failure.

Moreover, road access to the new northern mining area has been completed.

During June, the company plans to upgrade the road in certain areas to provide an adequate haul route from the pit to the plant.

As a result, mining is expected to start in the Northern Area in the coming weeks.

The first coal deliveries to the plant from the Northern Area are scheduled for July.

Edenville will, in the meantime, continue to mine the currently available pit area and process the existing stockpile to produce washed coal.

Edeenville Energy CEO Rufus Short has said that the upgrades have either been completed ahead of schedule or remain on track for completion next month.

Key Contracts and Suppliers
Not stated.

On Budget and on Time?
The project is on track.

Contact Details for Project Information
Edenville Energy, tel +44 20 7653 9850 or email info@edenville-energy.com.