Tlou Energy Limited (TLOU) , a coal bed methane developer focused on delivering power in Botswana, has released operational reports for its Lesedi and Mamba CBM Projects for the last quarter of 2018. Both projects are 100% owned by TLOU.
The Lesedi project in Botswana, covering approximately 3,800 km2, has begun drilling operations with “excellent progress to date.” Top-hole drilling at the Lesedi wells began in early December of last year and is set to be the company’s first gas-to-power project.
Moving forward, TLOU has submitted renewal applications for two of its four prospecting licences for the Lesedi project, characterized as the “focal point for the company’s operations.”
The update also includes the Mamba Project Area, consisting of five coal and CBM prospecting licenses, which covers around 4,500 km2. As the Mamba area is adjacent to the proven Lesedi project, and has been on-trend with encouraging results so far, it is being considered “highly prospective.”
In the final months of 2018, TLOU also submitted a Request for Proposal (RFP) for the development of CBM fuelled power plants in Botswana, establishing the company as an Independent Power Producer.
According to TLOU’s estimates, a successful RFP could generate a new Botswanian CBM gas industry and “create a new market for Tlou's independently-certified gas reserves of ~41 billion cubic feet (2P), ~427 billion cubic feet (3P) and significant contingent gas resources of ~3 trillion cubic feet (3C). “
The company has also submitted an Environmental Impact Assessment for a downstream development of a power generation facility and transmission lines. Receiving approval for this EIA would greatly ease the implementation of this power generator ambition.
Get up to date with all our coverage of TLOU and their CBM projects: "Operational Report Displays Tlou's Big Plans in Botswana"; "Tlou Energy Begins Drilling in Coal Bed Methane Project"; "Tlou Energy Reports "Making Excellent Progress and On Budget" At Lesedi CBM Project"