African Energy eyes Botswana’s 300 MW tender

african energy. picAustralian company-African Energy says it will participate in the latest tender that seeks expression of interest from independent power producers to build a Greenfield power station aimed at solving power difficulties in Botswana.

The Ministry of Minerals, Energy and Water Resources (MMEWR), on behalf of the Government of the Republic of Botswana has released a Tender Notice and Invitation for Expressions of Interest (EOI) for the development of a greenfield 300MW coal‐fired power station.

“The key aspects of the Tender Notice and African Energy’s intention to submit its EOI are as follows: The EOI seeks information on how a preferred Independent Power Producer (IPP) could develop a 300MW coal‐fired power station at a completely new (i.e. greenfield) site in Botswana. The EOI seeks information from those projects that could deliver power into the grid as early as 2016, and no later than 2019,” said African Energy.

African Energy’s proposed 300MW project is to be located at the Company’s Sese coal project, with coal supply from Block‐C. The deadline for submissions is 27th November 2013 and, while MMEWR expects to determine its IPP procurement process from January 2014, it has indicated that the information provided may allow it to identify projects that could be engaged earlier.

The release of the EOI provides a definitive timeline for completion of project joint venture negotiations and preparation of project development, financing and construction arrangements.

African Energy has also expressed its interest to build a power station to supply Eskom with electricity from its Sese Coal project.

The decision follows developments in South Africa when in 2012, in support of its Integrated Resource Plan for Electricity 2010‐2030, the country added close to 11,000MW of new generating capacity to its forward procurement programme.

“Of this, 2500MW has been reserved for base‐load coal‐fired generation, including domestic and imported energy from Independent Power Producers.  AFR has registered its interest in supplying 300MW in conjunction with a South African BEE partner,” revealed the company.

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