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RNS Number : 1317V
Kibo Mining Plc
19 July 2018
Kibo Mining Plc (Incorporated in Ireland)
(Registration Number: 451931)
(External registration number: 2011/007371/10)
Share code on the JSE Limited: KBO
Share code on the AIM: KIBO
ISIN: IE00B97C0C31
("Kibo" or "the Company")
Dated: 19 July 2018
Kibo Mining Plc ('Kibo' or the 'Company')
Mbeya Special Mining Licence Update
Kibo Mining Plc (AIM:KIBO; AltX:KBO), the multi-asset, Africa-focused, energy company, is pleased to announce that the Mining Commission, a constituent of the Tanzanian Ministry of Mines ("MoM") responsible for the issuance of new mining licences, is ready to consider Kibo's application for a Special Mining License ('SML') for the Mbeya Coal to Power Project ('MCPP') following the inclusion of a Local Content Plan ('LCP') and the Integrity Pledge ('IP') announced by the MoM on 13 July 2018.
Separately, Kibo anticipates submitting a mining licence application in Q3 2018 for its Mabesekwa Coal Independent Power Project ('Mabesekwa') in Botswana, where it is developing a similar project to the MCPP.
Kibo's CEO, Louis Coetzee, said, "This latest development in relation to finalizing the SML for the mining component of the MCPP is most welcome as we now have a clearly defined procedure to follow under the new mining act in order to finalize our existing SML application. Kibo will prioritise providing the Mining Commission with the LCP and IP within the next two weeks, thereby ensuring that our SML application is fully compliant and ready for review. With the LCP and IP regulations now clearly defined and in place there are no outstanding components to the SML application, however in any event Kibo has always been compliant with almost all of the LCP and IP requirements, even before these became statutory requirements.
"I'd very much like to extend my gratitude to Kibo's staff for all the hard work done over the past few months, enabling us to enter the final stages of preparation to submit a mining licence application for the Mabesekwa project as well. We are optimistic that both licences shall be approved expeditiously although it should be noted that following submission the progress of the process is not within Kibo's control."
Further Information
An LCP requires that the first consideration should be given to procurement and use of services and goods produced and manufactured in Tanzania and in employing and training staff, priority should be given to qualified Tanzanians, whilst the IP is a formal and concrete expression of commitment to abide by ethical business practices and support a national stand against corruption. Kibo is focused on fast-tracking the delivery of this information.
SML's are awarded to projects with a capital expenditure requirement in excess of $100 million, following production of a positive feasibility study and meeting all other criteria. They are issued for the life-of-mine, which in Mbeya's case is 25-32 years. The SML will be subject to a comprehensive Mining Development Agreement with the government. On receipt of the SML, the Company can exploit the 121 Mt Coal Resource at the MCPP as part of its strategy to construct a 300MW mine-mouth coal fired power station, which could be expanded to 1000MW.
Kibo also anticipates submitting a mining licence application in Q3 2018 for its Mabesekwa Project in Botswana, which has a SAMREC compliant 303Mt coal Resource and where the Company hopes to construct an integrated power project.
**ENDS**
This announcement contains inside information as stipulated under the Market Abuse Regulations (EU) no. 596/2014 ("MAR").
For further information please visit www.kibomining.com or contact:
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| Louis Coetzee |
[email protected] |
Kibo Mining Plc |
Chief Executive Officer |
| Andreas Lianos |
+27 (0) 83 4408365 |
River Group |
Corporate and Designated Adviser on JSE |
| Ben Tadd / Tom Curran |
+44 (0) 20 3700 0093 |
SVS Securities Limited |
Joint Broker |
| Jon Belliss |
+44 (0) 20 7399 9400 |
Novum Securities Ltd |
Joint Broker |
| Andrew Thomson |
+61 8 9480 2500 |
RFC Ambrian Limited |
NOMAD on AIM |
| Isabel de Salis / Priit Piip |
+44 (0) 20 7236 1177 |
St Brides Partners Ltd |
Investor and Media Relations Adviser |
Notes to editors
Kibo Energy plc is a multi-asset, Africa focussed, energy company positioned to address the acute power deficit, which is one of the primary impediments to economic development in Sub-Saharan Africa. To this end, it is the Company's objective to become a leading independent power producer in the region.
Kibo is simultaneously developing three similar coal-fuelled power projects: the Mbeya Coal to Power Project ('MCPP') in Tanzania; the Mabesekwa Coal Independent Power Project ('MCIPP') in Botswana; and the Benga Independent Power Project ('BIPP') in Mozambique. By developing these projects in parallel, the Company intends to leverage considerable economies of scale and timing in respect of strategic partnerships, procurement, equipment, human capital, execution capability / capacity and project finance. Additionally, the Company will benefit from its robust and experienced international blue-chip partnership network across its project portfolio, which includes: SEPCO III (China), General Electric (USA); Tractebel Engineering (Belgium); Minxcon Consulting (South Africa); ABSA / Barclays Africa); and Hogan Lovells International LLP.
Johannesburg
19 July 2018
Corporate and Designated Adviser
River Group
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