Tlou progresses Botswana CBM-to-power project
Tlou Energy said September 13 it had almost completed line surveying to build a 66-kV cable connecting its Botswana coal bed methane assets to a proposed gas-fired power project.
Line surveying is 96% complete along the route of the 66kV cable, which is anticipated to supply up to 25MW of power to the forthcoming Lesedi power plant, from Tlou Energy's two Botswanan CBM wells. A construction tender for the cable build was awarded by Tlou on March 15 to local engineering firm Zismo Engineering.
However Tlou experienced delays in bush clearing, line pegging and pole planting. Procurement sub-tenders have also been pushed back due to "delays with line hardware manufacturing." Nevertheless, it expects to deliver the transmission cable by its intended mid-2023 completion date.
The cable will run from the forthcoming Lesedi power plant to Tlou Energy's two CBM wells at its 100%-owned Lesedi gas field, Lesedi 3P and 4P. 3P has been temporarily shut in. Tlou has finalised data studies of the 3P well and says "further production costs" do not need to be incurred, though the well can be brought back on stream when needed.
The CBM fields are estimated to contain 252bn ft3 of proven, probable and possible gas reserves. Tlou Energy has secured an offtake deal with Botswana Power Corporation to sell Lesedi's entire 10MW second phase capacity. The second phase will cost $20mn to deliver and involves drilling new producer wells at the CBM concession, as well as further power generation units.