The Tanzanian government had promised to sign a memorandum of understanding for Kibo Mining’s Mbeya coal-to-power project within 10-12 working days, Kibo said on Monday. Kibo has been waiting for two years to sign a power-purchase agreement, needed for the project to reach financial close. But it has had to wait until the Tanzanian government completed its review of public private partnerships and restructured the state-owned electricity supply company, Tanesco. Kibo CEO Louis Coetzee said a meeting was held with Tanzania’s deputy energy minister last week at which General Electric, a strategic partner in the project, was present. A timeline was agreed upon. After the memorandum, Kibo expects to finalise the power purchase deal in the first quarter of 2018. The Mbeya project consists of a 1.5-million tonnes a year coal mine in southwestern Tanzania that will supply a 250MW-300MW power plant. Coetzee said it was one of the most advanced projects in Tanzania’s generation plans. Mbeya’...
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