Aviva Corporation, the Australian listed energy focused outfit said it has been stunned beyond belief┬áby the huge potential of┬áMmamantswe project in Botswana, adding that its┬áreserves gives it an upper edge since ┬áthe type of coal it has is the one which is┬áglobally┬ásought after.
The┬á company which has been scouting coal in Mmamantswe ÔÇösome 100 kilometres┬áfrom GaboroneÔÇö just┬á off the Francistown- Gaborone Highway reported huge reserves to the tune of┬á895 million tonnes┬á earlier in the year.
“To achieve almost 70 percent┬áconversion from resources to reserves exceeded our expectations,” Aviva Corporation’s Chief Executive Officer, Lindsay┬áReed said.
“The strong reserve position, together with an 8Gl per annum water resource and outstanding infrastructure confirms Mmamantswe as a very attractive fuel source for an Independent Power Project.”
Information filed with the┬áAustralian Stock Exchange┬áindicated that the recent Scoping Study completed by SRK showed the Coal Reserve could support 2000MW of power generation for 40 years at a low stripping ratio of 1.0:1 (bcm/t).
“The low stripping ratio and a low sulphur content of 0.38 percent are significant┬áadvantages for the Mmamantswe deposit,” the┬ácompany said.
The Perth-based energy producing┬ácompany┬áis┬átri-listed on the Australia, Botswana and London┬áStock Exchanges.
The company aims to be one of the trail blazing┬áindependent Power Producers in BotswanaÔÇö an operation that been reserved for government entities until recently.
The Mmamantswe deposit ÔÇô near MochudiÔÇö is a resource of┬á1 billion tonnes with an estimated reserve of 895 tonnes of coal.
The Mmamantswe concession areaÔÇö- which is some 110 kilometres north of Gaborone ÔÇö fell into the hands of┬á Mawana Minerals (Pty) LimitedÔÇöa company owned by the late Paul Ramaloto and his family in┬á 2006 after the discoveries made┬á by BP in the 1980s.
He┬álater invited Aviva Corporation to a joint venture that would see the Australian company owning 90 percent subject to the fact that it covers full financial budget for prospecting up to a bankable feasibility study.
So far,┬áavailable record┬áfrom Department of┬á Geological Survey indicate that the┬á area has two different types of coal, ÔÇö similar to that at Matimba and Grootguluk mine┬á in South Africa at a depth of┬á 70 meters. Deeper┬áthan that, the company also has coal with similar rock characteristics to that of Morupule and Mmamabula.
Aviva comes at a time when the country is┬áestimated to be having coal resource of┬á200 billion ÔÇô enough to supply the power hungry┬ásouthern African region which is┬áat the initial stages of industrialisation.
“Aviva has now completed all the requisite technical studies to apply for registration of Mmamantswe Project as a sub-project of Botswana Power Corporation. Registration as a sub-project of a utility is a requirement for access to the Southern African Power Pool (SAPP) network,” the┬ácompany said.