26th Nov 2013 11:36
LONDON (Alliance News) - Edenville Energy PLC Tuesday said it intends to progress its Rukwa Coal Project towards development with the aim of supporting a 100 megawatt power station supplying energy to Tanzania's proposed new power grid.
The coal-focused African energy firm said the development comes after the government of Tanzania showed commitment to begin construction of the country's main power grid during 2014.
The company said that construction of the Western Power Line between Mbeya and Sumbawanga is now expected for completion earlier than expected, during 2016.
Edenville said its recent scoping study showed that it was commercially attractive for Edenville to build a small power-generation facility, but the accelerated progress of the Western Power Line gives Edenville the opportunity to move towards development of a larger power station, utilising the company's entire coal resource.
The company said it is now in discussions with parties over the development of the project, including potential Asian partners.
Edenville Energy shares were up 20% to 0.18 pence, putting it in the top five AIM movers Tuesday.
By Tom McIvor; [email protected]; @TomMcIvor1
Copyright © 2013 Alliance News Limited. All Rights Reserved.
Related Shares:
EDL.L