Mmamabula West power station
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Mmamabula West power station is a shelved power station in Mmaphashalala, Central, Botswana.
Location
Table 1: Project-level location details
| Plant name | Location | Coordinates (WGS 84) |
|---|---|---|
| Mmamabula West power station | Mmaphashalala, Central, Botswana | -23.609295, 26.774952 (approximate) |
The map below shows the approximate location of the power station.
Project Details
Table 2: Unit-level details
| Unit name | Status | Fuel(s) | Capacity (MW) | Technology | Start year | Retired year |
|---|---|---|---|---|---|---|
| Unit 1 | shelved | coal - unknown | 600 | unknown | – | – |
Table 3: Unit-level ownership and operator details
| Unit name | Owner |
|---|---|
| Unit 1 | African Energy Ltd (AEL) [100.0%] |
Project-level coal details
- Coal source(s): Mmamabula coalfield
Background
In 2013, African Energy Resources acquired the 2.4 billion tonne Mmamabula West coal export project in south‐east Botswana from Asenjo Energy for US$2.5 million.[1]
In March 2016, African Energy Resources signed a term sheet with an unnamed South African investment group to develop an integrated coal mine and thermal power station at Mmamabula West. In April 2016, the company said it was developing plans for a 600 MW coal plant at the site. The EIA was underway, and the company planned to submit the project to South Africa’s IPP procurement program by late 2016.[2]
In November 2016, Africa Energy Resources reported that its environmental consultants had completed the draft amendment to the Environmental and Social Impact Statement and the Environmental and Social Management Plan to include the 600 MW coal plant in addition to coal mining and processing, with plans to submit the plans to the Department of Environmental Affairs in December.[3]
The EIA was submitted in January 2017, and African Energy planned to submit the 600 MW project in the South African cross‐border IPP procurement program.[4][5][6]
An October 2018 quarterly report of African Energy Resources stated that the company was reviewing "the recently released draft update to South Africa’s Integrated Resource Plan (IRP). Whilst the revised/draft IRP continue to promote use of coal as one of the principal sources of fuel for South Africa’s power needs, the draft does not specifically address the importation of 'cross‐border' power". The company was therefore "currently seeking input from the authorities in South Africa to determine the status of the Cross Border IPP Procurement Program."[7]
A January 2019 quarterly report of African Energy Resources noted the company was in "Negotiations with potential South African partners to take a majority stake in the project."[8]
In-and-out of reporting
A 2019 Annual Report of African Energy Resources noted plans for the mine but not the power station.[9]
However, the 2020 Annual Report noted the license for the coal mine expired in September 2019, and relisted plans for a 600 MW coal plant along with the proposed mine.[10]
A January 2021 quarterly report of African Energy Resources noted the license was extended to be valid until September 30, 2022, and that the company was seeking a partner who was "prepared to buy a majority equity stake in the project as an export option for coal into South Africa." Looking ahead, it also identified the need to "Revise mining prefeasibility study to reflect Eskom power station customer requirements, a revised LOM mining schedule and updated capital and operating cost estimates; Finalise the Environmental and Social Impact Assessment submission for an integrated coal mine and power station of up to 600MW with the Department of Environmental Affairs; [and] Finalise Land Rights approvals."[11]
Although African Energy Resources' April 2021 quarterly report referenced the 600 MW power station again,[12] the July 2021 and October 2021 reports dropped the power station reference.[13][14]
The 2021 Annual Report (dated September 2021) and the African Energy Resources website (December 2021) did not include any references to a power station.[15][16] The 2022 Annual Report (dated June 2022) also did not appear to reference the power station.[17]
African Energy Limited's 2023 annual report (published October 2023) stated that the company had renewed its prospecting license and "commenced a sale process for the Mmamabula West Project."[18]
As of December 2023, the power station project appeared to be shelved or cancelled.
Ownership
Divested by way of an in-specie distribution
In October 2021, African Energy Resources' quarterly report noted the wholly owned Mmamabula West coal project was transferred into African Energy Limited. The subsidiary was spun-out of African Energy Resources as a public unlisted company, with its shares distributed on a 1 for 1 basis to existing African Energy shareholders via an in-specie distribution. The move was completed in November 2021, meaning African Energy Resources is now "exclusively focussed on copper and copper-gold projects in Australia" and no longer reports on African coal projects.[14][19]
With the business climate increasingly unfavorable for investment in coal, African Energy Resources hived off its Botswanan coal assets from its Australian parent company, which is listed on the Australian Securities Exchange. They are now held by a non-listed company, away from the sight of conscientious investors.[20]
Articles and Resources
References
- ↑ "Acquisition of 2.4 bt mmamabula west coal project," African Energy Resources, October 15, 2013
- ↑ "Developing Power Projects in Southern Africa," African Energy London 121 Presentation, April 2016
- ↑ Harleigh Hobbs, "Mmamabula West project update," World Coal, November 14, 2016
- ↑ "Investor update: power generation opportunities in southern Africa," African Energy Resources presentation presentation, February 2, 2017
- ↑ "Quarterly Report," African Energy Resources, July 31, 2018
- ↑ "Power Generation and Coal Export Project Developments," African Energy Investor Presentation, August 2018
- ↑ "Quarterly Report," African Energy Resources, October 31, 2018
- ↑ "Quarterly Activities and Cashflow Report," African Energy Resources, January 31, 2019
- ↑ "2019 Annual Report," African Energy Resources, October 14, 2019
- ↑ "2020 Annual Report," African Energy Resources, September 30, 2020
- ↑ "Quarterly Activities Report for the Period Ended 31 December 2020," African Energy Resources, January 29, 2021
- ↑ "Quarterly Activities Report for the Period Ended March 31, 2021," African Energy Resources, April 30, 2021
- ↑ "Quarterly Activities Report for the Period Ended 30 June 2021," African Energy Resources, July 29, 2021
- ↑ 14.0 14.1 "Quarterly Activities Report for the Period Ended 30 September 2021," African Energy Resources, October 29, 2021
- ↑ "2021 Annual Report," African Energy Resources, September 30, 2021
- ↑ "Mmamabula West Coal Power Project," African Energy Resources, accessed December 2021
- ↑ "2022 Annual Report," African Energy Resources, June 30, 2022
- ↑ "Annual Report 2023," African Energy Limited, October 31, 2023
- ↑ "Completion of In Specie Distribution," Listcorp, Alma Metals Limited (ASX:ALM) news, November 8, 2021
- ↑ "African Energy Resources to remove its Botswanan coal business from Australian Securities Exchange," September 11, 2021
Additional data
To access additional data, including an interactive map of coal-fired power stations, a downloadable dataset, and summary data, please visit the Global Coal Plant Tracker on the Global Energy Monitor website.
