Rukwa Coal to Power Project
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Rukwa Coal to Power Project is a shelved power station in Mkomolo, Rukwa, Mbeya, Tanzania. It is also known as Lahmeyer Rukwa power station.
Location
Table 1: Project-level location details
| Plant name | Location | Coordinates (WGS 84) |
|---|---|---|
| Rukwa Coal to Power Project | Mkomolo, Rukwa, Mbeya, Tanzania | -7.0, 31.5 (approximate) |
The map below shows the approximate location of the power station.
Project Details
Table 2: Unit-level details
| Status | Fuel(s) | Capacity (MW) | Technology |
|---|---|---|---|
| shelved | coal: unknown | 120 | unknown |
Table 3: Unit-level ownership and operator details
| Owner | Parent |
|---|---|
| Edenville Power Tanzania [100%] | Shuka Minerals PLC |
Project-level coal details
- Coal source(s): Rukwa coal deposit
Background
In January 2016, miner Edenville Energy agreed on a work program with engineering, procurement, and construction company Runh Power of China to advance Edenville's Rukwa coal-to-power project during the first quarter of 2016. The work program sought to expand on Edenville’s Lahmeyer Rukwa power plant feasibility study from 2015.[1]
In February 2016, Tanzania awarded a coal mining license to Edenville Energy, which planned to invest US$176 million in an open cast coal mine at the Mkomolo area in the southwestern Tanzanian town of Rukwa. "After commencing coal mining activities in June 2016, the company plans to build a 300-megawatt power plant between 20 and 22 months after getting an environmental impact assessment certificate," the ministry said in a statement.[2]
In May 2016, Edenville said it had completed the feasibility study for the power plant at Rukwa, but said it was finding it harder than expected to raise the money needed for the project as the company reported "a wider loss during 2015 due to higher impairments."[3]
In September 2016, Edenville CEO Rufus Short said that the second stage of its environmental and social assessment would be completed in the fourth quarter of the year. If approved, the EISA would move into a third stage comprising detailed investigation and reporting. Regarding the size of the plnat, Short said, "We are reviewing all options to increase the potential of the project beyond the 120 MW power plant that was outlined in the power plant feasibility study, carried out by engineering company Lahweyer."[4]
An August 2016 investor presentation described the project as 120 MW in size.[5]
According to a February 2017 press report, Edenville Energy signed a Memorandum of Understanding with Chinese hydropower company Sinohydro Corporation for codevelopment of the Rukwa project. Under the MOU, Sinohydro would be the engineering, procurement, and construction (EPC) contractor for the project. The MOU was valid until July 19, 2018. The announcement also noted that Sinohydro had already carried out extensive review work on the project. Edenville would retain all its ownership rights and control of the coal deposit and would be responsible for the coal mine portion of the project along with the permitting and legal aspects of advancing the power plant.[6]
According to the Edenville Energy website (December 2017), the EIA for the power plant was underway, and coal mining operations at Rukwa had begun.[7] On June 25, 2018, Edenville extended the validity of its memorandum of understanding (MoU) with China's Sinohydro over the Rukwa coal project to December 2019.[8]
In October 2018, the company submitted the Request for Qualification documents for the project to the Tanzania Electricity Supply Company (TANESCO), in line with the government’s new initiative regarding the development of independent power projects.[9]
In August 2020, Edenville announced plans for coal mining at Rukwa,[10] but did not mention a coal plant. Plans for the coal plant appeared to be shelved.
In March 2021, the company noted that it was working with its strategic partner Infrastructure and Logistics Tanzania Ltd (ILTL) regarding a proposed handover of operations at Rukwa. In addition, "the company has received new East African enquiries regarding power generation capacity and is continuing discussions with the Tanzanian government regarding a future power plant development at Rukwa."[11] However, a May 2022 press release announced that Edenville has resumed full control of the site and related coal operations, after agreeing to hand operations over to Nextgen Coalmine Ltd only three months earlier.[12]
In September and October 2021, the company continued discussions with senior advisors to the Tanzanian government. Edenville noted: "The company has long held the belief that Rukwa has the potential to help address the power supply deficit within Tanzania and looks forward to continuing the discussions (...)."[13][14]
In October 2022, Edenville reported in an operational update that they had resumed mining operations.[15] The coal to power project was still included in Edenville’s corporate governance statement, which was allegedly last reviewed in January 2023,[16] but as of June 2023, there were no apparent developments on the project and it still appeared to be shelved.
In June 2023, Edenville Energy announced it would seek shareholder approval to change its company name to Shuka Resources Plc.[17] In September 2023, the company announced its new name was Shuka Minerals.[18] The Rukwa Coal Project was still included on the new Shuka Minerals website, but a power station was no longer mentioned.[19]
In Shuka’s 2023 annual report, published in June 2024, the company referred to “the planned development of a mine mouth power plant at the project site which will sell electricity to Tanesco and the East Africa Power Pool.”[20]
Financing
Edenville Energy appointed International Finance Corporation (IFC) Advisory as the financial adviser for the project.[21]
Articles and Resources
References
- ↑ "Edenville advancing coal-to-power project in Tanzania," Mining Weekly, January 11, 2016
- ↑ "Tanzania awards coal mine contract to UK firm," Reuters, February 29, 2016
- ↑ "Edenville struggles for investor backing for coal-to-power plant," Energy Voice, May 10, 2016
- ↑ "Edenville’s Rukwa project progressing into second-stage ESIA," Mining Weekly, September 16, 2016
- ↑ "Edenville Energy plc Investor Presentation," Edenville Energy, August 2016
- ↑ "China to Support Rukwa Coal to Power Project Development," TanzaniaInvest, February 7, 2017
- ↑ "Operations," Edenville Energy, accessed December 2017
- ↑ "Edenville, Sinohydro extend MoU to December 2019," Mining Weekly, June 25, 2018
- ↑ "Tanzania Receive Application for Coal-Fired Power Projects," Tanzania Invest, October 30, 2018
- ↑ "Edenville Energy announce agreement with strategic partner". World Coal. 2020-08-28. Retrieved 2020-11-10.
- ↑ "Edenville Energy provides Rukwa update," World Coal, March 3, 2021
- ↑ "Termination of Coal Mining Agreement," Edenville Energy, May 31, 2022
- ↑ "Edenville Energy provides Rukwa update," World Coal, October 11, 2021
- ↑ "Interim Results for the six months to 30 June 2021," Edenville, September 28, 2021
- ↑ "Rukwa Coal Project Operational Update," Edenville Energy, October 11, 2022
- ↑ "Corporate Governance Statement," Edenville Energy, archived June 2, 2023
- ↑ "Proposed Change of Name," Edenville Energy Plc., archived June 2, 2023
- ↑ "Change of name to Shuka Minerals Plc and new corporate website," Shuka Minerals Plc, September 1, 2023
- ↑ "Our Projects," Shuka Minerals Plc, accessed September 27, 2023
- ↑ “Annual Report and Accounts for the Year Ended 31 December 2023,” Shuka Minerals, June 26, 2024
- ↑ "EPT – Rukwa Coal to Power Plant 300 MW – Tanzania - Project Profile". www.marketresearch.com. Retrieved 2020-12-04.
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.
