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Monday, May 1, 2023
In its Q1 update, Tlou Energy reports that the construction of the 100-km 66kV transmission line of the Lesedi Gas to Power Project is nearing completion at approximately 64%, with planting of wooden poles almost complete, steel pole structures now being erected, and over 20 km of line stringing complete and expects this phase of the project to be complete by mid-2023.
The first electricity to be generated at Lesedi, will go towards satisfying the 10MW PPA with Botswana Power Corporation (BPC) the national power utility. Tlou is among the first independent power producers to secure a power purchase agreement with the utility.
To this end, the Lesedi project currently has several parts of the development process underway in addition to the construction of transmission lines, including substations, a field operations facility and generation site as well as production well drilling. Tlou has provided additional updates on these phases as well.
Substation Construction
Substations are required at either end of the transmission line, one to tie Tlou’s generators to the transmission line at Lesedi and another to integrate the line with the existing BPC substation at Serowe. This work will be led by South African based OptiPower, a division of Murray & Roberts Ltd. The pre-construction and design works have been completed and physical construction of the substations is scheduled to begin very soon with the project anticipated to be completed in early 2024.
Lesedi Operations Facility
Work has advanced on a purpose-built operations facility for the initial 10MW development and to allow for project expansion thereafter. This project is being undertaken by Tlou through its consultant contractor African Gas Services (AGS).
Drilling and Gas production
The Lesedi 4 production pod continues to produce gas. A key focus in the coming year is to drill more production wells for the 10MW project.
Post quarter end, the Company began drilling the Lesedi 6 production pod. Lesedi 6 is planned to be the first of a series of new pods, funds permitting, that the Company will drill as part of the 10MW gas to power project. Lesedi 6 will comprise one vertical production well intersected by two lateral wells drilled horizontally through the target reservoir section for several hundred meters.
Tlou Energy’s full Q1 update can be found here.
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