Kibo Mining (LON:KIBO) has been issued with three new licences in Tanzania next to its Rukwa coal deposit.
Rukwa is the fuel source for a proposed 350 megawatt (Mw) thermal power station development at Mbeya and the three new licences are immediately north, south and east.
In the short term, they will further enhance the bankable feasibility study and subsequent development of the project as well as providing longer term exploration potential.
Louis Coetzee, Kibo Mining’s chief executive, said that in strategic terms the new licences highlighted that the power plant can ultimately be expanded to 1,000Mw and allayed any long term fears about the price the power station will have to pay over the long-term to fuel the power plant.
“It also demonstrates the Tanzanian Government's on-going support for and acknowledgment of the strategic importance of the MCPP [Mbeya]."