Kibo Mining (LON:KIBO) has passed another milestone in the development of its coal-fired power plant project at Mbeya in Tanzania with completion of the coal deposit’s geo-technical study.
This was a mission-critical part of the feasibility study, Kibo said, as it confirmed the ground conditions in and around the final pit position.
In turn, this determines the final slope angles in the pit design, which are an “absolute pre-requisite for final and detailed mine design”.
The latest study confirmed the proposed slope angles of the pit walls were safe, had scope to be improved and confirmed the decision not to divert the local river was viable.
The next step at the project will be to restate the coal reserves at Mbeya.
Louis Coetzee, Kibo Mining‘s chief executive, said the geo-technical work further bolstered Mbeya’s considerable financial and technical substance.
“This will stand us in good stead during the coming weeks when we work on finalizing the power purchase agreement and other commercial agreements associated with the MCPP."
KIbo plans to build a 350 megawatt (Mw) thermal power station at Mbeya using coal sourced from its adjacent Rukwa deposit.