Sign up United Kingdom
Proactive Investors - Run By Investors For Investors

Kibo Energy cuts first-half operating losses and expands its portfolio

The Africa-focused energy group said it had raised £2.25mln through a placing and share issues during its first half
Kibo Energy cuts first-half operating losses and expands its portfolio
Kibo Energy has expanded its energy project footprint outside of Tanzania in recent months

Kibo Energy PLC (LON:KIBO) has reported a significantly reduced first-half operating loss and said the company has made good progress in expanding its portfolio and had solidified its position in the African energy market.

The Africa-focused energy group on Friday said that during the six months to the end of June, it had expanded its energy project footprint outside of Tanzania with the acquisition of the Mabesekwa Coal Independent Power Project in Botswana and a joint venture on the Benga Independent Power Project in Mozambique. The company added that it was confident that the Tanzanian government would support its Mbeya Coal to Power Project.

READ: US industry giant GE to help Kibo develop its energy projects in Africa

The AIM-listed firm said its first-half operating losses fell to £1.33mln from £2.37mln a year earlier. It added that it had raised £2.25mln through placings and share issues to settle outstanding balances on its forward payment facility, which will provide stable funding for the on-going work on existing projects and costs associated with its new acquisitions during the first half of 2018.

The company, which recently changed its name from Kibo Mining to Kibo Energy to reflect its sole focus on energy projects, also said it had cut its loss per share by 58% year-on-year and reduced its administrative costs by 46.5% during the period.

"This has been a very active period for the company, during which we have expanded our portfolio, signed additional strategic agreements with international blue chips and solidified our position in the African energy market," said Kibo's chairman Christian Schaffalitzky.

"There is a significant and expanding opportunity in the African energy sector due to the acute shortage of power. We aim to participate in the solution and now have the Mbeya Coal to Power Project in Tanzania, the Mabesekwa Coal Independent Power Project in Botswana and the Benga Independent Power Project in Mozambique." 

Schaffalitzky added that, with the inclusion of its recent agreement with Mast Energy Developments in the UK, Kibo has further expanded its offering and successfully transformed the firm from a multi-commodity exploration company to a diversified energy development company in Africa with a broad-based platform from which to build value.

Kibo Energy's shares were 0.3% down at 4.3p in early afternoon trade.

View full KIBO profile View Profile

Kibo Energy PLC Timeline

Related Articles

June 14 2018
In April, Vast also acquired an indirect interest of 23.75% in the Eureka gold mine
September 19 2018
The board of Carube boasts several decades of copper exploration and development experience between them
worker on a hill
April 19 2018
The turnaround plan at the Drakelands mine is beginning to take effect

© Proactive Investors 2018

Proactive Investors Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use