Kibo Energy PLC (LON:KIBO) said it is making “excellent headway” at its gas-fuelled power generation plant in the UK as it gobbled up the remaining 40% stake in the project.
The company said it intended to fully acquire the Bordersley Power project back in June, but announced on Tuesday that it intends to pay 10mln shares to Bordersley's original vendors.
Kibo shares will be paid to St' Anderton on Vaal at an issue price of 5.25p per share, with trading expected to begin on or around 19 December.
The energy firm, which mostly focuses on coal projects in Sub-Saharan Africa, already owned a 60% interest in the 5-megawatt gas-fuelled plant through its subsidiary MAST Energy Developments (MED), which acquired the project for £175,000 in June.
Kibo also updated shareholders on further progress at the site, saying it had agreed the site work scope, as well as an advanced engineering, procurement, and construction solution (EPC), and a financing agreement for Bordersley's construction and commissioning, set to begin at the end of the first quarter of 2020.
Louis Coetzee, chief executive of Kibo Energy, said: "The MED/AB partnership is working well and making excellent headway towards hitting the end of Q1 2020 target to commission our 100% owned 5 MW gas-fuelled power generation plant at Bordersley.”