Shares in AIM-listed Kibo Mining rose after the Tanzanian Ministry of Energy and Minerals informed the company that its Rukwa Coal to Power Project would be included as a strategic component of the government's National Energy Strategy with immediate effect.
The company reported that the Ministry of Energy and Minerals had said it would participate in procuring the establishment of the infrastructure node and confirmed its support for the development of the project to Kibo and its development partners.
It further reported that the latest status of discussions with the Tanzanian government now allows it to conclude the final selection process in respect of a development partner acceptable to the company as well as the Tanzanian government.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Louis Coetzee, Chief Executive Officer of Kibo Mining, commented: "Kibo is delighted by the strong support for the Rukwa Coal to Power Project expressed by the Tanzanian government.
"The most significant milestone in Kibo's efforts since re-admission to AIM is undoubtedly the inclusion of its flagship project in the government's National Energy Strategy," he said.
Kibo Mining was established in early 2008 to explore and develop mineral deposits in Tanzania. It has mineral assets at five projects comprising Tanzania, Morogoro, Lake Victoria, Rukwa and Pinewood.
The Rukwa project is situated close to the Mtwara Corridor, an area where the Tanzanian government has committed to significant infrastructure development and which has seen recent multi-million dollar investment in coal and coal-fired power stations and uranium exploration.
Kibo's share price was up 1.15% to 0.44p at 11:20 on Monday.
MF
-
Trump wants to colonise Mars – will it happen?Donald Trump wants to plant the US flag on Mars. Could humans really live there?
-
Klarna postpones US IPO as Trump's tariffs rattle marketsBuy-now-pay-later lender Klarna has postponed its US initial public offering owing to the market turbulence. It is not alone, says Matthew Partridge
