BPC signs CBM deal with Tlou Energy

Tlou Energy has scooped the country’s first contract to provide power from Coal Bed Methane (CBM), a deal expected to boost the development of a largely untapped renewable resource estimated to measure 40 trillion cubic feet in Botswana.

Twelve years after its establishment in the country’s eastern gasfields, Tlou Energy executives this morning signed a Power Purchase Agreement (PPA) with the Botswana Power Corporation (BPC). The deal is for the supply of 10 megawatts over a period of five years and while financial terms were not disclosed, Tlou Energy has said it expects revenues of US$10 million (P110 million) annually from the contract.