London Stock Exchange Welcomes Tlou Energy
Tlou Energy Limited (ASX:TOU) is the leading CBM company in southern Africa. Formed in 2009 and ASX listed in 2013, Tlou aspires to supplement the energy needs of the rapidly growing southern African region through supplying clean natural CBM gas to generate new electrical energy as well as to replace existing diesel power generation.
Led by a management team with a very impressive track record, the company has significantly de-risked its flagship Lesedi CBM project in central Botswana. Botswana is one of the most dynamic economies in Africa, due in part to its strong stable government, progressive social policies and significant capital investment. Mineral extraction, principally diamond mining, dominates economic activity, though tourism is a growing sector due to the country’s conservation practices and extensive nature reserves. It is situated in the middle of the Southern Africa Development Community (SADC) and Southern Africa Power Pool (SAPP), making power distribution to the whole region highly feasible and cost effective.
Tlou flared its first gas in December 2014 with gas flow rates at levels not previously recorded in Botswana. The company has 8,300 Km2 of tenements in Botswana which are 100% owned. It has 3,295 BCF of contingent gas resources independently certified by SRK Consulting (Australasia) Pty Ltd over an area that covers less than 10% of the group’s tenements. The company is looking to book initial gas reserves in Q1 2016.
The primary objective of Tlou’s dual listing on AIM is to enhance stock liquidity and access a deeper pool of funding for its future power generation plans aimed at helping the whole SADC region cope with the current power crisis. The current power deficit within the whole of the SAPP is very large and Botswana has experienced the worst of the crisis with power cuts having become a common occurrence over recent years.
Tlou has raised £1.2 million in conjunction with the AIM Admission to enable the company to continue long term gas flow testing of three production wells at Selemo, book reserves in Q1 2016 and secure EIA approvals in advance of field development.
Tony Gilby, Chief Executive Officer of Tlou Energy Limited said: “We are pioneering the development of a natural gas industry in Botswana and with the Government’s intention to power every school, every village and every home with a reliable and clean supply source; our gas will make that dream a very achievable target”.
Tlou would also like to acknowledge the contribution of its advisors in assisting with the AIM Admission including:
• NOMAD – Grant Thornton; • UK Broker – Brandon Hill; • UK Lawyer – Memery Crystal; and • Auditor and Reporting Accountant – BDO.