Government of Botswana approves EIA for 500 MW coal-fired power project

African  Energy  Resources Ltd (AFR) has announced  that  the  Department  of Environmental Affairs of the government of Botswana has approved an updated Environmental Impact Assessment (EIA) for the Sese Power Project to allow up to 500 MW of power generation and the associated coal mining and coal processing activities. 

This is subject to the standard conditions of such approvals in Botswana, including a requirement that the project be  implemented within two years.

This marks an important milestone for the project as it will allow for the development of two 225 MW units, rather than two  smaller, less efficient 150 MW units as contemplated under the original EIA approval. 

AFR owns a 35% interest in the Sese Power Project. First Quantum Minerals Ltd (FQM) is the majority owner, as the project will export power to the company's Zambian copper operations.

The partners are currently implementing the resettlement action plan (RAP) around Sese, under which 25 households have to date had their grazing rights, water bores and access trails relocated to outside the Land Rights Lease. Resettlement of a further three households is required to complete this process.

AFR and FQM are also negotiating with the Botswana Energy Regulatory Authority for a Generation and Export License for the project, and with the Botswana Power Corporation for a Grid Connection and Use of System agreement. In addition, the developers are negotiating with other credit‐worthy offtakers for the remaining 88 MW of power available  from development of the first 225MW unit at Sese.