Tlou Energy renews agreement with General Electric

AIM-listed Tlou Energy has renewed a cooperation agreement with General Electric and Australia’s IK Holdings for the delivery of a proposed gas to power solution for Botswana.

The agreement provides the framework for co-operation between the parties in relation to sharing of infrastructure and technical support for the delivery of a new 50 megawatt power generation facility, gas supply to the existing 90 megawatt Orapa power station and a proposed 300 megawatt gas-fired power project.

The company, which focuses on delivering power in Botswana and Southern Africa through the development of coal bed methane projects, said the agreement has an expiry date of 30 November and may be terminated at any time by any party.

“The agreement does not bind any party to enter into any formal commercial arrangements, however provides a framework for co-operation to finalise the respective project tender processes and approvals and the roles and commercial outcomes for each party.”

At 1025 BST, Tlou Energy shares were up 5% to 6.30p.