Tlou Energy selected to develop CBM power plant at Lesedi

Shares in Tlou Energy bounded ahead nearly a quarter on news it has been selected to develop a coal-bed methane (CBM) power plant at its 100%-owned Lesedi CBM Project in Botswana.

It won the approval from Botswana's Public Procurement and Asset Disposal Board

"Although we always planned to expand our project beyond the 10MW initially envisaged as being fast-tracked for development, a 50MW project is five times larger than expected and a fabulous result for the company," said acting managing director Gabaake Gabaake.

"Importantly it provides more certainty to our investment case to increase our power output as we develop our field," Gabaake said in a statement.

At 11:56 BST, shares in Tlou Energy are up 21.21% to 5p.