AMN - TANZANIA: Study for Ngaka mine-mouth power station

Sinohydro Corp has released the Commercial and Technical Feasibility Study for the Ngaka mine-mouth power station project. The financial evaluation is expected to be released in early October 2016. The study identifies the potential for a commercially viable power station based on the following parameters:

-       Capacity 270 MW consisting of 2 x 135 MW Pulverised Coal Injection (PCI) Boilers with super high pressure and natural circulation

-       Location 80 km northwest of Songea City, 46 km to the east of Lake Nyasa, 1100 km from Dar es Salaam and 900 km from Mwtara

-       Operation designed as Base Load

-       Environmentally designed with flue gas desulphurisation, waste water treatment, ash and noise control to meet all World Bank and IFC Guidelines

-       Maximum coal consumption is 1,215,000 tonnes/year

-       Power Station site to be 7 km from the North Ngaka mine site and 4 km from Ruhuhu River, initial transport of coal by truck

-       Coal stockyard capacity 105,000 tonnes, equivalent to approximately 30 days’ supply

-       Construction period estimated as 33 months from financial closing.

According to Intra Energy Corp chairman Graeme Robertson: “This represents a great opportunity for Tanzania to develop its first base load electricity generation based on the high quality Ngaka thermal coal which allows the use of PCI technology, generally a cheaper and more effective technology than the Circulating Fluidised Bed systems applicable to the high ash coal sources in other parts of Tanzania".

Transmission, which has not been included in the study, will be by via a double circuit 220 kV to Madaba, a distance of 100 km, which will then link up with the national grid at Mufindi. Coal mining and supply will be the role of Tancoal on a long-term contractual basis to the developers. Acting IEC CEO, Mark McAndrew, who has extensive experience in coal mine planning and development, has already implemented mine development plans. Tancoal itself already supplies the industrial market from its South Ngaka mine and is unique in Tanzania as one of the only mines managed entirely by Tanzanians to international standards to benefit Tanzanian development.

The Ngaka coalfield hosts an open-pit resource of 423 million tonnes to JORC standard.

www.intraenergycorp.com.au

News courtesy of International Mining