Kibo Initiates Diversified Production Strategy for Mbeya Coal Mine
30th March 2017
Kibo Mining plc (“Kibo” or the “Company”) (AIM: KIBO; AltX: KBO), the Tanzania focused mineral exploration and development Company is pleased to announce that the Company has decided, after careful study of the MCPP Integrated Bankable Feasibility Study (“IBFS”) results as well as latest policy changes in Tanzania, to implement a diversified production strategy for the Mbeya Coal Mine.
This strategy will see Mbeya Coal LTD develop its coal mine to produce coal for the Mbeya power plant as its primary client, with the domestic coal market as a secondary client. The Company has already engaged with the domestic market in this regard with very positive response thus far.
The Company has today issued 277,768 new Ordinary Kibo shares of €0.015 par value each in the capital of the Company (the “Settlement Shares”) to service providers in settlement of invoices for a total amount of £13,194. The Settlement Shares were issued in respect of invoices for recent geological and investor relations services to the Company and were issued at a price of 4.75p per Kibo share.
Application will be made for the Settlement Shares to be admitted to trading on AIM and the JSE AltX markets. Trading in the Shares is expected to commence on AIM and the JSE on or around Wednesday 5th April 2017 (“Admission”). On completion of Admission the Company will have 364,254,364 shares in issue.
UK Investor Show
The Company is also pleased to announce that it will be exhibiting and presenting at the UK Investor Show being held at the Queen Elizabeth II Conference Centre in London, on Saturday 1st April 2017 (9 am to 5 pm). Details on the UK Investor Show can be found on the organizer’s website: https://www.UKInvestorshow.com/. Kibo will have a stand at Stand 77, Fleming Suite and the Company’s CEO will be giving a presentation in the Miers Room (part of Fleming Suite) at 3 p.m. Investors wishing to view the Company’s corporate presentation that will be presented at the conference can do so on its website: http://www.kibomining.com.
Louis Coetzee, CEO of Kibo Mining, said: “Our decision to adopt a diversified production strategy for the Mbeya coal mine follows from the results of the Definitive Mining Feasibility Study, where we specifically investigated parallel commercial opportunities in addition to producing coal for the Mbeya power plant only, the ultimate results from the IBFS, as well as latest policy changes in Tanzania. An integrated consideration of all these aspects shows that a diversified production strategy is indeed feasible and has potential to significantly enhance the economics of the Mbeya coal mine and which could allow the mine to be put into production earlier than planned for the MCPP.