TLOU Energy Ltd (LON:TLOU) shares rocketed on Friday as it landed an interim power purchase agreement (PPA) for its coal bed methane fuelled gas-to-power project in Botswana.
The company said that the interim PPA had been agreed with the Botswana Power Corporation (BPC) and is now undergoing final regulatory formalities.
It added that the commercial terms remain confidential, at BPCs request.
In a statement, TLOU described the move as a “major step forward” as it will facilitate connection to the power grid and the companys first revenues.
TLOU noted that it remains in talks with potential project finance partners, who had been waiting to see whether the PPA would be secured.
“A pathway to revenue generation is key for financiers and once connected to the grid, expansion of the project (and thereby increasing revenue) is seen as a relatively straightforward and largely de-rRead More – Source