Tlou project nears completion
Pauline Dikuelo | Tuesday November 26, 2024 12:13
Lesedi remains Tlou’s flagship initiative, aiming for its first power generation by mid-2025. Officials highlight its pivotal role in Botswana’s gas-to-power sector, driving forward the proposed 10MW gas-to-power project. Tlou signed a Power Purchase Agreement (PPA) with the Botswana Power Corporation (BPC) three years ago, marking a significant step in testing and increasing gas-to-electricity production from its wells. The 66kV power line connecting Lesedi to the Serowe substation is virtually complete and designed to handle up to 25MW of power.
Minor works such as installing switchgear at the Serowe substation will be completed before the line is energised. Until Tlou is ready to bring it online, the power line will remain under care and maintenance. The power station is scheduled for installation, commissioning, and testing, with approval from BPC expected ahead of the first power generation in 2025. Initial production will begin with up to 2MW of power, gradually increasing to 10MW as additional gas wells are drilled, in alignment with the existing PPA with BPC. The PPA has an initial five-year term, with a commitment from the government and BPC to extend it for at least another five years upon successful delivery of the first 10MW. Beyond this, a long-term PPA is expected, allowing for increased power delivery beyond the initial 10MW, further solidifying Tlou’s role in Botswana’s energy future.
Thereafter, expansion is planned to match the nominal 25MW of power that could be transmitted on the 66kV transmission line to Serowe that Tlou has constructed. Expansion beyond 25MW would involve building a new power line either to the east to join the existing 220kV grid at Mahalapye or to the northwest minerals province. Both of these markets have a power requirement in the order of 100MW or more. Additionally, the Southern African Power Pool reaches over 500 million potential electricity consumers providing virtually unlimited expansion potential. Officials said a 5MVA step-up transformer, a critical component of the project, was delivered to the site in November. The 5MVA transformer will facilitate approximately 5MW of power generation, with plans for additional transformers to support expansion as the substation scales up to its designed capacity of 25MW.