TOU 0.00% 1.8¢ tlou energy limited

BSE pre-listing statement, page-13

  1. 773 Posts.
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    I would suggest that perhaps the real reason for the 10MW proposal is that they don't currently have enough gas flowing to feed a larger power station and cannot guarantee a project over 10MW at this stage.  I raised this issue months ago, along with the dewatering issues TG mentioned they are having with the Selemo wells and was shut down pretty quickly, however I'm not convinced they have gas flowing fast enough to supply a 100MW plant......yet (of course, releasing flow rates would quash this issue quickly).  Now, before I get shut down, I realise Tlou aren't promising power into Botswana till 2019 (as per their recent presentation).  No doubt the new core holes will help determine suitable production well locations, but will still require dewatering which commonly takes 12-18mths if no issues are encountered and I suppose that's the point I'm trying to make....I believe that 12-18mths after the next lot of wells are drilled they will have enough gas to provide 100MW and perhaps even beyond.  It's just that the Botswana government won't want to award a larger RFP than Tlou can guarantee to supply at that particular moment, hence the 10MW amount for now and then scaling up later on.  You could imagine how embarrassing it would be if the government awarded Tlou 100MW now and then by some off chance they couldn't meet that demand time by the promised date due to lack of gas.  Voters left without power would be furious.

    Last I'd heard on any of the wells detailed below.  If anyone has updates feel free to let me know:
    Selemo #1 - workover completed due to fines clogging/affecting gas flow.  Not sure if this was effective?
    Selemo #2 is a shielding well but not sure if it is producing gas and if so at what rate?
    Selemo #3 ????
    Selemo #4 was being dewatered but did not sound like progress was being made (perhaps a plunger lift system is required) or maybe this well has been abandoned, I know it was frustrating TG about 12mths ago.
 
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