Tlou Energy Limited announces that Botswana's Department of Environmental Affairs ("DEA") has approved the Environmental Impact Statement ("EIS") for up to 20MW Coal Bed Methane ("CBM") Power Generation, a 66kV Transmission Line to Serowe and a Solar Farm up to 20MW.

Highlights

• Downstream EIS approval is a major achievement as it is the final environmental authorisation required to move the Lesedi CBM Project through to commercialisation;
• The EIS is for all the specified project activities in the Company's application and is valid for 30 years;
• The approval provides the Company the flexibility to rapidly expand to 20MW of CBM generation and provides additional approval for a Solar Farm of up to 20MW;
• Upstream EIS approval is already in place.

Tlou's Managing Director, Mr Tony Gilby commented, 
"We welcome another milestone which further de-risks the Lesedi Project. The granting of the downstream EIS is great news for the Company as it gives the final environmental authorisation for the initial proposed development of up to 10MW of power generation and allows for a further 10MW of CBM power generation. This gives the Company the option to rapidly expand to 20MW. The effort put in by our team and the independent environmental consultants, Ecosurv, has been exceptional and I would like to thank them for their hard work, which has led to this excellent result."

Downstream Environmental Impact Statement

In 2018 the Company commenced work on its application for an EIS for downstream development (power generation and transmission). The EIS addresses the social and environmental context of the area surrounding the planned development of the Lesedi project which includes CBM power generation (up to 20MW), a 66kV transmission line to Serowe and a Solar Farm (up to 20MW). The Company already has approval in place for its upstream activities (development drilling and exploration).

The DEA approval confirms the EIS for the Company's proposed downstream development adequately identifies and effectively mitigates the anticipated impacts associated with the proposed activity. The EIS authorisation is valid for thirty (30) years and may be subject to renewal at the end of this period.

EIS authorisation is another important project milestone which highlights the progress being made by the Company in its aim to deliver CBM power in Botswana and Southern Africa.