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Wednesday, September 30, 2009

TweetThis! Tanzania coal deposit up 18%

News reported on Reuters.com
Australian Atomic Resources said the estimated size of a Tanzanian coal deposit in which it has an interest through its subsidiary Pacific Corporation East Africa had been increased 18 percent to 212 million tonnes. Pacific Corporation and state-run National Development Corporation have a joint venture in local-based Tancoal Energy to develop the Ngaka coal deposit in southwestern Tanzania.Tancoal Energy plans to use the coal to drive a 400 megawatt (MW) power plant it is aiming to build by 2012.
Atomic Resources said the coal was also suitable for industrial use in cement and fertiliser manufacturing. The firm also has concessions to explore two other coal fields near Ngaka, and is exploring for uranium in the east African country. Investor interest in Tanzanian coal has grown this year. In August, the government said China was giving it a $400 million loan for a 200 MW power project using coal from Kiwira mine.

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