Australia’s Botala Energy has received approval from the Botswana government to advance its Serowe Coal Bed Methane (CBM) Gas Project to commercial production. The granted mining license permits the company to develop and produce coal bed methane natural gas for an initial period of 10 years, with an option for a 25-year extension.
Kris Martinick, CEO of Botala Energy, described this as a significant milestone that eliminates regulatory barriers, allowing the transition from exploration to development. “This approval removes the final regulatory hurdle and provides us with the green light to transition from exploration to development, bringing us closer to first revenue,” he stated.
The company is finalizing a bankable feasibility study and expanding fieldwork, which includes additional drilling and infrastructure upgrades. With environmental and planning approvals in place, the project is well-positioned to address the rising demand for natural gas in Botswana and the broader Southern African region.
Additionally, the Botswana government holds the option to acquire a 15% stake in the project by contributing A$2.2 million in working capital to Botala Energy. Natural gas from the project will be transported via a pipeline to Botala Energy’s Leupane Energy Hub and Industrial Park near Palapye, before distribution to local and regional markets.
Source: Energy Capital and Power
