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Progress Made in Prospecting for Coal-Bed Methane in Matebeleland North, Zimbabwe

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Progress Made in Prospecting for Coal-Bed Methane in Matebeleland North, Zimbabwe

Posted on : 12-06-2023 | Author : Bulawayo 24 Reporter

One of the six investors granted special permits by the Zimbabwean government to explore coal-bed methane (CBM) gas in Matebeleland North province is making significant progress towards extracting the resource, according to an official. In 2020, special grants were issued to Alabara Resources, Zambezi Gas, Sakunda Energy, Tumagole, Shangani Energy Exploration (SEE), and Jacqueline Resources to develop clean energy sources for electricity generation in Lupane, Gwayi, and Hwange. Alabara Resources has completed the first phase of confirmatory drilling up to a depth of 700 meters and is now moving into the second phase, which involves mine development. The company has also established a gas laboratory at Lupane State University and signed a memorandum of understanding for knowledge transfer with gas experts from abroad. Alabara Resources plans to utilize compressed gas for fueling vehicles and power generation through a gas-fired plant. The government expects significant progress from the project.

While Alabara Resources advances, the other investors are at various stages of implementation, with funding constraints reportedly affecting their progress. Zambezi Gas, holding the CBM special grant in Hwange district, has drilled three wells, and one of them shows great promise. Sakunda Energy, initially planning a joint venture with the Zimbabwe Mining Development Corporation, has faced funding challenges and has not commenced drilling. Tumagole conducted an aero-magnetic survey and identified drilling positions but has made slow progress. SEE, owned by Chinese steel giant Sinosteel, has conducted electro-drilling and aims to build a 600MW power station and petrochemical-related industries with an investment of US$780 million. The government emphasizes the need for investors to provide regular progress reports and may revoke special grants if insufficient progress is made.

Zimbabwe is believed to possess substantial untapped CBM deposits, particularly in Matebeleland North province. The investors' exploration activities could lead to the establishment of CBM investments, potentially contributing to Zimbabwe's transition to clean energy. CBM also holds the potential to create opportunities in the hydrogen economy, supporting the country's efforts to develop cleaner energy sources. Natural gas derived from CBM can be utilized for heating, cooking, electricity generation, and the production of chemicals such as ammonia-based fertilizers. The government remains hopeful that funding will be secured to drive the exploration and development of CBM resources.