Kibo MiningPlc completed the mining definitive feasibility study of theMbeyacoal-to-power project in Tanzania, reconfirming the coal mine as a "robustproject with strong financial and commercial indicators."

The study estimates an internal return rate of 69.2%, a 15%improvement from the 53.9% in the mining pre-feasibility study, the companysaid July 8.

The peak funding requirement has reduced 54% to US$17 million,and the payback period has improved 7% to 2.4 years.

The power station coal requirement over the life of theplant has reduced 23% over the mining pre-feasibility study, and all-in costmargin has been reduced to 39%, from 49% previously, due to greater accuracy inmodeling key cost drivers.

Kibo completed a power definitive feasibility study for Mbeya in earlyMay, which allowed the expansion of the power station to at least 600 MW.