Company Overview

Botala aims to be a diversified energy company producing reliable and dispatchable energy from renewables, backed by gas (coal bed methane (CBM)) to:

• meet Botswana’s domestic energy requirements
• export energy to neighbouring countries
• attract industries wanting reliable, renewable energy.

We expect industry to relocate to Botswana because, in addition to our reliable energy there is low sovereign risk, a favourable business environment and our strategic location near cross-continental highways with access to the markets of Southern Africa.

Our key focus is the exploration and development of Botala’s Serowe CBM potential. During 2024 exploration resulted in a 42% increase in the independently certified 2C contingent resource increasing from ~24 billion cubic feet (bcf) to 454bcf best-case estimate; with a prospective resource of 7,112bcf.

We have acquired 1520ha to establish the Leupane Energy Hub and Industrial Park. The proposed Hub is 4.6 km from the Morupule coal fired power station with access to the domestic and Southern African Power Pool electricity distribution networks and close to the towns of Palapye and Serowe plus associated highways. We are exploring and developing: the Serowe gas project; solar opportunities and the development of energy hubs. Our activities comply with our environmental, social and governance (ESG) guidelines; and we have triggered environmental and social approval processes.

Botala proposes to achieve its objectives through partnerships with Botswana’s parastatals, the Batswana private sector and other interested parties.

Our energy hub and industrial park is expected to contribute to Botswana’s economy and support its Integrated Resource Plan objectives by:

• Facilitating the transition from coal and diversifying sources of electricity generation.
• Meeting Botswana’s shortfall in electricity supply and contributing to decarbonisation.
• Creating a large Southern Africa energy/industrial hub suitable for manufacturing renewable energy and energy storage products, new-age materials, and products aligned with the resources sector.

We are well placed to supply CBM to the nearby Orapa gas-fired power station currently operating intermittently on diesel.

Botala proposes to produce compressed and /or liquified natural gas (CNG and LNG) for use in stationary engines and vehicles (especially buses and trucks) as a supplementary or alternative fuel to diesel engines to achieve fuel efficiencies and cleaner emissions. Indications are that this of considerable interest to the mining industry, especially in nearby South Africa.

We are positioning ourselves to produce hydrogen for distribution along the heavy haulage transport routes of southern and central Africa that traverse Botswana near our proposed energy and industrial hub. We are looking to convert CBM to hydrogen and carbon black, including high-value synthetic graphite, graphene flakes and carbon nanotubes. Hydrogen production would be an entirely new high-tech industry in Botswana.

There are attractive commercial reasons to use CBM and atmospheric nitrogen to manufacture ammonia, urea and ultimately ammonium nitrate for use in fertilizer, explosives and as additive to diesel fuel. Botala has initiated discussions with a potential joint venture partner.

Botala’s development and growth should have many social, environmental, and economic benefits for a wide range of stakeholders, including shareholders, by:

• Increasing Botswana’s electricity supply reliability.
• Reducing the cost of domestic electricity.
• Increasing the Botswana Power Corporation’s profits on the sale of electricity.
• Reducing, and ultimately removing, Botswana’s need to buy imported electricity.
• Generating revenue for Botswana from the export of electricity.
• Creating carbon credits by renewables and gas replacing coal in electricity generation.

Serowe Gas Project

Botala Energy is a coal bed methane (CBM) exploration and development company focussed on developing production from its 100% owned Serowe CBM Project located in a high-grade CBM region of Botswana (and related early-stage renewable energy opportunities). Botala (as Operator) is focussed on developing the Serowe CBM Project and believes that there is a considerable opportunity for it to commercialise the project due to the demand for stable power supply in Botswana.

Botala is listed on the Australian Securities Exchange and the Botswana Stock Exchange.

Background – energy

Botswana aims to reduce its dependence on diesel and expensive, imported, unreliable electricity and to transition to renewables. It plans to utilise its huge, undeveloped CBM resources to become energy independent and create new industries.

Corporate

The directors and CEO collectively hold around 39% of the Ordinary Shares of Botala.

There are currently three substantial shareholders, each holding more than 5% of the ordinary shares of the Company.