Overview

The energy landscape in Southern Africa, particularly in South Africa, is undergoing dramatic changes due to the forecasted gas shortages by mid 2028. This shortage is expected to create a substantial demand for alternative gas sources.

The Serowe CBM Projects in Botswana presents a significant opportunity to address regional energy shortages in Southern Africa by developing a scalable, reliable Liquified Natural Gas (LNG) supply. Botala Energy aims to transition the Serowe CBM Project from a pilot phase to full-scale LNG production, ultimately positioning the Company as a Tier 1 energy producer.

The Serowe CBM Project is unique in that Botala Energy aims to create opportunities within both the LNG and solar sectors, in addition to other opportunities as the Project progresses.

Botala Energy plans to develop its Serowe CBM Project to successfully establish a robust gas supply chain from Botswana to high-demand markets in Southern Africa.

The development of the Serowe CBM Project has been broken into several stages:

Bankable Feasibility Study

Botala has commenced a Bankable Feasibility Study (BFS) for its Serowe CBM Project for an up to 3.5 PJ/annum LNG (equivalent to ~200t/day) plant. The BFS will provide a comprehensive assessment of the Serowe CBM Project’s technical and economic viability, ensuring that development of the wellfield and LNG plant is financially and operationally sound.

Key aspects of the BFS include:

  • Wellfield Development: Detailed engineering designs and cost estimates for the development of gas wells.
  • LNG Plant Design: Specifications for the LNG processing facility, including storage, compression and distribution infrastructure.
  • Market Analysis: Identification of key LNG off-takers and market demand across Southern Africa.
  • Financial Projections: Evaluation of project costs, revenues, and potential returns to ensure bankability.

Botala anticipates the BFS to be complete in the second half of 2025.