Shumba Energy fully relocates to Botswana

Mashale Phumaphi

Strides Writer

The Botswana Stock Exchange Limited (BSE) listed Shumba Energy Limited a company originally from Mauritius has kick started its journey to redomicile or fully relocate from Mauritius to Botswana.

The company which has since announced the plans to sell its coal projects in the country and focus of renewable energy, is planning to move to Botswana to expedite its commercialization projects. It has communicated in a circular to its shareholders through the BSE board that it’s targeting November 2021 to have its corporate offices incorporated into Botswana’s jurisdiction.

The company says it target the Completion of Delisting of the Shumba Energy Mauritius 12 November 2021 Shumba Energy (Botswana) and to commence Listing Process with BSE 19 November 2021.

In a recent statement, the company directors announced that the business which has been domiciled in Mauritius will be moving to Botswana intends to list on Botswana Stock Exchange domestic main board.

The dual listed energy company is currently trading on the Botswana Stock Exchange foreign board.

Co-Founder and Chairman of Shum-

• As company leaves the

Mauritius marketplace • Redomicile process to finish in

November 2021 • Shumba to list on the BSE domestic main board

ba Energy, Alan M. Clegg, said that although the company has generated a reasonable amount of capital on the BSE Foreign Venture Board, a development on the Domestic Main Board will allow the company to raise the capital required to get the assets in production and also attract a larger number of investors.

“The reorganization will also allow Shumba Energy (Botswana), that owns the operational and resource assets of the Group, to achieve significant savings in overhead costs and the administrative efficiencies through reduced overhead costs in maintaining the Mauritius domiciled corporate entities and the compliance and reporting requirements associated with this legacy corporate structure that is no longer providing value to the Shareholders,” buttressed Shumba boss, Clegg

Locally, the Managing Director of Shumba Energy Botswana-Mashale Phumaphi revealed that the company intends to sell its coal projects as part of its redomicile progress from Mauritius to Botswana.

According to Phumaphi, the company intends to appoint a specialist advisors to assist the company in developing and implementing an appropriate strategy so to monetize its fossil fuel assets and assess their migration into a more appropriate company vehicle including interalia potentially merging them with other players in the space to add scale and focus on fossil fuels.

Shumba Energy has been developing renewable energy opportunities for several years to incorporate into the longer-term growth plans of the business. Currently, the company’s renewable energy project on rapid advancement is Tati Solar Project, a 100 MW solar project near the second capital Francistown.

One of the company’s exciting project is the Mabesekwa coal project based in the Francistown region. “The project has a total of 0.9 billion tonnes gross in-situ. In 2018 the company entered into a partnership agreement with Kibo Energy plc, an AIM listed entity whereby Shumba retained 15% of the prospecting license. The project is covered by 1 license which is up to date and current with the department of mines. The Environmental and Social Impact Assessment and mine feasibility have been completed. A mining license application has been submitted to the department of mines,” says Shumba.