Lupane methane gas project set to begin operations in Q2 2025

The Lupane Methane Gas (LMG) Project is expected to commence operations in the second quarter of 2025, according to the project's executive chairperson, Thabani Hove.

Hove revealed that the project is still in the process of raising capital and finalizing discussions with potential investors to ensure that operations can begin on schedule. "We are still raising capital for the Siwale LMG project. We are also discussing and having talks about the project. We are hoping that works will begin in the second quarter of the year," Hove told Southern Eye.

However, Hove declined to disclose the project's budget, stating that the investors are not yet willing to reveal financial details. "The investors have said they are not yet willing to reveal information on the budget. But all I can say is that we are still having discussions on the project," he added.

The Lupane Methane Gas Project has faced delays over the years due to challenges in securing investors. Matabeleland North provincial Affairs and Devolution minister Richard Moyo confirmed that he has limited information about the project. "All I know is they are still looking for investors. I have not gotten much details on that, but I will follow up with the Ministry of Mines for further information concerning the project," Moyo said.

Located in Siwale Ward 1 of Kusile Rural District, the Lupane Methane Gas Project has the potential to generate 5 megawatts (MW) of power in its first two years, with the capacity to expand to 15 MW in later phases. The project is expected to contribute significantly to Matabeleland North's economic growth, driving development in the province and boosting the regional Gross Domestic Product (GDP).

Zimbabwe is sitting on an estimated 40 trillion cubic feet of potentially recoverable methane gas in the Lupane-Lubimbi area, which is believed to house the largest methane deposit in Southern Africa. The gas reserves could become a game-changer for the country's energy sector, with Zimbabwe holding the promise of a significant energy resource.

Several companies have previously been given government grants to explore the area, including Tumagole of South Africa, Sakunda Holdings, and Shangani Energy Exploration, owned by Chinese steel giant Sinosteel. Despite these efforts, no company has succeeded in moving the project forward.

However, the project has gained fresh momentum with Lubimbi Power and Gas, which recently moved on-site to meet with local leadership, culminating in a traditional ceremony to mark the start of the process. The company is believed to be in partnership with Discovery, which holds a special grant in the area.

According to sources, the Environmental Impact Assessment (EIA) for the project is nearly complete, with over 90% of the process already finalized.

While the LMG project has been in the pipeline for several years, there is optimism that it may finally take off, bringing much-needed development to Matabeleland North and addressing Zimbabwe's growing energy needs.