Kenya Electricity Generating Company (KENGEN) has reached a new milestone by beginning geothermal drilling in the neighbouring country of Djibouti.
After nearly a year of research and investigation, the power generation business plans to drill three geothermal wells in the nation with the Sh0.7B.
Kengen has already completed the drilling of many wells in Ethiopia, where it was contracted to dig 12 geothermal wells in the Tulu Moye region.
In the Djibouti project, KenGen is carrying out the drilling work on behalf of the Djiboutian Office of Geothermal Energy Development (ODDEG).
In a statement carried in the company’s weekly report, the exercise is being led by the company’s Geothermal Development manager Peketsa Mangi.
Mangi noted that the move was a major milestone for the company as it had confirmed KenGen’s growing presence in the region.
“The move serves as further testament to African countries supporting each other to develop crucial sectors of their economies,” he said.
He added that the project was of strategic importance to Djibouti which was looking to be reliant on renewable energy sources as the basis for the realisation of its economic potential.
“KenGen’s engagement with ODDEG is for purposes of drilling two geothermal wells, with the option of a third well in the coming days,” he said.
The Djibouti project is the third mega geothermal drilling contract KenGen is implementing in the continent.
In October 2019, the company secured a Sh5.8 billion contract with Ethiopia’s Independent Power Producer (IPP) to drill 12 geothermal wells in Tulu Moye.
In February 2019, KenGen won a contract to drill geothermal wells for the Ethiopian Electric Company (EEP) in Aluto-Langano, Ethiopia.
The contract financed by the World Bank is for implementing drilling rigs and accessories as well as rig operation and maintenance for drilling geothermal wells.
Earlier, Kengen MD Rebecca Miano called for phasing out of thermal power noting that fossil fuels were no longer a sustainable source of energy to power economic growth.
“By 2020, only nine percent of all energy generated in Africa came from renewable sources while over 90 percent was sourced from thermal and coal,” she said.
She noted that the continent was blessed with renewable resources like geothermal and wind but this had not been fully utilized.