KenGen Exports Geothermal Well Drilling Expertise to Djibouti on a KES 700 Million Project


KenGen has started drilling the first of three geothermal wells in Djibouti, effectively launching a Ksh.0.7 billion contract signed in February this year.

The drilling of the first well is expected to take about two months to complete as KenGen seeks to export the expertise and experience earned in Olkaria, Naivasha where the company has drilled about 320 geothermal wells.

With the drilling rig set up, KenGen is set to commence drilling of three geothermal wells for the Djibouti Office of Geothermal Energy Development (ODDEG) over the next few months.

To note, this is the third mega geothermal drilling contract that KenGen is implementing in Africa.

In October 2019, the company secured a Ksh.5.8 billion contract to drill 12 geothermal wells in Ethiopia.

The contract with Ethiopia’s independent power producer Tulu Moye Geothermal Operations (TMGO) PLC includes installing a water supply system and equipment.

Also in 2019, KenGen won a contract to drill geothermal wells for the Ethiopian Electric Company (EEP) in Aluto-Langano, Ethiopia.

The contract is for the implementation of drilling rigs and accessories as well as rig operation and maintenance for drilling geothermal wells.

The project is financed by the World Bank through a loan to the Ethiopian Government.

CEO Rebecca Miano said KenGen had assigned a highly specialised multiskilled team to the project in the Horn of Africa country comprised of mechanical Engineers, Drilling Engineers, project managers, drillers, cementing technicians and specialized welders among other key professionals in the geothermal development value chain.

Kenya is Africa’s number one geothermal energy producer and among the top 10 in the world with an installed capacity of 863MW with KenGen contributing about 713MW.

The country has an estimated potential of 10,000MW along the Rift Valley.

This is a historic moment for us and we are confident that our team on-site will deliver the project within the contracted time and on budget despite the prevailing circumstances brought about by COVID-19 and the security situation in neighbouring Ethiopia – KenGen CEO Rebecca Miano.