GDC hopeful to see up to $17m revenues from Menengai steam sales
With some delay of the development of three power plants at Menengai, Geothermal Development Company (GDC) is now hopeful to be able to see revenues of up to $17 million annually from steam sales from the sites in 2018.
Kenya’s Geothermal Development Company (GDC) projects are expected to generate Sh1.7 billion (aorund $17 million) from sale of steam from its Menengai geothermal fields in Nakuru County, as reported by Daily Nation from Kenya.
Three independent power producers had been chosen for the development of three 35 MW geothermal power plants.
Originally the plants were expected to start operation in 2017, but this is unlikely as no start of construction has been reported. There have also been concerns about the amount of steam available to operate up to 105 MW of geothermal power generation capacity.
But there are hopes that the plants could be operational in 2018, from which time GDC could count on revenues from the sale of steam.
Quantam Power East Africa, OrPower 22 which is a consortium of Ormat, Civicon and Symbion and Sosian Energy have been contracted to construct the power plants and have signed a Power Purchase Agreement with Kenya Power.
“All the paperwork is complete and GDC has already signed a project implementation and steam supply agreement with the power producers,” GDC Corporate Communications Manager Ruth Musembi said.
Ms Musembi said that by 2018, Menengai fields are expected to generate at least 105 MW under phase one of the multibillion project.