Electricity producer KenGen #ticker:KEGN has completed the drilling of seven geothermal wells in Ethiopia, four at the Aluto-Langano site and three at Tule Moye.
In February 2019, KenGen in a consortium with Shandong Kerui Petroleum Equipment Company and Shandong Kerui Oilfield Service Group won a joint contract worth Sh7.6 billion to supply geothermal drilling services to the State-owned Ethiopian Electric Power (EEP) company.
The Aluto-Langano project started in July and in November the company completed drilling the second well which became the deepest geothermal well in Ethiopia reaching a depth of 3,000 metres.
“This is [now] the second 3,000 metres well we have drilled in Ethiopia so far, and I must commend our teams on the ground for successfully delivering to expectations despite the threats of Covid-19 and the security situation in Ethiopia at the time of project implementation,” said Rebecca Miano, the KenGen CEO.
This reaffirms the Nairobi Securities Exchange (NSE) #ticker:NSE -listed company’s expertise in geothermal development in Africa, having earlier drilled the deepest geothermal well in the Horn of Africa.
It was contracted to drill eight wells under the Aluto project.
“We have now embarked on drilling of the fifth geothermal well under the EEP project in Aluto-Langano and we expect to complete the work in a fortnight,” said Ms Miano.
The Ethiopian and Djiboutian ventures are part of KenGen’s ambitious diversification strategy, where the company is seeking to acquire new revenue sourcing through commercial drilling, geothermal consulting, and related services across Africa.
emwenda@ke.nationmedia.com
