Karsan Ramji signs geothermal power deal

Kenya-based Karsan Ramji and Sons, which produces Ndovu Cement, has signed a 20-year deal with the country’s state-owned geothermal developer Geothermal Development Company (GDC). Under the agreement, GDC will provide Karsan Ramji with 40tph of steam from which the cement producer will generate power using a 4MW wellhead generation unit. Karsan Ramji will also use the geothermal heat for a 700tpd drying unit. This marks the first time in Kenya that an industrial player and manufacturing firm has sought to generate its own power using geothermal steam, reports Think Geoenergy. 

“This engagement opens new investment frontiers around the geothermal ecosystem,” says Paul Ngugi, CEO, GDC. “We are taking a departure from the conventional power generation into an exciting and promising realm of captive power and thermal heat. And this is crucial. It means, we are, in essence, expanding the geothermal pie and making it accessible and profitable.” 

GDC manages the steam field of the Menengai Geothermal Field, supplying geothermal steam to the 35MW power plant of Sosian Energy, which began operations this year. Two more 35MW power plants are in development in Menengai, while GDC is also conducting drilling and well testing in the Baringo-Silali Geothermal Field.