Kengen clinches deal to drill geothermal wells in Le Koma Djibouti.Official contract signing with Djibouti Office of Geothermal Energy Development (ODDEG) for the three Geothermal wells to the tune of Ksh.709 million ($6.4mn) was done today

A niche that should be dominated by Geothermal Drilling Company (GDC).

After tax dividend yield at 6%.

kengen is fully tied to kplc, if kplc is going down- collapsing it will go down with kengen. if things continue as they are by next year we will hear stories like kenyapower is unable to pay kengen 100 billion. At the same time it will not be possible for kengen to disconnect power as it will be worse for them, so the debt will keep pilling awaiting government to intervene, God forbid if the same crop of leaders will continue after 2022 we will have another kenya airways scenario for both kengen and kplc

https://www.businessdailyafrica.com/bd/corporate/companies/kengen-earnings-down-38pc-3304484
Kenya Electricity Generating Company (KenGen) net profit for the half-year period ended December 2020 fell 38.13 percent on the back of lower earnings from thermal power generation and absence of tax savings.

KenGen, which is 70 percent owned by the State, announced on Thursday profit dropped to Sh5.06 billion from Sh8.17 billion a year earlier.

On the other hand, Kenya Power — the biggest buyer of electricity from KenGen — reported a drop of 80.06 percent in profit for the same period to Sh138 million, citing depressed demand for power amid Covid-19 knocks on economic activity.

https://www.businessdail...s-increase-push-3320052

The size of the reduction in capacity charges and their impact on final electricity bills are expected to become clear once negotiations with producers, including KenGen and independent power firms, are concluded.

The wholesale power producers, including Gulf Power, Iberafrica, Tsavo Power last year, protested plans by Kenya Power to review bulk electricity prices citing low demand in the wake of Covid-19 pandemic.

Govt to curtail KenGen plans of selling power directly to consumers so as to protect Kenya Power
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Kenya Electricity Generating Co., Africa’s geothermal pioneer, plans to raise $1.95 billion to build new, and upgrade existing plants in a bid to almost double its power output from the renewable fuel. KenGen, as the Kenyan state-owned company is known, plans to add 651 megawatts from underground steam in the next five years, said Cyrus Karingithi, an assistant manager for resource development and infrastructure

Most of the funds will be sought from development financiers, Karingithi said in an interview on Tuesday at a geothermal field located about 120 kilometers (75 miles) northwest of the capital Nairobi.

KenGen plans to build four new 140-megawatt steam-power plants each, including a project to be delivered as a public-private partnership, according to Karingithi. Steam wells have already been drilled at two of the planned facilities. The company also plans to upgrade some projects to add 66 megawatts and to deliver another 25 megawatts from wellheads, mobile generating plants, at the Eburru field

https://www.bloombergqui...billion-to-boost-output

Stock at ksh3.96