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[RwandaLibre] The East African - 30 minutes ago: Kenya, Uganda, Rwanda seek joint geothermal drilling

 

Kenya, Uganda, Rwanda seek joint geothermal drilling

The East African - 30 minutes ago
Business
By KENNEDY SENELWA Special Correspondent
Posted Saturday, June 7 2014 at 12:50

In Summary

The three EAC member states will also jointly fund activities to
generate 1,000MW of electricity from geothermal sources in Kenya.

The rig will initially be used in Kenya to generate electricity to be
shared under the Northern Corridor integration projects initiative.

A modern rig costs Ksh2.5 billion ($28 million) depending on the kind
of components it has such as a generator and laboratory. It is
projected that by buying the rig, the region will save about $37
million by the end of the drilling programme in 2015.

Kenya, Uganda and Rwanda have agreed to jointly buy a rig to drill
geothermal wells in the region.

The three East African Community member states at times referred to as
coalition of the willing (CoW) will also jointly fund activities to
generate 1,000MW of electricity from geothermal sources in Kenya.

The rig will initially be used in Kenya to generate electricity to be
shared under the Northern Corridor integration projects initiative.

The Geothermal Development Company (GDC) a Kenyan parastatal, will
develop infrastructure like access roads as well as drill wells in the
Suguta and Baringo-Silali geothermal fields in Kenya's Rift Valley.

GDC said the financing model requires Kenya, Uganda and Rwanda to fund
the project by opening a bank account where each partner will
contribute equally towards purchase of the rig and material for the
first three wells.

Dr Silas Simiyu, managing director of GDC said the jointly-owned
roving rig will be utilised for exploration drilling to fast track
work.

"The rig is crucial for drilling operations and cuts down on costs
dramatically," Dr Simiyu explained.

A modern rig costs Ksh2.5 billion ($28 million) depending on the kind
of components it has such as a generator and laboratory. It is
projected that by buying the rig, the region will save about $37
million by the end of the drilling programme in 2015.

Dr Simiyu said the geothermal potential in the region is about 20,000
Megawatts but only 267MW has been harnessed to date in Kenya
constituting about 9 per cent of the total electricity generation from
all energy sources. Kenya has a total installed capacity of about
1,765MW.

Rwanda and Uganda have installed capacities of about 110 MW and 817 MW
respectively.

Kenya will host the proposed regional geothermal centre of excellence
at Kabarak near Nakuru town to be used for training.

GDC is mandated to spearhead setting up of a Geothermal Centre of
Excellence which will be funded with $17.1 million by Kenya, Uganda
and Rwanda over two years.

GDC is the only company with a massive capacity in human resources and
technical equipment to support the region's quest for geothermal
energy.

http://www.theeastafrican.co.ke/business/-/2560/2340168/-/64iwh3/-/index.html

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SIBOMANA Jean Bosco
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