- The Development Bank of Southern Africa (DBSA) has signed the Sosian Geothermal deal in Kenya, during the Inward Buying Mission in Cape Town.
Sosian Energy secured a Geothermal Resource License from Kenya’s Ministry of Energy. Located in the Menengai Geothermal Field, Nakuru, the field has a capacity of 70-140MW and is one of only three IPPs awarded licences to develop the feild. This Sosian project involves developing, financing, constructing, and operating a 35MW geothermal power plant.
Notably, this is Kenya’s first Geothermal IPP, making DBSA’s participation a significant milestone. DBSA is the Mandated Lead Arranger (MLA), underwriting the entire senior debt of approximately USD 68 million.
The Sosian Geothermal project promises significant impact in Kenya. It will create jobs during construction and operation. With a production cost of USD 0.08/kWh, the plant will be one of Kenya’s most cost-effective energy sources. Using renewable energy, the plant will operate with zero emissions, supporting global climate goals.
Author: Bryan Groenendaal
