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KenGen Risks Losing Olkaria Geothermal Wells Over Licence Error

KenGen Risks Losing Olkaria Wells Over 18-Year Licence Blunder Kenya Electricity Generating Company (KenGen) faces a serious legal and operational risk at Olkaria after an error in the coordinates of its geothermal licence left part of the company’s wells, steam infrastructure and other assets outside its legally recognised area. The licensing mistake, made nearly two decades ago, remains unresolved despite the Ministry of Energy and Petroleum acknowledging the problem in 2017.  The dispute has raised questions about the security of KenGen’s investments, the government’s management of geothermal resources and the potential consequences for Kenya’s electricity supply. Olkaria is the country’s most important geothermal centre and accounts for the overwhelming majority of Kenya’s installed geothermal generation capacity.  Licence Error Exposes Strategic Assets The problem dates back to September 19, 2008, when the Ministry of Energy and Petroleum issued KenGen a licence covering ...

Kaishan KK01 Geothermal Milestone: All Tests Passed – Commercial Operations Imminent in Kenya's Menengai Field

Milestone Alert: Kaishan Group's KK01 Geothermal Power Plant in Kenya Completes All Tests – Set for Commercial Operations (COD)! Posted by: Alphaxioms Geothermal News   Date:March 6, 2026 Kenya's geothermal sector has achieved yet another significant milestone in the push for clean, reliable, and sustainable energy. On March 5, 2026, Kaishan Group Co., Ltd.(ćŒ€ć±±é›†ć›ą), a leading Chinese innovator in geothermal technology, proudly announced the successful completion of all independent third-party witnessed tests for their fully owned and operated KK01 (Kaishan Kenya 01) geothermal power station. Located in the prolific Menengai geothermal field in Nakuru County, this 35 MW net capacity plant has now cleared every hurdle, including a rigorous 30-day stability run that began on February 2. With all performance parameters meeting or surpassing design expectations, the independent engineer is poised to issue the final certificate and notify Kenya Power and Lighting Company (KPLC), marki...

Kenya’s Geothermal Surge: Menengai, Suswa, Courts, and Cheaper Power

Kenya’s geothermal sector stands at a pivotal crossroads in 2026, blending rapid expansion, legal scrutiny, fresh exploration, and bold affordability measures.  By: Robert Buluma Image: Trucks are flagged for Suswa Geothermal Block As Africa’s geothermal leader, Kenya harnesses the Rift Valley’s heat to deliver reliable, clean baseload power that stabilizes the grid amid fluctuating hydro and costly thermal backups. Today, the narrative unfolds across Menengai’s maturing projects, Suswa’s exciting new frontier, courtroom challenges, and policy reforms aimed at cheaper electricity for all. Menengai: From Vision to Reality with Turbulence The Menengai field in Nakuru County exemplifies Kenya’s innovative de-risking model. The Geothermal Development Company (GDC ) drills high-risk wells and confirms steam resources, then invites private independent power producers (IPPs) to build plants and purchase steam. This approach accelerates investment by removing the biggest uncertainty. Three...

The African Development Bank has approved a transformative $16.5 Menengai million loan

The African Development Bank has approved a transformative $16.5 million loan to accelerate Kenya’s clean energy transition. By: Robert Buluma This funding will drive the construction of the 35 MW OrPower Twenty-Two ( OTTL ) Geothermal Power Plant in the Menengai geothermal field—a flagship renewable energy project set to deliver reliable, affordable, zero-emission baseload power straight into the national grid. Nestled in Kenya’s dramatic Rift Valley, north of Nakuru Town and about 180 km northwest of Nairobi, the Menengai geothermal field taps into one of the continent’s most promising sources of clean, sustainable energy. By harnessing the Earth’s natural heat deep underground, this project helps break Kenya’s dependence on expensive and polluting diesel generators. The OrPower Twenty-Two plant will be the third 35 MW facility in the Menengai field, complementing the already operational Sosian Menengai Geothermal plant and the under-construction Globeleq Menengai project (also supp...

China Breaks Ground On 35 MW Menengai Or Power 2 Geothermal

Chinese-Funded 35MW Geothermal Plant: A Leap Toward Clean Energy Access in Kenya By:  Robert Buluma In a historic moment underscoring Kenya's commitment to sustainable energy, Kenyan President William Ruto fired up a bulldozer on October 24, 2024, to break ground for a new 35-megawatt geothermal power plant in Nakuru County. This $90 million project, dubbed the Orpower 22 Geothermal Power Plant, is set to fuel Kenya’s drive towards a greener future and unlock vast potential for clean energy in the region. The plant, which will be constructed through a partnership between Kenya and the Chinese-based Kaishan Group Co. Ltd., is a landmark in Kenya’s journey to achieving a 100% green national electricity grid by 2030. This bold project is not just a milestone for clean energy but also a powerful testament to Kenya's role as a leader in Africa’s green revolution. A Visionary Partnership for a Greener Kenya This groundbreaking endeavor is only possible thanks to Kenya’s supportive bu...

Sossian Energy Gets Financial Backing For Its Menengai Geothermal Field

Geothermal Gold: Kenya's Renewable Revolution Alphaxioms has been Nominated by Total Energies In The Startupper of the year Challenge and your support inform of a like is making a difference, please vote By:  Teflon Don In the heart of Kenya's Rift Valley, a revolution is taking shape, transforming the landscape and the future of energy in Africa. The Sosian-Menengai geothermal project, a beacon of innovation and sustainability, is set to redefine Kenya's energy production with a 35-megawatt geothermal power plant, bolstered by a $68 million investment from the Development Bank of Southern Africa (DBSA). Geothermal energy, often overshadowed by solar and wind, is emerging as a formidable player in the renewable energy sector. Unlike its more temperamental counterparts, geothermal energy offers a constant, reliable power source, tapping into the Earth’s natural heat to generate electricity around the clock. For Kenya, a country blessed with a rich geothermal potential, this ...

GDC Tender For An Upto 10 Geothermal Wellhead Power Plant In Menengai

Harnessing the Earth's Heat: An Opportunity to Shape Kenya's Energy sector  Image: Steam Gushing Out Of A Menengai Geothermal Field, Lovely, Lovely Indeed Alphaxioms has been Nominated by Total Energies in the Startupper of the Year Challenge and Your Vote is of impact, Kindly support us Kenya's Menengai Geothermal Field in Nakuru is set to become a beacon of sustainable energy with the latest call from the Geothermal Development Company (GDC). They are seeking an independent power producer (IPP) to construct wellhead power plants with a capacity of up to 10 MW. This tender, based on a Build, Own, Operate (BOO) model, represents a significant stride towards the nation’s commitment to renewable energy. But what exactly is a geothermal wellhead, and why is it crucial for Kenya’s energy landscape? Understanding Geothermal Wellheads A geothermal wellhead is a critical component in geothermal energy production. It serves as the surface termination of a geothermal well, where the...

GRMF HEAT-Promotes Geothermal Direct Use in East Africa with Holistic Approach

GRMF HEAT – Promoting Geothermal Direct Use in East Africa By  Alphaxioms The Regional Geothermal Coordination Unit (RGCU), acting as the managing team for the Geothermal Risk Mitigation Facility (GRMF), is excited to announce the successful conclusion of the first GRMF HEAT application round. Launched in December 2022, the GRMF HEAT program aims to provide funding for Surface Studies, including Feasibility studies, for geothermal direct use applications in eligible countries. Out of ten full applications received, five projects have been awarded grant contracts, marking a significant milestone in the promotion of geothermal direct use in East Africa. These awarded projects, located in Kenya, Tanzania, and Rwanda, cover a diverse range of applications, including crop drying, milk pasteurization, aquaculture, and industrial brewery processes. Notably, the Gisenyi project in Rwanda represents the first GRMF-funded initiative in the country, signaling a promising start for geothermal ...

Globeleq 35 MW Menengai Geothermal Plant Project To Start by April 2025

 Bringing Sustainable Energy to Kenya: Globeleq's 35 MW Geothermal Power Project in Menengai In a significant stride towards sustainable energy development in Kenya, Globeleq, a leading independent power producer, is set to embark on a groundbreaking 35 MW geothermal power project in Menengai. With the project slated to commence construction next week, the collaboration between Globeleq and its partners marks a pivotal moment in Kenya's renewable energy journey. Mobilization of Construction Teams and Commencement of Civil Works Globeleq has joined forces with prominent EPC contractors, Toyota Tsusho Corporation and CFAO Kenya Limited, to kickstart the mobilization of construction teams. The commencement of civil works signals the beginning of a transformative phase for the Menengai region and the broader Kenyan energy landscape. Timeline and Project Scope The construction phase is estimated to span 23 months, with full operation expected to commence around the quarter of 2025. ...

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Jicarilla Apache Geothermal Study Wins $2.5 Million Grant

Jicarilla Apache Nation Launches $2.5 Million Geothermal Feasibility Study The Jicarilla Apache Nation in northern New Mexico has launched a major investigation into its geothermal energy potential after receiving a $2.5 million grant from the State of New Mexico. The funding will support a detailed feasibility study examining whether underground heat resources on tribal lands could be developed for electricity generation, direct heating, or other energy applications. The initiative represents an important step in the Nation’s efforts to understand and diversify its energy resources. Although the Jicarilla Apache Nation has not yet committed to building a geothermal facility, the study could provide the geological, technical, and economic information required for future investment decisions. The project is particularly significant because the Nation already has extensive experience with subsurface exploration through its oil and gas activities. Existing geological records, drilling inf...

Vercana Electric Rig Advances Geothermal Brine Lithium Extraction Economics

Electric-Rig Direct Lithium Extraction From Geothermal Brine: The Economics of Vercana Versus Ormat Vulcan Energy Resources is pursuing an integrated model that combines geothermal drilling, direct lithium extraction, renewable electricity and industrial heat. Through its Vercana subsidiary, the company is also using electric drilling equipment designed to support the development of its Lionheart project in Germany’s Upper Rhine Valley. The approach differs from the conventional geothermal model represented by Ormat Technologies, whose core business remains geothermal power generation, equipment, project development and energy storage rather than commercial lithium recovery from geothermal brine.  The economic question is broader than whether an electric drilling rig costs less to operate than a diesel rig. The more important issue is whether electric drilling, geothermal energy and direct lithium extraction can create a more valuable integrated project than a conventional geotherm...

Next-Gen Geothermal Funding 2026: VCs, Banks, Government Capital

Who Is Really Funding Next-Gen Geothermal in 2026? Next-generation geothermal has moved beyond laboratory research into a capital-intensive commercialization phase. In 2026, the most important financing is no longer coming from one investor category: venture capital funds are financing drilling, subsurface modelling and hardware; strategic energy companies are providing equipment, project access and market credibility; banks are beginning to lend against contracted projects; and governments are absorbing exploration and first-of-a-kind technology risk. The strongest financing activity is concentrated in the United States and Canada, but Europe is becoming increasingly important through Germany-based deployment, European Union grants, UK innovation support, and strategic participation from European energy companies. The central investment question is changing from “Can this technology work?” to “Can the developer deliver repeatable, financeable projects at commercial cost?” The 2026 fun...

Billionaire Families Bet on Advanced Geothermal Energy Investments

Billionaire Geothermal Families Bet on Geothermal Billionaire families and private investment offices are placing increasingly large bets on geothermal energy, especially on technologies designed to make the resource available in more locations. Their investments are helping finance enhanced geothermal systems, advanced drilling, closed-loop designs, and other approaches that could transform geothermal from a regionally concentrated power source into a globally scalable clean-energy industry. The investment surge reflects a broader change in the energy market. Electricity demand is rising because of artificial intelligence, data centers, industrial electrification, electric vehicles, and the expansion of digital infrastructure. At the same time, utilities and large corporations need power that is reliable around the clock. Solar and wind remain essential to the clean-energy transition, but their output varies with weather and time of day. Geothermal could complement these technologies ...

Global Geothermal Investment 2026: 15 High-Growth Markets

Global Geothermal Investment 2026: 15 Markets Where Developers Should Look Next Geothermal energy is entering its most investable decade yet, with developers, drilling contractors, turbine suppliers and private capital providers scanning a widening map of opportunities beyond the traditional “big five” producers.  This article profiles 15 markets where project pipelines, policy signals, resource quality and technology readiness converge to create compelling entry points in 2026 and beyond.  Why 2026 Is a Turning Point for Geothermal Capital Global geothermal investment is accelerating as governments seek firm, low‑carbon baseload to back up variable wind and solar, while advanced drilling and subsurface engineering lower costs and expand the resource base. Market analysts project the geothermal energy market to reach roughly USD 13.56 billion by 2030, up from about USD 9.81 billion in 2025, implying sustained double‑digit growth in development spend. Capital is flowing not onl...

Western Geothermal Power Transmission Roadmap Toward 2030

Geothermal Power in the Western United States: A Transmission and Planning Roadmap to 2030 Introduction The Western United States is approaching a decisive period for geothermal power. Electricity demand is rising because of data centers, industrial electrification, population growth, electric vehicles and the replacement of retiring fossil-fuel generation. At the same time, utilities are under growing pressure to add clean resources that can operate reliably when solar and wind output declines. Geothermal power is well positioned to fill this role. Unlike weather-dependent generation, geothermal plants can provide firm electricity for long periods, support grid reliability and reduce the amount of storage required in deeply decarbonized power systems. However, the industry’s expansion will depend on more than subsurface heat and drilling technology. By 2030, transmission access, resource planning, project finance, permitting and utility procurement will determine whether geothermal be...

Ijen vs Zanskar: Blind Geothermal Energy Discovery and Development

Ijen’s Blind Geothermal System vs. Zanskar’s AI-Discovered Resources: Two Models for Finding Hidden Heat The geothermal industry is entering a new phase in which the most valuable resources may no longer be the fields marked by obvious hot springs, geysers, fumaroles, or steaming ground. Increasingly, developers are targeting “blind” or hidden geothermal systems,reservoirs that lack clear surface expressions but can still contain the temperature, permeability, and fluid needed for commercial power generation. Two examples illustrate how different parts of the industry are approaching this challenge. In Indonesia, the Blawan-Ijen geothermal field in East Java was developed through geological interpretation, magnetotelluric imaging, conceptual modelling, and drilling. The project is now operating commercially, with its first phase delivering approximately 35 MW to the Java grid under a 30-year power purchase agreement.  In the United States, Zanskar Geothermal & Minerals is using...

Alberta Geothermal Startup Phase Secures Funding for High-Temperature Drilling Sensors

Alberta’s Phase Targets a Critical Geothermal Drilling Barrier With High-Temperature Sensors Alberta is using its deep oil-and-gas expertise to pursue a new opportunity beneath the surface: geothermal energy. Among the companies receiving support through Emissions Reduction Alberta’s Drilling Technology Challenge is Edmonton-based Phase Advanced Sensor Systems Corp., which is developing a high-temperature downhole pressure sensor for enhanced geothermal systems. The project addresses a problem that could determine whether deep geothermal energy becomes commercially viable: operators need reliable, accurate information from wells exposed to extreme heat and pressure. Phase plans to demonstrate a sensor capable of operating at temperatures above 200°C, with testing planned at 200°C, 250°C and 275°C.  The project has a total value of approximately C$1.57 million, including C$420,000 in ERA funding, according to Alberta’s project information.  Dealroom reported the award as approx...

Unlocking Impermeable Geothermal Reservoirs: Hydraulic Stimulation, Menengai and Olkaria

Unlocking the Impermeable Reservoir: Lessons from a 30-Year Reservoir Engineer An Alphaxioms interview with Richard Joseph Holt, Principal Consultant in Reservoir Engineering at RESPEC . Context: Menengai East and Olkaria Central. Every geothermal developer knows the moment.  The rig is gone and the money is spent. The well is drilled to depth, the temperature is there, and then the well will not flow. The heat is real, but the connection between the well and the reservoir is not. Wells like this sit at the centre of one of the most important questions in geothermal development: what do you do with a tight reservoir? Walk away and drill again, or find a way to unlock what is already there? To explore the question, Alphaxioms spoke with Richard Joseph Holt, Principal Consultant in Reservoir Engineering at RESPEC . Richard brings 30 years of global experience in geothermal energy.  We framed our questions around two settings, Menengai East and Olkaria Central, and asked him how ...

Kaishan Targets 2 GW Kenya Geothermal Development Across Five Fields

Kaishan Targets 2 GW of Geothermal Development Across Kenya Kenya's geothermal sector has opened a potentially significant new chapter after Kaishan Group and the Geothermal Development Company (GDC) signed a collaboration framework agreement covering five geothermal blocks in the East African Rift Valley. Signed in Nairobi on September 14, 2026 , the agreement establishes a framework for the two parties to explore potential joint development of Silali, Paka, Korosi, Baringo and Suswa . According to Kaishan, the five areas have potential to support approximately 2 GW of installed geothermal capacity . The headline figure is substantial, but it is important to distinguish between resource potential and committed generation capacity . The framework agreement is non-binding. The parties will first conduct due diligence, assess the resources and negotiate development plans before potentially signing separate binding agreements for individual geothermal blocks. The development coul...