The Homa Hills Geothermal Project in Western Kenya aims to generate 70MW of renewable energy, addressing frequent power outages and supporting economic growth in Homa Bay County. Located near Lake Victoria in the Nyanza Rift, the site has geothermal manifestations at Abundu, Kakdhimu, and Ayombo hot springs. Preliminary studies by the Geothermal Development Company in 2011 and 2015 indicate reservoir temperatures between 130-230°C, confirming its potential for power generation. Further exploration is needed to define resource boundaries and select drilling sites. With an estimated budget of $330 million over seven years, the project will be implemented in phases. Phase 1 (35MW) requires $200 million for drilling three exploration, four appraisal, and eight production wells, followed by power plant construction. A 5MW pilot plant, planned for 2027-2028, is expected to generate $3.5 million annually. Funding includes a $1.5 million investment for surface studies, with $720,490 reimbursable through the African Union Commission’s Geothermal Risk Mitigation Facility (GRMF). Additionally, 40% of the cost for drilling two wells will be reimbursed by GRMF. Next steps include securing investors, reinstating the GRMF grant in 2024, and completing environmental approvals. Exploratory drilling is scheduled for 2025-2026 at a cost of $36 million. The project will provide stable, low-cost power, reducing reliance on unreliable grid connections while supporting industrial growth, including the Riwa Special Economic Zone. Beyond electricity generation, geothermal heat will facilitate direct-use applications such as smart agriculture, spas, and industrial processing, ensuring long-term socio-economic benefits.

Energy

Energy

Equity Investment

330000000

USD

Startup

Homa Bay