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Kaishan signs steam supply agreement for 165-MW geothermal green ammonia facility in Kenya

Kaishan signs steam supply agreement for 165-MW geothermal green ammonia facility in Kenya Signing of steam supply agreement between Kaishan Group and KenGen (source: Kaishan)
Carlo Cariaga 28 Oct 2025

Kaishan will be building a 165-MW geothermal-powered green ammonia facility in Kenya, with steam supplied by the existing geothermal wells of KenGen.

Chinese engineering company Kaishan Group Co. Ltd, through subsidiary Kaishan Terra Green Ammonia Limited, has signed a steam supply agreement with KenGen for a planned 165.4-MW geothermal power plant in Kenya which will produce 100,000 tons of green ammonia and green fertilizer annually. Under the terms of the agreement, Kaishan will be constructing the power plant and will be receiving steam from KenGen’s operational geothermal fields.

The steam supply agreement was signed at the Ministry of Energy of the Republic of Kenya in the presence of Dr. Tang Yan, Managing Director of Kaishan Group Co., and Eng. Peter Njenga, General Manager and CEO of KenGen. Also present at the signing ceremony was Minister of Energy of the Republic of Kenya, Hon. J. Opiyo Wandayi, EGH.

The project is expected to require an investment of about USD 800 million. Upon completion and operation, the expected annual revenue will be between USD 220 to 250 million. The facility will use geothermal power  for the production of green ammonia, and subsequently, urea and calcium ammonium nitrate for fertilizers.

The new project is part of Kaishan’s mission of becoming a “a major global player in green hydrogen and ammonia development and operations.” The company states that although there are numerous green ammonia production projects utilizing solar and wind power generation in the pipeline, few have actually been launched. This is because chemical production requires solar and wind power facilities to be augmented with energy storage. Both the technology and cost of energy storage remain bottlenecks for large-scale application.

Once the combination of geothermal power, wind power, and photovoltaic power is proven to produce hydrogen and green ammonia, Kaishan’s innovative technology will open up another important channel for global hydrogen energy development.

The Kaishan group already has presence in Kenya through the acquisition of OrPower 22, which is developing a 35-MW geothermal power plant in Menengai. The company had also acquired 100% stake of the Sorik Marapi geothermal power plant in Indonesia through wholly owned subsidiary KS Orka Renewables Pte. Ltd.

Source: Kaishan