South African firm in talks with GDC for geothermal steam offtake at Menengai, Kenya
Meeting of representatives of Iroko Africa, GDC, and Nakuru County for steam offtake from Menengai geothermal field (source: Republic of Kenya)
Carlo Cariaga
20 Jan 2026
South African firm Iroko Africa and GDC are evaluating a possible steam offtake agreement from the Menengai geothermal field in Kenya.
Kenya’s Geothermal Development Company (GDC) will be jointly conducting technical and financial feasibility studies with South African firm Iroko Africa on commercializing the direct use of steam and heat from the geothermal wells of GDC in the Menengai field in Nakuru, Kenya.
Iroko Africa is an engineering and consulting firm that specializes in industrial decarbonization, energy efficiency, and climate adaptation, operating as the African subsidiary of the France based Manergy Group. The company focuses building eco-resilient industries across Africa and aims to facilitate the continent’s industrial transition by integrating energy efficiency, low-carbon systems, and climate resilience into real-world operations.
Speaking during a meeting with representatives from Iroko Africa, Nakuru Deputy Governor Dr David Kones announced that a team from GDC and Iroko will be working on the studies, noting that geothermal steam can supply direct heat to industrial processes, thus providing a reliable energy source that also helps reduce greenhouse gas emissions. Dr Kones noted that such innovations will make Kenya a competitive investment hub for industrial companies seeking to save on energy costs.
This will be at least the second time that a South African institution has been involved in geothermal development in Menengai. In 2024, the Development Bank of Southern Africa (DBSA) announced a credit investment for the capacity expansion of the existing 35-MW geothermal power plant of Sosian Energy, which started operations in August 2023.
GDC had also previously engaged with another industrialist, the cement manufacturer Karsan Ramji and Sons, for the direct supply of steam from the geothermal wells in Menengai. The deal was for a 25-year supply of steam at a rate of 40 tons per hour to be used both for power generation and drying at the cement production facility. This is considered the world’s first direct-use geothermal project in the cement industry.
Industrial geothermal steak offtake agreements are driving the development of a Menengai Geothermal-Powered Industrial Park. This will create more revenue for GDC and utilize geothermal wells with pressures that are too low for power generation. It can also create thousands of jobs for local communities and position Nakuru County as a hotspot for green and sustainable industry growth.
“This model is the future of geothermal. We are optimistic that more investors will find value by emulating this approach”, Dr Kones added.
Drilling and steam field development and management at the Menengai geothermal field has been led by government-owned GDC since 2010. Contracts for the construction and operation of three power plants were then granted to three Independent Power Producers, the first of which (by the aforementioned Sosian Energy) had already gone online in 2023. The second power plant, being developed by OrPower 22, is expected to be operational by the first half of 2026.
