KenGen, the energy listed electricity generating company, is poised to expand its geothermal footprint with plans to drill three explorative wells in Tanzania, marking a significant step in the neighboring nation’s pursuit of geothermal energy.
KenGen’s Managing Director and Chief Executive, Peter Njenga, announced that the company is on the verge of finalizing a contract to commence drilling operations in Tanzania within the next month. This strategic move underscores KenGen’s commitment to diversifying its revenue streams by tapping into markets beyond Kenya’s borders.
“What we are looking at is to make sure that we increase our profits. Looking at our asset base which is at around Sh500 billion, we expect actually to be making well above Sh10 billion as profit every year,” Mr Njenga said adding that the firm recorded a profit after tax of Sh5.2 billion in the full year to June 2023, a growth of 48 percent from Sh3.38 billion, and it is counting on diversification to boost its fortunes.
KenGen’s recent profit surge has been propelled by a remarkable 14 percent increase in revenues, reaching Sh53.96 billion compared to Sh47.5 billion in 2022.
Managing Director Peter Njenga emphasized the company’s ongoing efforts to enhance generation efficiencies, aiming to achieve a revenue target of Sh10.0 billion within the next three years.
In addition to its financial success, KenGen announced the distribution of dividends amounting to Sh545.2 million to its 190,784 shareholders, following approval at last year’s annual general meeting.
