GDC signs cooperation agreement for geothermal development in Malawi

GDC MD and CEO Mr. Paul Ngugi (l) and Electricity Generation Company (Malawi) LTD CEO Mr. William Liabunya (r) at the CFA signing (source: GDC)

The Geothermal Development Company (GDC) and the Electricity Generation Company (Malawi) LTD, (EGENCO) have signed a Collaboration Framework Agreement (CFA) on the execution of geothermal projects in Malawi.

The two Principals – Mr. Paul Ngugi, the Managing Director and CEO of GDC, and his Counterpart Mr. William Liabunya the CEO, EGENCO, agreed in principle to accelerate the development of geothermal energy in Malawi. The CFA will tackle three broad areas namely: technical assistance that includes provision geoscientific studies services, support in institutional framework development, and resource mobilization.

“This is an important milestone for our two entities as we seek energy solutions for Africa. GDC is honoured to be your partner of choice as you embark on this exciting journey of developing your geothermal resources,” Mr. Ngugi said during the signing ceremony.

“Our brand is improving. We’re getting more stakeholders who want to do business with us. On this Malawi CFA, it’s a moment of celebration for GDC,” Ngugi added, noting as well that GDC is expanding its footprint in the region.

“It’s new beginnings for Malawi. We are happy to collaborate with GDC as we seek to diversify our energy sources,” said Mr. Liabunya, adding that EGENCO is excited about the collaboration.

There have been efforts to explore the geothermal resources of Malawi in previous years, but these have not moved past the early stages. In late 2022, local company Power Market Limited announced that it will embark in the exploration of potential geothermal resources in Malawi. In 2021, a reconnaissance license for the Chiweta geothermal prospect in northern Malawi was granted to Kalahari GeoEnergy.

Source: Geothermal Development Company