Djibouti approves USD 21m in funding for geothermal plan - report

Jan 23, 2014 - The Djibouti government has given the green light on Tuesday to some DJF 3.7 billion (USD 21m/EUR 15m) in funding for projects related to phase one of geothermal energy development at Lake Assal, Africa-focused news portal Sabahi said.

The financing will include a loan of over DJF 1.1 billion and a DJF-2.6-billion grant for six projects. The activities to be undertaken will include a drilling programme, technical studies and a feasibility study for a power plant project in the eastern African country, Sabahi said, citing Ilyas Moussa Dawaleh, Minister of Economy and Industrial Finance of Djibouti.

The whole projects is calling for investments of DJF 5.4 billion. It will also receive financing from the French Development Agency and the Organisation of the Petroleum Exporting Countries (OPEC) Fund for Development, Dawaleh told the media.

In October 2013 The World Bank said it had signed agreements to extend USD 6 million (EUR 4.4m) in the form of a highly concessional credit for a geothermal project in the Republic of Djibouti. The project, worth USD 31 million, is the first phase of a two-step plan to add 56 MW of geothermal capacity in the country.

(DJF 100 = USD 0.563/EUR 0.413)

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