Geothermal handbook: PlanninG and Financing power Generation t e c h n I c a L r e p o r t 2 / 2

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Kenya: Equity Investment by Ormat Holding Corp. (Supported by MIGA)
In 2008, MIGA issued a guarantee of US$ 88.3 million to Ormat Holding Corp., a Cayman Islands-registered 
subsidiary of Ormat Technologies, Inc., for its US$ 98.1 million equity investment in OrPower 4, Inc. in the 
Republic of Kenya. The coverage is for up to 15 years and covers the risks of war and civil disturbance, transfer 
restriction, and expropriation. 
The project consists of the design, construction, management, and operation of a base-load geothermal power 
plant with a combined capacity of 48 MW on a BOT basis in the Rift Valley’s Olkaria geothermal fields, 50 km 
northwest of Nairobi. Electricity generated by the plant will be sold under a 20-year power purchase agreement 
with the national power transmission and distribution utility in the country—the Kenya Power & Lighting 
Company Limited.
Source | World Bank 2010a.

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