K&M Supports West Africa’s Clean Energy Transition
K&M is a strong supporter of West Africa’s clean energy transition. Presently, many countries in West Africa are still dependent on petroleum-based fuels for power generation. With this in mind, K&M has developed a framework for assisting large energy users transition from petroleum-based fuels to cleaner energy sources, such as LNG.
In Guinea, approximately 38% of the on-grid energy generated in 2020 was from diesel or HFO plants. Additionally, a significant number of bauxite and gold mines generate their own electricity with diesel and HFO power plants. In Sierra Leone, approximately 10% of the on-grid installed capacity is fueled by diesel or HFO. Similarly to Guinea, Sierra Leone has many mines and industries that have diesel or HFO power plants. This is also the case in Liberia.
To ease this transition, K&M worked with the IFC in 2020 and 2021 to identify and assess the business case for mines and large off-grid energy users to switch from HFO/diesel to natural gas which could be sourced from an LNG terminal HUB that is being developed in Freetown, Sierra Leone.
During this study, K&M identified a potential market of 477,000 tpa in Guinea, 158,000 in Sierra Leone and 29,000 in Liberia. K&M is now working to progress the concept further. K&M is working with a fuel supplier that has a large operation in Africa to assist them in the development of an LNG logistics solution for supplying mines in an around the Kamsar-Boke corridor. Additionally, K&M is also supporting the owner of a thermal power plant in Conakry to analyze the conversion of their thermal plant to gas and expanding it to meet future firm energy requirements.
Both initiatives, if implemented, will have a positive impact in terms of reducing CO2 emissions and reducing energy costs. LNG proves to be an excellent alternative to other fuel sources—considering its cost-effective nature and lower carbon footprint. K&M is ready to guide clients that are interested in converting to or developing LNG power projects.