Greek firm eyes Sh194 billion smart-power system for AI-data centres

AI data centre seeks to position Mombasa and Kenya as a significant regional AI and digital-infrastructure hub. [Courtesy]

European firm Amaco Energy Group has mooted plans to build a liquefied natural gas (LNG)-powered smart-power system valued at $1.5 billion (Sh194 billion) to energise data centres that will be run using Artificial Intelligence (AI), once approved.

Group Chief Executive Officer Theodore Theodoropoulos said the offshore smart-power system dubbed Hercules will be integrated with data centres as a single unit and will be the first in Africa.

It combines electricity generation, upstream cooling and AI data-centre infrastructure within an integrated architecture.

“The fundamental concept is to reduce dependence on conventional national-grid infrastructure by generating electricity close to where it is consumed,” said Theodoropoulos during an interview in Nairobi.

“It will be built inside the Port of Mombasa and is aimed at ensuring uninterrupted power supply to integrated data centres since it will be completely independent, not relying on the national grid.”

He said the development of an AI data centre facility in the Mombasa Port ecosystem will help position Mombasa and Kenya as a significant regional AI and digital-infrastructure hub.

Kenya has been facing power shortages in the recent past, with some causing total countrywide blackouts affecting many operations that rely on power. “The smart-power system is LNG-based and will be compatible with using hydrogen when the time comes,” said Theodoropoulos.

While much of Kenya's existing data-centre capacity is concentrated around Nairobi, Mombasa offers a different strategic proposition. Several submarine cables connecting Kenya to international internet networks land on the coast, while the Port of Mombasa provides major regional logistics and infrastructure advantages.

"This creates an opportunity to locate large-scale AI infrastructure (more than one) close to both international digital connectivity and the proposed energy infrastructure,” he said.

The plant will address cooling, and Indian Ocean water will be useful. Theodoropoulos said that they have already identified three potential sites in the Mombasa Port, including Kilindini Harbour.

“We might settle on Kilindini Harbour because it has space for vessels to manoeuvre and is close to Mariakani sub-station for offloading excess power,” he said.

Kenya already has two AI-powered data centres that consume a lot of power, against South Africa’s five and Nigeria’s one.

Companies like Safaricom, Airtel, IX Africa, Oracle, Icolo, Digital Realty, Microsoft, Huawei and Google require big data centres, which use a lot of power to ensure continued operation, and a power failure can cause a lot of negative impact, leading to loss of important data and interrupted operations.

He said several companies have expressed interest in building data centres and are just waiting for approval to start construction, which he said can take 28 months.

“We shall soon be meeting the authorities of the county on approval processes. We have already talked to banks here and are willing to financially support the project establishment,” he said.

The company, which will soon relocate to the United Arab Emirates, is also looking at establishing the same smart-power system across East Africa, South Africa, the Mediterranean Middle East and the Far East.