Tlou Energy Advances Gas-powered Kala Data Centre Project

Tlou Energy says it is nearing initial production at a modular data centre being developed with Dubai-based Kala Data FZCO at its Lesedi power project in Botswana, marking a key step in linking local energy resources to digital infrastructure.

In its quarterly activities report for the period ended 31 December 2025, the company said the first Kala data centre unit has been installed on site and will be powered by coal-bed methane (CBM) gas produced from the Lesedi 4 gas well. 

The modular facility uses containerised, high-density computing systems and is designed to operate initially on gas-fired power generated on site. Kala is responsible for supplying, operating and maintaining the data centre infrastructure, while Tlou will provide the gas and associated power generation.

During the quarter, two 250kV gas-fired generators arrived at Lesedi following earlier shipping delays and have now been installed on concrete pads adjacent to the data centre unit. Construction of the main gas gathering line linking the Lesedi 4 well to the generators was completed earlier in 2025, with remaining sections and electrical connections currently being finalised. 

Once these works are completed, Tlou expects the data centre to begin initial production. The installed unit has a design capacity of up to 1MW, although early operations will run below this level. The company noted that additional gas wells will be required to support higher output as demand increases.

Tlou cautioned that this first phase represents a proof of concept, as gas-fired power generation from the Lesedi field has not previously been undertaken for commercial use. As a result, actual performance of the wells, gas gathering system and generators may differ from expectations. 

Alongside gas power, Tlou and Kala are planning to integrate solar energy into the Lesedi site to create a hybrid energy model for the data centre. Kala has indicated interest in installing 1MW of solar photovoltaic capacity in the near term, while Tlou is assessing the development of an initial 5MW solar project that could expand to as much as 20MW over time, subject to funding and power purchase agreements. 

The company also plans to add compressed natural gas (CNG) storage, which would allow gas produced during daylight hours to be stored for use at night. This would enable solar generation to supply power during the day, with gas providing overnight baseload capacity, a configuration Tlou says could differentiate the project from standalone solar developments.

Tlou said the Kala data centre forms part of its broader strategy to monetise domestic gas resources while supporting Botswana’s growing demand for reliable power and digital infrastructure. However, it acknowledged that further funding will be required to scale both gas production and power generation at Lesedi.

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