Circle Gas, the UK parent of Kenyan pay-as-you-cook liquefied petroleum gas (LPG) supplier M-Gas, reported $67 million in contracted carbon credits awaiting delivery and $57 million in cash prepayments in 2025, according to its financial statements.
The company’s dependence on carbon-credit revenue exposes the financial risks facing Kenya’s clean-cooking businesses, where government authorisation can determine whether contracted credits deliver their expected value.
The company’s accounts, filed in September, show the financial stakes. Circle Gas lost $39.3 million in 2025, held $1.1 million in cash at year-end and reported net liabilities of $156.7 million. It needs about $28 million in new funding to finance its growth plans.
Carbon credits are central to the economics of clean cooking businesses such as M-Gas. The company supplies LPG in small, affordable amounts with smart meters so households can pay as they cook. Revenue from the resulting emissions reductions can help support that model. Koko Networks, another Kenyan clean-cooking company, entered administration after the government declined to authorise the carbon-credit sales on which its business depended.
Originally published by TechCabal.