NIGERIA – The Federal Government of Nigeria has received a US$1.16m grant from the US Trade and Development Agency for the feasibility study of a power plant to be built in Abuja.
Nigerian National Petroleum Corporation and the USTDA signed the grant which will provide the technical, economic and financial analysis necessary for the development of a 1,350-megawatt combined cycle, natural gas-fired power plant in Abuja.
USTDA in a statement said the project will utilize indigenous gas resources to address the growing demand for power in Nigeria’s Federal Capital Territory.
“This USTDA feasibility study will provide the informed analysis needed to address critical energy generation in Nigeria,” said Thomas R. Hardy, USTDA’s Acting Director who signed the grant during the Nigeria International Petroleum Summit in Abuja.
“It will also build upon USTDA’s commitment to working with our Nigeria partners to develop and expand the nation’s domestic gas sector.”
U.S Ambassador Mary Beth Leonard, who witnessed the signing noted that the project was a great testimony to the enduring bilateral relationship that binds together the United States and Nigeria.
She further noted that the project will “join dozens of other high-profile energy sector projects that USTDA is supporting across the country.”
NNPC’s Gas and Power Investment Company LTD (GPIC) selected the U.S. company Continuum Associates LLC to conduct the study.
GE International Operations (Nig.) Ltd, a subsidiary of the American conglomerate with interests in aviation, power, healthcare and renewable energy, will also contribute to the project.
“This plant will be a critical boost to improve Nigeria’s energy deficit and provide much-needed power for the country,” said Mohammed Mijindadi, GE’s Managing Director GE Gas Power, Nigeria and Anglophone West Africa.
Mijindadi further noted that his company’s role demonstrated its continued support and commitment to the development of the country.
Since 1992, USTDA has funded more than 65 activities in Nigeria, which have leveraged nearly $13 billion in financing. The project advances the U.S. government’s Power Africa, Prosper Africa and Doing Business in Africa Initiatives.
The Agency helps companies create U.S. jobs through the export of U.S. goods and services for priority development projects in emerging economies.
USTDA also links U.S. businesses to export opportunities by funding project preparation and partnership building activities that develop sustainable infrastructure and foster economic growth in partner countries.